Punjab attracts $82 million textile investment as yarn manufacturer Ganga Acrowools expands operations, strengthening regional textile growth.
Punjab’s textile industry is set to receive a significant investment boost after Ganga Acrowools Limited, a yarn manufacturer and exporter, announced a major expansion project valued at around Rs. 750 crore (US $ 81.85 million). The development was announced by Punjab’s Minister of Industry & Commerce Sanjeev Arora, who stated that the expansion would strengthen the state’s industrial ecosystem and further position Punjab as an attractive destination for investors. The project is expected to create more than 1,500 new jobs, adding to the company’s current workforce of over 5,600 employees.
Arora noted that the investment reflects the success of the state government’s initiatives to attract domestic as well as international investments by improving the ease of doing business and fostering a supportive industrial environment. He added that the expansion would also benefit the MSME sector and ancillary industries connected to the textile value chain in the region.
A key part of the project includes the installation of a biomass-based boiler and turbine system worth Rs. 53 crore (US $ 5.78 million), which will utilize agricultural waste as fuel. The minister said the facility will use approximately 1,20,000 tonnes of paddy stubble each year, helping to reduce stubble burning within a 20–25 kilometer radius while also supporting the company’s textile manufacturing operations.
Amit Thapar, President of Ganga Acrowools Limited, said the company had initially planned to invest Rs. 301 crore (US $ 32.85 million) but later increased the total investment to Rs. 750 crore (US $ 81.85 million) due to the favorable policy environment and steps taken by the state government to lower the cost of doing business. He mentioned that around Rs. 400 crore (US $ 43.65 million) has already been invested, with the remaining funds scheduled to be deployed over the next 24 months.
The upcoming facilities will focus on the production of specialized yarns used in knitting, weaving, carpets and technical textiles, which is expected to further strengthen Punjab’s role in global textile manufacturing and exports. Industry experts believe the expansion will also generate broader economic benefits by supporting supply chains, small suppliers and related industries, while reinforcing confidence in Punjab’s industrial policies and its ability to attract long-term investments in high-value manufacturing sectors.