To cut their reliance on cotton yarns, local Bangladeshi spinning mill owners are choosing to invest more in the synthetic yarn segment. As per a Textile Today report, leading spinning mills, including Envoy, Matin Spinning of DBL Group, Maksons, Square, and Shasha Denim, are investing in synthetic yarn. According to Mohammad Ali Khokon, President, Bangladesh Textile Mills Association (BTMA), demand for cotton yarn has fallen by 35 per cent on the global market as most buyers are preferring synthetic and mixed yarn-based fabrics
Hence, sister concern of DBL Group, Matin Spinning Mills has decided to invest Tk1.86 billion to set up a special yarn unit to manufacture synthetic yarn. The Matin Spinning special yarn unit will increase the company’s daily production capacity by 10 tones and the assessed turnover will grow by Tk1 billion per year, as per the Dhaka Stock Exchange website.
Similarly, Envoy Group plans to invest Tk1.25 billion in setting up a synthetic yarn unit. The new unit will produce 12 tonne of yarn per day and will come into operation by October. One of the top 10 spinning mills in the country, Maksons Group has also decided to invest around Tk100 million in three new spinning units in Mirsarai Economic Zone.
While a concern of Maksons Group, Metro Spinning will invest Tk3.40 billion in a unit while Maksons Spinning Mills will dispense Tk2.54 billion and Tk3.48 billion into 2 other units, according to company insiders.
Square Textiles will invest Tk300 million while Mozaffar Hossain Spinning Mills has already invested Tk2.50 billion to increase synthetic yarn production. Shasha Denim has also signed a deal with the Bangladesh Export Processing Zone Authority (BEPZA) to lease 8 plots in the Dhaka Export Processing Zone (DEPZ) area for future business expansion.