Special Feature

Manufacturers of export quality weft yarn (Carded and Combed)

Kerala State Textile Corporation Ltd. incorporated in 1972 by the Government of Kerala having its registered office in Thiruvananthapuram has three spinning mills of total spindleage of 67956 and a research center under its fold. The Corporation produces export quality weft yarn of various counts of both carded and combed variety ranging from 60's to 100's and sell the same in the state of Maharashtra through its own sales depots.

Centre for Applied Research and Development in Textiles (CARDT):

The Research Centre meets all the testing requirements of all public, co-operative sector mills, NTC Mills in Kerala, Pondicherry & Karnataka and Govt. Departments. Efforts are being made to convert the Centre into a full-fledged research centre in textiles.

After a sluggish decade faced by the textile industry in general, the Corporation is looking up to meet the challenges and opportunities in the post quota-free scenario. During 2004-05, the Corporation was able to post an operating profit of Rs 115.74 lakh. The 1st quarter of 2005-06 has been a period of turnaround for the Corporation. After a long span of 14 years, during the period April - June 2006, the Corporation was able to generate a net profit of Rs 58.23 lakh for the three operating units. This is a remarkable achievement when compared to other State sector mills. The gross profit and cash profit for the 1st quarter of 2005-06 is Rs 97.70 lakh and Rs 137.38 lakh respectively.

CARDT ensures high quality standards for yarn produced by the mills of Corporation, which enables the Corporation to cater to the exact market requirements. Hence, the entire production is being sold out without any hitches.

The Corporation is continuously striving to ensure product quality and customer satisfaction and thereby profitability and growth. A major repair & modernisation programme is being successfully implemented and is expected to be completed within three months. As a result of partial implementation of the programme, productivity and quality have substantially increased already, which is reflected in the 1st quarter results. Proposals have been forwarded to the Government for further modernization of the unit mills for Rs 25.86 lakh so as to improve the product quality.

The major liability with the Corporation is the heavy interest burden on account of the KIRF/Govt. loans. The interest burden of the Corporation works out to Rs 250 lakh per annum. A proposal for debt restructuring has also been forwarded to the group of ministers and the same is expected to be implemented within three months.