Arvind OG Nonwovens, a joint venture between Arvind and OG Corporation of Japan, launched its manufacturing facilities near Ahemedabad, Gujarat. The joint venture (JV) will manufacture high quality nonwoven fabrics using needle-punch technology for bag house filtration, artificial leather and a variety of other applications. The JV also has a technology alliance with Kureha of Japan, Arvind and OG Corporation said in a combined statement.

Arvind OG has installed custom-built machines specifically designed to achieve Japanese quality standards and capable of handling various fibers such as M-Aramid, Homopolymer Acrylic, Poly-phenelyene Sulfone (PPS), Polyimide Polypropylene and Polyester. These will be manufactured at the newly installed facilities following the highest global standards of quality while leveraging the advantage of India's cost of production, the statement said.

The unit has started production in May 2014 with one line of needle-punching technology, with total investment of nearly Rs 500 million and targeting to reach turnover in excess of Rs 1 billion in 3 years. Beyond this, Arvind will continue to expand capacities in this as well as other technologies within the Nonwoven fabrics space, which will be an important pillar of Arvind's technical textiles growth strategy going forward, the statement said.

Punit Lalbhai, executive director of Arvind and CEO of the advanced materials Division said, "This is a big milestone for Arvind and for AMD. It marks our entry in the highly attractive nonwoven fabrics space, and we are looking to aggressively grow this vertical with our Japanese partners. Beyond this, we are also looking to invest in other technologies and product categories in the non-wovens space going forward."

H. Machino, managing director of OG Corporation India and director of the India JV further added, "Keeping the future in mind, India is a very important marketplace for OG Corporation. We are therefore delighted to partner with Arvind and establish a Nonwoven fabrics manufacturing facility in India."

Shares of the company gained Rs 9.35, or 5.1%, to settle at Rs 192.80. The total volume of shares traded was 386,963 at the BSE (Monday).