Filatex India has commenced commercial production of polyester fully drawn yarns at its plant in Dahej in Gujarat.
A company press release said: “The commercial production for manufacture of 100 million tonnes per day of polyester fully drawn yarns at the company’s existing unit at Dahej has commenced with effect from March 4.”
In the process of installing about 40 texturising machines at the plant, the company has already installed two machines, with which commercial production has started. Installation of the remaining machines, to be in phases, is likely to be completed by September next.
In September last, Filatex India proposed to put up manufacturing facilities for polyester fully drawn yarns at its Dahej unit at an outlay of Rs. 100 crores, to ramp up long-term profitability.
The press release also stated that this will lead to lower per tonne capital cost which, in turn, will put the company to a recurring advantage by way of lower depreciation and interest.
Also, other fixed expenses like staff cost and factory overheads would also be spread over bigger production volumes leading to improvement in profitability, the press release added.