Date:04/07/2005 URL: http://www.thehindubusinessline.com/2005/07/04/stories/2005070400841300.htm

Back AP, Lankan textile co ink pact to set up unit in Garment City

Our Bureau

Hyderabad , July 3

BRANDIX Lanka Ltd, a Sri Lankan textile company, has entered into a memorandum of understanding (MoU) with the Andhra Pradesh Government to set up a textile unit in the proposed Garment City coming up near Visakhapatnam in the special economic zone (SEZ).

A special purpose vehicle (SPV) is proposed to be created as it would enable the setting up of an export-oriented Apparel City.

The Lankan company is primarily engaged in the manufacture and export of garments and plans to source them from India by leveraging the advantages of the privileges offered by the State Government for special economic zones.

The MoU was signed by Mr Ashroff Omar, Chief Executive Officer of Brandix Lanka Ltd, and Mr B.Krupanandam, Secretary, Industries and Commerce Department, on behalf of the State Government.

The joint venture initiative, in which Brandix Lanka has 76 per cent equity and the rest lies with the State Government is expected to commence operations within 6-8 months.