Sky Industries Limited has announced plans to invest Rs. 49 crore (US $5.15 million) in a new technical textiles and apparel manufacturing facility in Gujarat, following the signing of a Memorandum of Understanding (MoU) with the state government on 2nd May 2026.

The agreement outlines the company’s intention to establish a manufacturing unit focused on technical textiles and apparel within the state. According to the company, the Gujarat government has undertaken to facilitate the necessary approvals and permissions required for the project.

The MoU has been described as a facilitation arrangement rather than a binding commercial contract, indicating that the project remains subject to further negotiations and final agreements before execution.

Founded in 1989, Sky Industries is an established manufacturer of hook-and-loop tape fasteners and narrow fabrics. In 2025, the company incorporated Skytech Textiles Private Limited, a wholly owned subsidiary dedicated to neoprene fabric manufacturing, as part of its broader expansion strategy.

Industry observers note that the move positions the company within a competitive landscape that includes players such as Garware Technical Fibres, Banswara Syntex, Arvind Limited, and Century Enka, all of which have established operations in specialised textile segments including geosynthetics, fire-retardant fabrics, and industrial yarns.

Sky Industries reported revenue of Rs. 85.5 crore (US $9 million) for the financial year ending 31st March 2025. In its most recent quarterly update, the company recorded revenue of Rs. 21.40 crore (US $2.25 million) for the third quarter of FY 2025–26, reflecting a year-on-year increase of 4.44%.

The proposed Gujarat facility is expected to strengthen the company’s presence in the technical textiles sector, which continues to witness rising demand across industrial and specialised applications.