EDEN -- Shri Govindaraja (SGR) Textiles will be locating its textile operations in Rockingham County. The company plans to invest more than $40 million and create 84 jobs over the next two years in Eden.
“We’re committed to increasing the number of jobs through international cooperation,” said Governor Pat McCrory in a press release. “With a strong labor force and proximity to cotton-growing regions and ports, Shri Govindaraja Textiles will succeed in North Carolina.”
Shri Govindaraja Textiles Private Limited (SGT) is a part of the Jayavilas Group in Aruppukottai, India. The group is the largest spinner in India with a total installed capacity of 1.1 million spindles and has a workforce of 30,000 employees.
“The company will not only buy North Carolina cotton, but will produce the combed yarn here as well," said Commerce Secretary Sharon Decker. "Innovative companies like SGR Textiles are bringing new machinery that will be put to good use by our talented workforce in Rockingham County.”
SGT has 14 manufacturing units spread across two states in Southern India. The company has a capacity of 400,000 spindles installed with latest modern machineries. This helps the traditional textile company save labor costs and achieve better operational efficiency. The company manufactures combed/carded yarn ranging from 20s to 160s counts.
“SGT has decided to set up a state-of-the-art yarn manufacturing facility in Eden after an extensive search and comparative study that we undertook amongst nine different states and various counties,” stated Ramkumar Varadarajan, managing director of SGR Textiles. “The input cost advantage and the skilled workforce present in Eden will aid in our successful implementation and operation of the project. I sincerely thank the support offered by the State Commerce Department, Eden City officials, US Commercial Service officials and the Consul General at the American Consulate in Chennai, India for really helping us expedite the search, selection and commencement process.”
Salaries will vary by job function, but average annual payroll is estimated to be nearly $2 million plus benefits.
The NC Department of Commerce’s Rural Infrastructure Authority Board awarded a $750,000 Community Development Block Grant (CDBG) to the City of Eden to assist SGRTEX with up to 50 percent of building up fit costs. The company will locate in an 180,000-square-foot building at 335 Summit Road that was formerly owned by Karastan, Inc.
“This is welcome news for Rockingham County,” said Senator Phil Berger. “Shri Govindaraja Textiles’ decision to expand will bring needed jobs to our community and help continue our rich tradition of manufacturing high-quality textile products.”
“It is great to see manufacturing coming back to North Carolina, and I am proud to see our rich textile heritage on the rise once again,” said Lieutenant Governor Dan Forest. “There are numerous reasons this company chose North Carolina including our abundant agricultural and human resources, our existing manufacturing facilities, our low energy costs and our competitive tax structure.”
“We are pleased to welcome SGR Textiles to Eden,” said Eden Mayor Wayne Tuggle. He added, “Eden has a rich textile heritage and it is gratifying to see this company invest in our community and provide much-needed jobs.”
Partners that helped with this project include: The N.C. Department of Commerce, N.C. Community College System, Rockingham County Partnership for Economic & Tourism Development, Rockingham County and the Town of Eden.