Coimbatore-based Sri Kannapiran Mills Limited (SKML), a leading Indian producer of cotton yarn and sustainable denim fabrics, has received a US $ 2.5 million loan from The Good Fashion Fund, the Laudes Foundation and the Fashion for Good initiated fund.
The Fund provides long-term loans in addition to technical and environmental and social expertise to manufacturers in Asia, primarily India and Bangladesh. Financing is to be used to invest in impact equipment that delivers both economic growth and good fashion practice.
The initiative will support Kannapiran Mills’ replacement and expansion of key sustainable equipment in two of their spinning factories (KG Naidu Mill, Balaji Mill) and a denim fabric weaving and processing factory (KG Fabriks).
SKML is a sustainability-oriented company that employs over 2500 workers, of which more than 45 per cent are female workers. Its fabrics division KG Fabriks supplies to Tier-1 factories of brands such as TESCO, Sainsbury, Lucy & Yak, Next, ASOS and Levi Strauss.
In a statement, Netherlands-based Good Fashion Fund said that this will enable SKML to meet the manufacturing demands of its clients and support the company in scaling its holistic sustainability approach and becoming more competitive in the global supply chain as brands adapt to upcoming regulations and move towards more stringent sustainability standards.
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Srihari Balakrishnan, MD, Sri Kannapiran Mills Limited, “We are delighted to be working with Good Fashion Fund and this investment helps us dig deeper into sustainable practices. The positive impact investment will help our company nurture growth and make it stronger. We continue to be an example in sustainability for other denim manufacturers and this investment will help us move to the front and center of sustainable fashion.”
Bob Assenberg, Fund Director of Good Fashion Fund commented “We are happy to formalise the relationship through this investment with Sri Kannapiran Mills. It has thoughtfully integrated sustainability across its operations and is committed to improving continuously. We greatly appreciate the positive cooperation and are excited to begin this new partnership.”
Anita Chester, Managing Director of Laudes India, emphasised that “The urgency of the climate crisis requires brands and their suppliers to be working together to address key sustainability challenges in materials processing and apparel production. Investments like this are a critical enabler, allowing producers to take their sustainability efforts to the next level in apparel manufacturing in India while scaling their production.”
