Yajur Fibres Limited is engaged in the manufacturing of premium cottonised bast fibres, including flax (linen), jute, and hemp. The company earns revenue through a B2B model by supplying cottonised fibres and yarns to spinning and weaving mills. Its products enable blending of bast fibres with cotton and man-made fibres, offering sustainable and cost-efficient textile solutions across apparel, home textiles, and industrial applications.

Key Clients and Manufacturing Facilities
The company serves over 260 customers, with repeat business from 159 customers. Its top 10 customers contributed 65.28% of revenue as of November 30, 2025. Yajur Fibres operates a manufacturing facility at Jagannathpur, Uluberia, Howrah, West Bengal, spread across approximately 19 acres, located in India’s key jute hub with strong logistics and raw material access.

Product Portfolio and Order Book Execution
The product portfolio includes cottonised flax fibre, cottonised jute fibre, cottonised hemp fibre, flax yarn, and jute yarn. These products help textile manufacturers improve fabric performance, reduce costs by nearly 25% versus pure linen, and extend product life cycles. The company executes orders through continuous production with installed capacity of over 300 MT per month, ensuring timely delivery to domestic and export customers.

Mergers, Capex, and Expansion Plans
Yajur Bast Fibres Limited was merged into Yajur Fibres Limited under an NCLT-approved scheme effective April 1, 2021. The company plans capex of ₹1,192.76 lakh to build a 50,000 sq. ft. shed and install new cottonising machinery, increasing capacity by up to 4 tons per day. Dyeing and bleaching facilities will be added through internal accruals.

Employees and Banker Details
As on November 30, 2025, the company had 409 employees. The Banker to the Company is ICICI Bank Limited.

Management and Growth Vision

The management, led by experienced promoters from the Kankaria Group with over 80 years in the jute industry, focuses on sustainable fibre innovation and global market expansion. Near-term goals include capacity expansion and backward integration, while long-term targets focus on export growth and higher-margin products. Capex funding will be arranged through IPO proceeds, internal accruals, and bank financing.

Industry Overview

Yajur Fibres operates in the bast fibres industry, which includes flax, jute, and hemp. The industry benefits from rising demand for sustainable and biodegradable textiles. India is a major producer of jute, while global demand for linen and hemp fibres is growing due to eco-friendly regulations. The bast fibre market is expected to grow at mid-single-digit CAGR globally, driven by textiles, packaging, and home furnishings.

Key Risk Factors

1. Customer Concentration Risk
   The top ten customers contributed over 65% of revenue, making the company vulnerable to loss or slowdown from key clients, which could materially impact revenue and cash flows.
2. Raw Material Availability Risk
   The business depends on availability and pricing of natural bast fibres like flax and jute, which are influenced by agricultural output and climatic conditions.
3. Working Capital Intensity
   Delayed payments from customers may strain working capital, impacting production cycles and increasing reliance on bank borrowings.
4. Execution Risk of Expansion Plans
   Delays or cost overruns in planned capex projects could affect capacity addition timelines and expected financial returns.
5. Technology and Process Risk
   Failure to adopt new technologies or disruptions in IT systems may reduce operational efficiency and competitiveness.

Key Strengths, Moat, and Opportunities

1. Strong Brand and Industry Experience
   The “Yajur” brand is well-recognised in premium cottonised bast fibres, backed by decades of experience from the Kankaria Group, creating strong customer trust.
2. Technological Differentiation
   The company is among the few to commercially produce cottonised jute and hemp fibres that can blend up to 55% with cotton, creating a strong technological moat.
3. Sustainability-Driven Demand
   Growing preference for biodegradable and eco-friendly textiles globally creates long-term demand for bast fibre-based products.
4. Export Market Presence
   Products are supplied to customers in India, Turkey, Indonesia, Nepal, and Bangladesh, providing geographic diversification and export growth opportunities.
5. Capacity Expansion Upside
   Planned capacity expansion and backward integration into dyeing and bleaching are expected to improve margins, reduce costs, and enhance order execution capabilities.
6. High Entry Barriers
   Limited global spinning mills for linen, jute, and hemp and high capital requirements act as natural entry barriers, protecting long-term competitiveness.