Arvind OG Nonwovens Private Limited (AOG), a joint venture between Arvind Ltd (India) and OG Corporation (Japan), opened its manufacturing facilities near Ahmedabad, Gujarat, on 31 May 2014 at an investment of about Rs 50 crore. The joint venture will manufacture high-quality non-woven fabrics using needle-punch technology for bag-house filtration, artificial leather and a variety of other applications.
Speaking during the inauguration, Punit Lalbhai, executive director of Arvind Ltd and CEO of the advanced materials division, said, ?The technical textile market in India is estimated at Rs 70,000 crore. Arvind Ltds technical textile business stood at Rs 300 crore for 2013-14 and we expect it to touch Rs 1,000 crore mark by 2017-18.?
Arvind currently holds 74 per cent equity stake in the JV with the remaining being with OG Corporation. AOG expects to breakeven within a year of its operations and post a turnover of Rs 100 crore in the next three years. The manufacturing facility will produce 1,500 tonne of products per annum.
H Machino, managing director of OG Corporation (India) and director, Arvind OG Nonwovens Pvt Ltd, said, ?Keeping the future in mind, India is a very important marketplace for OG Corporation. We are therefore delighted to partner with Arvind and establish a non-woven fabrics manufacturing facility in India.?
The high quality non-woven fabric will be produced using needle-punch technology of Kureha Ltd, Japan. The unit has started production with one line of needle-punching technology and depending on demand more lines will be set up.