Pearl Global Industries Ltd, one of India’s largest listed garment exporters, has commissioned a new manufacturing facility and expanded its sustainable laundry capacity in Bangladesh, adding around 7 million pieces to its annual garment production capacity.
The development takes the company’s total installed manufacturing capacity across its operating geographies to around 108 million pieces annually at optimum utilisation, according to a report published by Apparel Views on Wednesday.
The company said the expansion is part of its strategy to capture growth opportunities in Bangladesh, which it considers an important sourcing market because of the country’s trade access to major global markets and established apparel manufacturing ecosystem.
“We continue to focus on strategic capital expenditure to capture the growth opportunities in Bangladesh and strengthen our position in this important sourcing market,” Pearl Global Vice-Chairman and Non-Executive Director Pulkit Seth was quoted as saying by Apparel Views.
Seth said the additional capacity would strengthen the company’s ability to serve global customers and contribute to building a scalable manufacturing platform.
Pearl Global Managing Director Pallab Banerjee said the new facility would enable the company to leverage Bangladesh’s skilled and cost-efficient workforce while meeting the changing requirements of international customers.
The company has also expanded its in-house sustainable laundry capacity in Bangladesh. According to Banerjee, the expansion is expected to improve operational efficiency, reduce washing costs and lower water consumption.
Pearl Global expects the expanded laundry operation to generate a return on capital employed (ROCE) of approximately 18–20%, Apparel Views reported.