HYDERABAD: Amid the ongoing row between the Kerala government and Kitex Garments Ltd, speculation has arisen over the company’s potential investment shift to Andhra Pradesh. However, both the Telangana government and Kitex have confirmed to TNIE that there is no question of diverting investments away from the state.
In 2021, following allegations of harassment in Kerala, the then BRS government invited Kitex to Telangana. The company committed to invest Rs 3,500 crore to set up two manufacturing units, one in Warangal and the other in Seetharampur near Hyderabad. Once fully functional, the two units are expected to generate employment for nearly 50,000 persons. The combined production capacity is estimated at 3.5 million garments per day.
Speaking to TNIE, Kitex CMD Sabu Jacob said, “We are not moving out of Telangana. So far, we have spent Rs 2,000 crore. We are comfortable with the Telangana government, though minor bureaucratic delays are there, like anywhere else.”
He added that construction of the Warangal unit is complete, and the Seetharampur unit is under construction.
Jayesh Ranjan, CEO of the Industry and Investment Cell in the Chief Minister’s Office, said the Warangal unit began trial operations in April and is likely to be fully operational by December. Recruitment for the unit is already complete. The Seetharampur facility is progressing steadily, he said.