Gimsan Gediz Yarn Mill, a manufacturer of cotton, open-end yarn and knitted fabric, has re-started production one-year after economic difficulties forced it to close.

Increasing competition from China and the crisis in Turkish economy were blamed when the company shut down its plant last July, putting around 300 people out of work.

The Kutahya-based company now says it is not only reopening its doors for production but is also increasing its capacity.

President Huseyin Akkasoglu says the company will expand its capacity by renewing its manufacturing plant and investing €1 million in the latest technologies.

Mr Akkasoglu added: "We currently employ around 200 people and aim to increase this. We are now working at 50 per cent capacity. Our aim is to increase this capacity by 50 per cent by the end of this year.

"We are now buying new machines and technology from Europe. After the installation of these machines and equipment our yarn capacity will increase from 5 tonnes to 10 tonnes daily."

The company makes a wide range of yarns and fabrics that are sold in both domestic and overseas markets. It has approximately 50 circular knitting machines.

By Hasan Gulveren.