The Hindu Business Line : AP, Silk Board to part-fund Chinese reeling machine buy

An entrepreneur Mr Ravinder is setting up a unit in Jangaon of Warangal district, for which he will get a Rs 2.5-crore automatic reeling machine from China.

The State Sericulture Department and the Central Silk Board (CSB), have extended financial support to the tune of Rs 1 crore.

The entrepreneur has to raise the balance to set up the facility, for which the department has helped in tying up funds from State Bank of India, according to Ms C.S. Rama Lakshmi, Commissioner of Sericulture, Andhra Pradesh.

The facility would have the capacity to process 700 kg of cocoon a day. The material would be sourced from nearby districts, as well as the coastal districts of East & West Godavari, Krishna etc. The State produces 55,000 tonnes of cocoon, she told newspersons at the ongoing Vanya Silks, buyer-seller meet.

SPUN MILL

Another corporate initiative in the State coming up was in Anantapur, where Indo Silk, a Bangalore-based company would set up a spun mill. The company plans to invest Rs 2 crore in the venture. The CSB and the AP Government are also supporting the project, she said.

The unit would have the capacity to convert 100 tonnes of cocoon into spun silk. Eri variety of silk, which is becoming popular in the State districts, would be the focus. Interestingly, eri silk from Hindupur is being used in denim.

The Sericulture Department is also trying to privatise seven market yards in the State. The auction method followed for the sale of cocoon was being privatised. Two private markets have been established in Jangaon and Eluru.