Hyosung Corporation to invest INR 3,000 crore in Maharashtra spandex project
Published Date | 2018 February 16
India: Hyosung Corporation, a South Korea based spandex producing company is likely to invest around INR 3,000 crore in a manufacturing facility in Maharashtra. The project will be set up in Aurangabad Industrial City (AURIC), which is a greenfield smart industrial city being developed across 10,000 acres, as part of the Delhi-Mumbai Industrial Corridor (DMIC).
In the first phase of the project, Hyosung Corp. is likely to invest over INR1,250 crore and the state government will soon take a decision on its request to allot 100 acres land near Aurangabad. Hyosung is a leading chemical and technological textile company, had then evinced an interest in investing in spandex manufacturing for the textile sector.
According to BlueWeave Consulting (BWC) firm, the investment in Maharashtra project will give a positive impact on the spandex market in India. It is widely used in textile manufacturing applications such as leggings, gloves, cycling jerseys and competitive swimwear. Sportswear application is likely to witness highest gains over the forecast period. Up to 3% of spandex fiber in fabric is enough for fabric improvement and shape retention whereas high performance garments such as swimwear is may contain 30%. Technology advancement with moisture management properties coupled with performance efficiency is likely to benefit eglantine the market growth. The sportswear retail market in India is estimated at over INR 375 billion and is expected to grow with a growth rate of 32% over forecast timeline. The market includes sports apparel, footwear and accessories, with footwear being the largest segment, accounting for around 60% of the total market. Thus, the increasing sportswear market in India will propel the spandex industry growth. Meanwhile, running, cycling and team sports are amongst India's fastest trending exercises, the number of gyms in the country is expected to rise 7% by 2020. A growing number of consumers both female and male are emulating the daily fitness routines and sportswear purchases of bollywood stars and famous athletes. With these social, cultural and market shifts continuing in the years to come, India is gearing up for its biggest sporting boom to date. This makes the country’s sportswear sector increasingly attractive to a host of local and international brands, thereby stimulating the spandex market size in India.
According to the BlueWeave Consulting (BWC) firm’s upcoming report- “India Spandex Market Size, by Production Process (Solution Dry Spinning, and Solution Wet Spinning), by End-Use (Textile, and Healthcare) & by State (Gujarat, Maharashtra, U.P, West Bengal, Orissa, Andhra Pradesh, Telengana, Karnataka and Assam) - Forecast to 2024” the spandex market size in India is estimated to be over 1,500 metric tons this year and it is expected to grow with a rapid pace over the forecast timeframe owing to its increasing application scope in apparel and textile industry. Spandex is a commonly known synthetic fiber possessing exceptional elastic properties, excellent durability and abrasion resistance, making it a favorable fiber to be used in comfort and active wear in various industries including clothing, automotive and medical industry. The increasing disposable income in the emerging economies like India coupled with significant opportunities in end-user industries and continuous FDI investments are expected to provide significant opportunities for key players operating in the market.