Kitex Garments, a global player in the infant wear segment, has deferred all its investment plans, considering the muted demand scenario amid uncertain market conditions in the export market. The company had investments worth Rs 920 crore last year. It had also envisaged a Rs 2,000-crore investment plan by 2025.

After a complete washout of March and April, the company has started shipping 3.5 lakh pieces per day since May, compared to 7.5 lakh on average in the pre-COVID-19 days. However, it initially faced some operational issues due to COVID-19 regulations. The company employs a massive workforce of 11,000 to meet its production requirements, which gives rise to certain risks. However, it managed to mitigate these risks by totally quarantining the factory and restricting both inward and outward movement of workers.

This year, the company also faced a production loss of around Rs 55 crore in March and April, following the total lockdown in the county. Delay in availability of raw materials from Tirupur, Gujarat and Coimbatore as well as supply chain disruptions forced the company to cut down production. However, it managed to minimize these obstacles to meet its export obligations.