At full operation, two units of Telangana’s two Kitex clothing will employ approximately 50,000 employees. The Kochi-based company has invested approximately Rs 35 billion in two units, one near Hyderabad and the other in Warangal. They are expected to be fully commissioned within three to four months.
Managing Director Sabu M. Jacob said here: “The commissioning of these two units will increase the total capacity of Kitex clothing to 3.5 million pieces per day, making it the world’s largest producer of children’s clothing.”
Telangana plants will produce 2.4 million units per day, while Kizhakkkambalam units near Kochi produce 110,000 units per day. Mr Jacob added that the nearby units had about 9,000 people working in production units, well below the early 11,000. He said the company has invested about Rs 1,000 crore in this division over the past 30 years. Kitex has not made any new investments in Kerala in the past 10 years.
Mr Jacob is answering questions about the company’s recent invitation application, which recruited about 25,000 people in the Telangana factory’s various capabilities.
News of Kitex’s move to Telangana after Mr Jacob claimed that the investment atmosphere in Kerala was unfriendly and he planned to withdraw further investment from the state.
He claimed Kerala did not take helping industrialists seriously and complained about repeated attempts to actually intimidate the company’s management through raids and inspections, summoning incidents in 2021 intimidation. He also claimed that 12 factory inspections have been conducted in the month of 2021, but nothing appears to be related to rule violations. He claimed that this was a political vendetta.
It was in this case that Kitex Clothing accepted an invitation from the Telangana government to establish two units. The company has a total of 570 acres of land in Telangana, and the first production line is operated. Jacob said the first export goods are expected to be distributed within a day or two.
Mr Jacob added that the Telangana factory will source cotton directly from farmers, rather than cotton merchants or exchanges to improve traceability, an important factor in global business. Farmers’ cotton will be processed in factories and turned into ready-to-wear children’s clothing. The Telangana plant will also transport cargo within the factory space by rail vehicles traveling about 8 kilometers on tracks at a height of six meters. This is the first such facility to take the mechanization of the production process to another level.
The machinery and buildings of the Telangana factory are imported from Dubai and Europe. Jacob added that when fully commissioned, Kitex Group will make its turnover of Rs 70,000 crore.
Minister of Industry P. Rajeeve attended the 24th Congress of CPI (M) in Madurai and he did not comment on the matter.
A senior investor in Kerala does not want to be named, he said that despite Kitex’s claims, its business is still booming in the state. In preparing the Telangana facility, the company relies solely on its Kerala department.
Jayan Jose Thomas, professor of economics at Delhi, who is familiar with the industrial scenario in Kerala, said the apparel industry is not a viable future for the state because it is labor-intensive and requires a larger area. He advised the state to focus on more knowledge-intensive industries with new technologies at its core, emphasizing added value and high-end products.
He added that Kitex’s decision to move to Telangana was a great option as it brought the company closer to the workforce. He said even its Kerala department is mainly responsible for migrant workers.
publishing – April 3, 2025 at 01:10 am IST
