SGT decides on setting up a state-of-the-art yarn manufacturing facility in Rockingham County

Shri Govindaraja Textiles part of the Jayavilas Group of Aruppukottai in Virudhunagar district. The group is the largest spinner in India with a total installed capacity of 1.1 million spindles and a workforce of 30,000 persons has announced it plans to set up its textile operations in Rockingham County in the US with an investment of more than $40 million and create 84 jobs over the next two years in Eden.

SGT has decided to set up a state-of-the-art yarn manufacturing facility in Eden after an extensive search and comparative study amongst nine different States and various counties, stated Mr. Ramkumar Varadarajan, Managing Director of SGR Textiles.

The company will not only buy North Carolina cotton but will produce the combed yarn Innovative companies like SGR Textiles will bring in new machinery that will be put to good use by talented workforce in Rockingham County.

The input cost advantage and the skilled workforce present in Eden will aid in the successful implementation and operation of the project.

The NC Department of Commerce’s Rural Infrastructure Authority Board awarded a $750,000 Community Development Block Grant (CDBG) to the City of Eden to assist SGRTEX with up to 50 per cent of building costs. The company will have an 180,000 sq.ft. building at 335 Summit Road that was formerly owned by Karastan, Inc.

SGTextiles’ decision to expand will bring needed jobs and help continue rich tradition of manufacturing high-quality textile products.
There are numerous reasons the company chose North Carolina, including abundant agricultural and human resources, existing manufacturing facilities, low energy costs and competitive tax structure.

SGT has 14 manufacturing units spread across two States in India. With an installed capacity of four lakh spindles and latest modern machineries, the traditional textile company has been saving substantial labor costs achieving better operational efficiency. It manufactures combed/carded yarn ranging from 20s to 160s counts.