"The MAS Fabric Park, specializing in the operation of Industrial Parks, has just entered into a MOU with the Government of Andra Pradesh to open a 750 acre Industrial Zone in Nellore District as a second phase expansion into India," the company said in a statement.
The park in India will attract investments from customers wanting to expand in India, with Sri Lanka staying a hub for product design and development.
MAS Holdings says it expects an investment of 200 million dollars and export revenue of 500 million dollars over a period of five years.
The expansion into India follows a similar project launched earlier this year to develop the 175 acre Thulhiriya Textile Park in Sri Lanka into an export processing zone to produce fabric and apparel.
Called the MAS Fabric Park, the company said it would be investing 25 million dollars to develop the zone, allowing the local industry to compete with China, India and Vietnam.
The Thulhiriya zone is to be developed in consultation with Atelier Management; a Singapore based industrial zone architectural company, MAS Holdings said.
The Sri Lankan park is to start operations in May next year with the first 30 million dollar investment from MAS DogiEFA - a three-way joint venture between Dogi of Spain, Elastic Fabrics of America.
"The project is the last link in MAS’ supply chain integration strategy, and is expected to attract investments worth 30 million dollars in the different stages of the manufacturing and finishing processes."
"This would be the first export scale unit of its kind in South Asia, offering manufacturers of corsetry, swimwear and sportswear a much needed boost in facilitating 20-30 percent of their warp knit fabric demand by 2008."
The second customer into the Thulhiriya zone is Miami Exports, concentrating on yarn dyeing and knitting and is to begin construction early 2007.
Part of MAS Holdings investment will also be a training college - Asian Institute of Management and Technology on a 14 acre site.
The college will work with local and foreign universities for textile and garment technology, lean manufacturing and conduct community development programs.
MAS Holdings is a 700 million dollar company, operating in Sri Lanka, India, China, Indonesia and Mexico, with 30 factories employing 35,000 people.The company is the single largest supplier to lingerie brand Victoria’s Secret with buyers like GAP, Adidas, Nike, Speedo, and Marks & Spencer among its clientele.