Aditya Birla Group's textile JV in China inaugurated
Our Corporate Bureau
02 November 2006
The Aditya Birla Group's Chinese joint venture with the Fujian Jingwei Group, Birla Jingwei Fibres Company Limited was inaugurated today. The Aditya Birla Group holds a 70 per cent stake in Birla Jingwei.
In the first phase the venture will ramp up capacity from 30,000 to 60,000 tonnes. The Indian group expects the venture to emerge as the leading VSF manufacturing operation in China by the turn of the decade. Currently, the Aditya Birla Group commands 22 per cent of the global market for viscose staple fibre.
"The Chinese as a people have indeed a lot of commonalities with us in India," said group chairman Kumar Mangalam Birla, commenting on the inauguration. "We are both a hardworking, committed people with passion. This has been our experience when we acquired the Liaoning Carbon Black Company. So when we were looking at a foothold in China for our viscose staple fibre, we could not have had a better partner than the Fujian Jingwei Group. There is a tremendous synergy between the Jingwei Group's strong presence in the textile spinning sector and our Group's dominance in the VSF business. This unique combination undoubtedly results in the achievement of benchmark levels of operational efficiency and world-class product quality".
According to Birla, the Asian and Chinese markets offer tremendous potential for commodity and specialty fibres in both of which the Aditya Birla Group has a strong foundation. "We are expanding in both these segments. We have great plans for the growth of this new company."