When we think of textiles, what comes to mind are reams of cloth in different colours, patterns, prints and textures. But almost all forms of synthetic textiles – whether it’s a checked fabric for garments, a floral pattern for curtains or a an off-white sheer curtain – start from a base fabric called “greige fabric,” an unfinished woven cloth that comes straight from the loom, before bleaching, dyeing, printing, or finishing.
One recently-listed smallcap company specialises in making such greige fabrics, and is set to expand further: Borana Weaves.
What is greige fabric?
Borana Weaves manufactures unbleached synthetic grey fabrics which are sold to textile finishing units, garment makers, printing/dye houses. In textile manufacturing, grey or greige fabric refers to woven cloth in its most raw and unprocessed form: straight off the loom, before undergoing any bleaching, dyeing, printing, or finishing. When the fibre used is synthetic, like polyester, viscose, or nylon, the result is a strong, durable, and wrinkle-resistant fabric with excellent dimensional stability and colourfastness once finished.
Unbleached greige fabric is simply material that has not been chemically whitened or scoured, retaining its natural off-white or greyish hue from the yarn itself. Typically, polyester filament yarn is woven or knitted into this base fabric, which then moves to processing houses where colour, texture, and finishes like waterproofing or coating are applied.
Greige fabric plays a foundational role in the textile value chain (much like semi-finished steel in manufacturing), serving as the essential raw material for countless downstream industries, from dyeing and printing units to garment, upholstery, and home furnishing producers. While not every textile company makes grey fabric, nearly all depend on it as the starting point for finished textile products.
What’s working in their favour?
Headquartered in Surat, Borana is a fairly recent entrant, but has made some notable strides. The company was incorporated on 28 October 2020 as Borana Weaves Private Limited and was converted into a Public Limited Company in mid-2024. The name changed to Borana Weaves Limited, with the fresh certificate of incorporation issued 24 September 2024. It was listed on the bourses earlier this year, in May 2025.
- Location: Being based in the Gujarat/Surat textile cluster, is a bonus, thanks to access to well-established supply chains, logistics, skilled labor, and buyer base.
- Product portfolio: The company manufactures two main products: greige/unbleached synthetic fabric, or the unfinished/untreated fabric, which is later dyed, printed, or finished. And the other is PTY, or polyester textured yarn, which is produced by heating Polyester Oriented Yarn (POY), and is used internally for the greige fabric.
- Vertical/backward integration: Since Borana Weaves manufactures their PTY in-house and then uses it as input to make their own grey fabrics, it gives them greater control over the finished product. The company is able to control yarn quality and specifications, reduce purchase dependency, and likely improve margins and delivery timelines.
- Manufacturing: The company runs three units in Surat, Gujarat. The combined capacity includes 15 texturising machines, 6 warping machines, 700 water-jet looms, and 10 folding machines (as of late 2024). The company also reported that the IPO proceeds would be used to set up a fourth manufacturing unit.
- Demand and scalability: Almost all textile finishing or garmenting units need grey fabric, ensuring steady market demand, and, given that greige fabric production is relatively high-volume and capital-intensive but standardised, it is easily scalable.
Latest capacity expansion
Earlier this month, Borana Weaves announced the commissioning of 108 additional water jet looms at its Unit 4 facility—an achievement that marks a key milestone in the company’s ongoing expansion strategy. Notably, the commissioning has been completed three months ahead of schedule, reflecting Borana’s operational discipline and the strong demand underpinning its growth.
With the completion of this phase, Borana Weaves’ total capacity will rise to 346 million meters per annum, giving it added momentum in the synthetic greige fabric segment. The company anticipates expanding its market share from the current 20–25% range to nearly 25–30%, supported by scale efficiencies, improved margins, and reduced reliance on outsourcing.
Possible challenges and opportunities that lie ahead
Several factors work in Borana Weaves’ favour, but it’s also important to keep in mind the challenges that relatively young companies may encounter. With ongoing capacity expansion, the business faces the usual execution risks of managing costs, timelines, and cash flows efficiently. Its customer and supplier base is currently concentrated, and most operations are located in Gujarat — factors that offer logistical advantages but also mean exposure to regional dynamics. As with all textile producers, input prices for polyester yarn and energy can affect margins, though the company’s vertical integration and operational efficiencies may help cushion such fluctuations over time.
While greige fabrication is not a unique domain, Borana’s upward trajectory—fuelled by vertical integration (in-house PTY yarn), modern machinery, etc—already sets it apart from many commodity fabric suppliers. The latest development of adding 108 new looms to push capacity toward 346 million metres underscores its commitment to scale, operational leverage, and ambition. If it can sustain high utilisation, contain input and energy costs, and maintain its quality/consistency, Borana may benefit from the growth in synthetic textiles.
Sources
Borana Weaves Accelerates Expansion: 108 New Looms Boost Capacity to 346 Million Meters
Borana Weaves Ltd Company History
Borana Weaves IPO Makes Positive Market Debut
Borana Weaves’ Rs 145-Cr IPO Opens On May 20: Key Facts to Know Before Investing
Borana Weaves IPO analysis: Should you apply? | Value Research