With over 45 years of experience in Apparel Manufacturing, TT Limited has consistently adapted its apparel production locations to leverage the relative competitive advantages of various clusters. The Gajraula, UP location, initially established for spinning in the early 1990s, underwent a transformation as the company divested its spinning assets and reconfigured the unit into a garmenting center.
As part of its strategic evolution, TT Limited now envisions a shift to the Noida/Pilkhuva cluster in UP and the Greater Kolkata, West Bengal area, where skilled labor and other benefits are prevalent within the well-established garmenting cluster. The company has already commenced work on the proposed new garmenting units, with no anticipated disruptions to production or sales. Moreover, expansion plans for our Tirupur unit are set for 2024-25, aimed at doubling its capacity.
Shri Sanjay Jain, Managing Director, has also inked an MoU with the U.P. Government at the Investment Summit for a large-scale textile unit within the proposed Garment Cluster under the PM Mitra Scheme in Hardoi District, Uttar Pradesh. Upon realization of the cluster project, T.T. Limited is poised to establish a comprehensive textile mill, encompassing the entire journey from Fiber to Fashion. Concurrently, plans are underway for a fabric manufacturing unit in Surat, aligned with the upcoming Textile Ministry PLI2 scheme.
The Board of Directors of T.T. Limited has sanctioned a transaction to transfer ownership of its textile unit in Gajraula, Uttar Pradesh. Proceeds from this transaction will be allocated towards the establishment of two new locations and debt repayment, a move anticipated to significantly bolster profitability by substantially reducing debt and stemming interest outflows.
The restructuring process of T.T. Limited is projected for completion by March 2024, resulting in a 74% reduction in debt from pre-COVID levels. The company’s emphasis on the value-added branded segment and the efficient utilization of infrastructure is expected to demonstrate a positive trend, despite the turbulence in the textile and apparel industry arising from the Ukraine war, which has triggered a worldwide demand recession and price inflation.
Simultaneously, the company is actively revitalizing its yarn, fabric, and export business, which had been impacted by a confluence of factors including COVID, the Ukraine War, Taiwan’s geopolitical tensions, unprecedented cotton price fluctuations, and high inflation in the U.S.A. and Europe. India’s substantial population and robust GDP growth have significantly bolstered the Textile Industry, enabling it to weather global headwinds relatively effectively.
