Vardhman Textiles is India’s largest yarn maker and a textile producer that turns raw fibre into finished shirts under one roof - a journey that began in 1965 with 6,000 cotton spindles in Ludhiana. Over six decades, the company has built a chain that stretches from spinning to fabric processing to garment-making, guided by a consistent philosophy: expand only in areas “which we know best,” invest in world-class machinery, and pursue total quality for premium markets. That approach has produced a vertically integrated operation where more than 90% of the yarn used for fabric comes from within the company, giving it full traceability from cotton source to finished product. # Business segments Three engines built in sequence - a yarn-making giant that feeds a fabric powerhouse, which in turn supplies a small but growing garment unit - each relying on the one before it for raw material and customer access. ## 1. Yarn: the foundation that makes Vardhman India’s largest spinner **With over 1.25 million spindles, the company produces more yarn than anyone else in India and supplies the quality-conscious export market as well as its own fabric division.** - **Scale that few can match** - installed capacity of 1.23 million spindles makes it the largest yarn producer in India, and it is also the country’s largest manufacturer of hand-knitting yarn. The Indian spinning industry has an estimated working capacity of 41-42 million spindles after roughly 10 million spindles went permanently idle, so Vardhman’s share of the active base is substantial. - **A catalogue built for every end-use** - the yarn portfolio spans melange, compact, vortex, slub, corespun, recycled, organic, and functional performance yarns, among others, in cotton, polyester, acrylic, viscose and blends. Dyed yarns are sold under the “Rangoli” brand, and the company has introduced low-pilling vortex yarns using 26 new machines. - **Quality that opens export doors** - every cotton line runs through USTER Vision Shield Magic Eye contamination removal, all winding positions have USTER Quantum-3 clearers, and roughly 95% of ring frames have auto doffing. That consistency has earned a name in the European Union, United States, and Middle East, though most yarn exports go to Asian garmenting hubs, with China’s monthly intake rising from 7-8 million kg to about 30 million kg recently. - **Modernisation that keeps the fleet young** - a major upgrade covering roughly 70,000 ring-frame spindles and 5,000 speed-frame spindles was 90% complete by early 2026, and multiple expansions have added about 32,600 new spindles in the past year alone. The average age of equipment is among the best in the Indian textile industry. - **Surplus capacity as a strategic buffer** - the company deliberately maintains more spinning capacity than its fabric division needs, so it can choose whether to sell yarn externally or feed its own looms depending on market conditions. ## 2. Fabric: where the yarn becomes the finished textile **Operating 1,500-plus looms and a processed-fabric capacity of 222 million metres a year, the fabric division turns Vardhman’s yarn into piece-dyed, printed and yarn-dyed fabrics for global apparel brands.** - **End-to-end under one roof** - the division handles everything from weaving grey fabric to finishing, dyeing and printing, using European and Japanese machinery that processes fabrics from 60 GSM to 400 GSM. Customers get a single point of contact from fibre to finished fabric, which is what large global brands increasingly demand as they consolidate their vendor base. - **A finish for every requirement** - the portfolio includes branded finishes such as “Worry Free,” “Stay White and Fresh,” “Easy Care,” UV protection, anti-microbial, water repellent, and quick-dry, among others. An in-house design team creates roughly one-third of newly launched fabrics from original concepts, drawing on trend analysis, buyer feedback and global textile fairs. - **Greener chemistry as a competitive tool** - the company uses enzymatic desizing, bio-scouring, 100% peroxide bleaching, and Caustic Recovery Plants that recover up to 90% of caustic used. E-Control dyeing eliminates salt from the process, and eco-washers cut water and acid consumption - credentials that matter to brands requiring full supply-chain visibility and sustainability audits. - **Two new engines just switched on** - a performance-fabrics plant for 100% synthetic filament-based fabric (18 million metres per year) and a fourth cotton-processing line (31 million metres per year) both began commercial production in March 2026, pushing total processed-fabric capacity from about 180 million metres to 222 million metres annually. The synthetic move is notable because there are “hardly any players for 100% synthetic” fabric in India, positioning Vardhman in outerwear segments such as jackets and windcheaters. ## 3. Garments: the shirt factory that sells directly to brands **A small but strategically placed shirt-making unit that turns Vardhman’s own fabric into finished garments for labels like Zara, Louis Philippe and Jack & Jones, bypassing the exporter middleman.** - **Born from a Japanese partnership** - the garment business started in 2009 as a joint venture with Nisshinbo Textile of Japan, became wholly owned in 2019, and was merged into Vardhman Textiles in 2022 under the name Vardhman Apparels. - **The post-cure shirt niche** - it is the sole manufacturer of post-cure shirts in India, using liquid ammonia treatment and a baking machine to produce taped formal shirts with a distinctive finish. The factory also makes smart casual shirts from cotton, linen, modal, Tencel and blends, using automated spreading, high-speed sewing and Jeanologia e-flow washing technology. - **Direct to the brand, not the exporter** - unlike yarn and fabric, which are sold B2B to garment exporters, the garment unit sells straight to international and domestic brands and negotiates prices directly to cover higher input costs. Its customer list includes Zara, Land’s End and Ben Sherman. - **Capacity set to double** - current capacity is 2.2 million shirts a year (about 6,000 shirts a day), and the board has approved an expansion to 4.5 million shirts annually at a cost of roughly ₹125 crore, aiming to attract premium international buyers and build long-term brand relationships. # Group structure and partners **Vardhman Textiles is the flagship of a family-controlled group with interests in acrylic fibre, sewing thread, special steels and captive green power - each housed in a separate entity but linked by common ownership and raw-material flows.** - **A single listed operating company** - the promoters hold about 65% of Vardhman Textiles, with HDFC Mutual Fund (7.15%), DSP Mutual Fund (3.02%) and Nippon Life India (2.98%) as the largest institutional shareholders. The business is managed as one reportable segment, with the Chairman and Managing Director evaluating performance and allocating resources as a single unit. - **Subsidiaries that extend the chain** - Vardhman Acrylics Limited (70.74% owned, listed separately) manufactures acrylic fibre and reported standalone revenue of ₹281.57 crore in FY25. VTL Investments Limited is a wholly owned investment subsidiary. - **Associates in thread and steel** - Vardhman Yarns and Threads Limited (11% stake) is a joint venture with American & Efird Global, the world’s second-largest thread maker, and posted standalone revenue of ₹1,195.51 crore in FY25. Vardhman Special Steels Limited (23.76% stake, listed separately) had revenue of ₹1,764.41 crore and in mid-2025 brought in Aichi Steel Corporation of Japan as a shareholder under a new shareholders’ agreement. - **Captive power through shared ownership** - the company holds minority stakes (19.5% to 31.2%) in special-purpose vehicles that own wind, solar and hybrid power plants in Madhya Pradesh and Punjab, securing green electricity for its factories without carrying the full capital cost on its own balance sheet.