Prime Minister Shri Narendra Modi inaugurated Arvind Limited’s new garment manufacturing facility in Varanasi, Uttar Pradesh, on 25 October 2026. Smt. Anandiben Patel, Governor of Uttar Pradesh, and Shri Yogi Adityanath, Chief Minister of Uttar Pradesh, attended the event. Senior government officials and industry leaders were also present.
Arvind Limited has invested approximately ₹150 crore in the facility. It is the company’s first manufacturing unit in Uttar Pradesh. The plant covers 5.5 acres and has a built-up area of approximately 65,000 sq. ft.
The facility has a revenue potential of ₹250 crore. It is also expected to create jobs for more than 1,000 people, predominantly women. The unit will manufacture essential knitwear products using advanced automated sewing technologies.
In addition, the facility will strengthen Arvind’s garmenting business by linking garment production with the company’s in-house knitted fabric manufacturing.
Arvind Expands Garment Production Through Vertical Integration
The new Varanasi facility marks a step towards greater vertical integration for Arvind Limited. The plant will use the company’s own knitted fabrics to manufacture garments. As a result, Arvind expects to expand its product offering to existing customers and strengthen customer relationships.
The project will also add garment manufacturing capacity in India. Furthermore, the company expects the facility to support its efforts to serve European and UK markets following recently signed free trade agreements (FTAs).
Arvind has designed the plant as a modern manufacturing hub. Its main priorities include efficiency, sustainability and worker welfare. The automated production systems aim to improve productivity, maintain consistent quality and support large-scale manufacturing.
The company has also built dedicated hostels for workers. Moreover, it plans to expand residential facilities as production grows.
Sanjay Lalbhai Highlights Employment and Industrial Development
During the inauguration, Sanjay Lalbhai, Chairman of Arvind Limited, welcomed the Prime Minister and spoke about the group’s industrial history and employment plans.
He said:
“We are deeply honoured to have the Hon’ble Prime Minister inaugurate this facility. The Lalbhai Group’s journey of 130 years began in 1897 and has remained closely intertwined with India’s industrial progress. Inspired by the institution-building vision of Shri Kasturbhai Lalbhai, we have consistently invested in enterprises that contribute to economic growth, employment generation and nation-building. We are particularly proud that this investment will create large-scale employment opportunities, with women expected to form a significant part of the workforce, reflecting the transformative power of Nari Shakti in driving India’s growth story. We are proud to partner in India’s development journey through investment, innovation and job creation.”
Punit Lalbhai Discusses India’s Apparel Manufacturing Potential
Punit Lalbhai, Vice Chairman of Arvind Limited, highlighted India’s textile value chain, skilled workforce and growing demand for diversified sourcing. He said these factors could strengthen India’s position in global apparel manufacturing.
He said:
“India is at an inflection point in its apparel manufacturing journey. With a strong textile value chain, a skilled workforce and growing global demand for diversified sourcing, the country is well positioned to emerge as a preferred manufacturing destination for the world. Sustained investments in capacity, productivity, sustainability and workforce development will be critical to realising this opportunity. We are happy that this facility will contribute to local economy with multiplier impact through local employment generation, local sourcing of goods and services and a secondary impact on the ecosystem of moving workforce back home through reverse migration. At Arvind, we remain committed to contributing to this growth story by building globally competitive manufacturing capabilities that create long-term value and employment.”
The facility is expected to support Varanasi’s economy through direct employment and local sourcing. It may also create demand for goods and services across the supply chain. In addition, the company expects local job opportunities to encourage reverse migration by allowing workers to find employment closer to home.
Kulin Lalbhai Highlights Uttar Pradesh’s Manufacturing Growth
Kulin Lalbhai, Vice Chairman of Arvind Limited, highlighted Uttar Pradesh’s development of infrastructure, industry, connectivity and skills. He said these factors are helping the state attract manufacturing investment.
He said:
“Uttar Pradesh is rapidly establishing itself as one of India’s most attractive manufacturing destinations. The state’s focus on infrastructure development, industrial growth, connectivity and skill creation is enabling businesses to expand with confidence and scale. As the textile and apparel sector continues to grow, Uttar Pradesh is well positioned to play a pivotal role in strengthening India’s manufacturing ecosystem, creating employment opportunities and attracting long-term investment.”
Varanasi Facility Expected to Support Local Economic Activity
The new plant is expected to contribute to economic development in Varanasi and across Uttar Pradesh. Besides creating more than 1,000 direct jobs, it is expected to support activity in logistics, supply chains and local services.
The project will also add garment manufacturing capacity and create opportunities for skills development. These activities could support the wider apparel manufacturing ecosystem in the region.
Meanwhile, automated production systems and dedicated worker hostels will support the plant’s operations. Arvind also plans to expand residential infrastructure as its workforce grows.
Key Details of Arvind Limited’s Varanasi Facility
- Company: Arvind Limited
- Facility: Greenfield garment manufacturing unit
- Inauguration date: 25 October 2026
- Location: Varanasi, Uttar Pradesh, India
- Investment: Approximately ₹150 crore
- Land area: 5.5 acres
- Built-up area: Approximately 65,000 sq. ft.
- Revenue potential: ₹250 crore
- Expected direct employment: More than 1,000 people, predominantly women
- Products: Essential knitwear
- Technology: Advanced automated sewing technologies
- Key objective: Garment manufacturing expansion and vertical integration