Arvind expands global footprint with Varanasi garment unit and Amsterdam lab

Indian textile conglomerate Arvind Limited (Arvind) has opened a greenfield garment manufacturing unit in Varanasi, Uttar Pradesh, marking its first manufacturing presence in the state. Built with an investment of approximately 1.5 billion rupees, the site spans 5.5 acres and comprises a built-up area of 65,000 square feet. The operation carries an estimated annual revenue potential of 2.5 billion rupees and is projected to create employment for over 1,000 people, predominantly women.

The domestic factory launch follows the opening of the Arvind Denim Lab (ADL) on October 7, 2026, situated inside Denim City Amsterdam in the Netherlands. The Amsterdam hub represents the conglomerate's first dedicated design, sampling studio, and product development hub in Europe.

Arvind opens garment manufacturing facility in Varanasi

Indian Prime Minister Narendra Modi inaugurated the facility on October 25, 2026, accompanied by Arvind chairman Sanjay Lalbhai alongside vice chairmen Punit Lalbhai and Kulin Lalbhai. The plant produces essential knitwear by integrating automated sewing systems with Arvind’s in-house knitted fabric production. Dedicated residential hostels have also been established on-site to accommodate incoming staff members.

The development aligns with Arvind’s vertical integration strategy, designed to expand garment-making capacity and capitalise on recent free trade agreements across the UK and European markets.

“India is at an inflection point in its apparel manufacturing journey,” stated P. Lalbhai. “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.”

European innovation expansion

Working in tandem with technical teams based in Ahmedabad, the Amsterdam facility targets brand partners across key European markets, including Germany, France, Italy, Spain, and Scandinavia. The site features trend-led capsule development, co-creation workshops, and specialised wash programmes.

Arvind CEO of wovens Karan Ojha noted that the Dutch location provides strategic proximity to key buyers, shortening collection lead times from concept to commercialisation. Both investments highlight the manufacturer’s dual focus on scaling automated production capacity in India while accelerating design engagement across Europe.