By Arun rao
From its humble beginnings in the textile industry to becoming a global powerhouse in yarn, fabric, & garment exports, Vatsal Exports LLP has charted an extraordinary journey. Under the visionary leadership of its Managing Director Mr. Vatsal Gaudani, the company has achieved remarkable milestones, including establishing its own garment manufacturing facility in Ahmedabad and exporting to over 25 countries. Additionally, he has also created a distinctive menswear brand ‘Future Sage’. In an exclusive interview, Mr. Gaudani shared the company’s story, achievements, and future aspirations, shedding light on how Vatsal Exports continues to set new benchmarks in exports of cotton yarns, knitted fabrics, and garments.
From Civil Engineering to Textiles: The Journey of Vatsal Gaudani
Vatsal Exports, an Ahmedabad-based company founded in 2021, has become a force to be reckoned with in the textile and apparel industry within just three years. Under the leadership of Mr. Gaudani, who has a background in civil engineering and whose family is in the real estate and construction business, the company achieved impressive exports of Rs. 221 crore by fiscal year ending March 31, 2024, or within just three years.
Mr. Gaudani’s journey into textiles began in 2017, when the Gaudani family, along with partners, established Sky Spintex—a spinning mill with 27,360 spindles located near Botad in Gujarat’s Saurashtra region. Initially, Mr Gaudani visited the mill regularly and developed a keen interest in the textile industry. He took a more hands-on role by managing Ozone PB Spintex, another spinning mill near Ahmedabad, which his family purchased in 2019, where he became deeply involved in mill operations, from sourcing cotton to manufacturing yarns and overseeing export functions and operations.
In 2021, he incorporated Vatsal Exports LLP with the goal of exporting yarns, fabrics, and garments to international markets. Since then, the company has made remarkable progress. “What began as a vision to expand our family’s business beyond real estate has turned into a successful and rapidly growing textile and garment export venture,” said Mr. Gaudani.
Rapid Growth in Cotton Yarn Exports: A Strategic Expansion
The organization’s initial focus was on exports of cotton yarns, and the company’s growth in this segment has been exceptional. Mr. Gaudani embarked on a mission to manufacture the best cotton yarn made using Shankar 6 cotton, a premium-grade product, to ensure control over quality and consistency.
Within months of starting operations, Vatsal Exports successfully exported its first batch of five containers of cotton yarn to Bangladesh. This achievement marked the beginning of a strong export relationship with Bangladesh, which soon turned into repeat orders. Within just nine months, the company achieved revenue of Rs 37.4 crore in fiscal year ending March 31, 2022.
Mr. Gaudani’s strategic vision to expand into international markets soon took shape, tapping into regions like China, Turkey, Egypt, and South America. Over time, the company started exporting cotton yarn in counts ranging from 16’s to 40’s, including carded yarns, combed yarns, and compact yarns, expanding its clientele and diversifying its market reach.
A Global Presence: Exporting to Over 25 Countries
The company’s focus on quality and customer satisfaction has resulted in an expansive global footprint. Today, they export to a wide range of markets with over 25 countries including China, Turkey, Egypt, and parts of Latin America along with Bangladesh, as their key export destinations.
Vatsal Export’s strategy of maintaining a consistent yarn quality has been instrumental in ensuring buyer trust. By unfailingly delivering the same high-quality yarn with each order, the company has built long-term relationships with customers around the world. “Consistency in product quality is the key in forming strong bonds globally” Mr. Gaudani explained.
The export journey of Vatsal Exports, from starting in Bangladesh to now serving global markets, has been marked by an unwavering commitment to providing premium quality products and exceptional service.
Diversification into Fabrics and Garments: A New Horizon
In addition to its success in the cotton yarn business, the organization ventured into exports of fabrics and garments in 2022. The company’s first significant breakthrough in apparel exports came when it fulfilled a large order for a renowned fashion brand in Italy. This order, which took nearly five months to execute, was pivotal in establishing the company’s presence in the global garment export market.
Subsequently, they decided to focus exclusively on cotton yarns and apparel exports. This strategic move allowed the company to hone its expertise in garment production, offering a wide variety of products. The company now manufactures fabrics from Gujarat for its apparel range and also offers garments with functional finishes, including antimicrobial, fire retardant, moisture-wicking, and UV protective finishes. The company also supplies apparel made from bamboo fabrics, hemp fabrics, and organic fabrics, which makes it a one-stop solution for all kinds and varieties of apparel.
“We also have our garment brand ‘Future Sage’, which we soft-launched and showcased at Bharat Tex 2024. It’s a menswear brand and includes shirts, trousers, t-shirts, hoodies, denim jeans, jackets and more. Thanks to the Bharat Tex exhibition, the company received a huge boost in orders, which led to the brand launch being shifted further back in the pipeline for the time being.” Mr Gaudani shared.
With a growing portfolio of customers in Europe, the Middle East, and Asia, the company is now an established player in fabric and apparel export, complementing its earlier success in cotton yarns. “Right now, the ratio of clothing exports versus the domestic market is 50:50, and our vision is to have it in the ratio of 80:20. Currently, we are exporting apparel to various brands in Saudi Arabia, Dubai, Italy, Spain, and South Korea. In the Indian market, we also supply to domestic brands. Our main focus is offering products of the highest quality and also excellent service to our buyers,” he stated.
Setting Up a State-of-the-Art Garment Manufacturing Facility
In 2024, Vatsal Exports made a significant investment in infrastructure by setting up a garment manufacturing facility in Ahmedabad, equipped with 100 cutting-edge stitching machines from the best of the industry brands. This facility exclusively manufactures knitted apparel and works in tandem in Ahmedabad. This unit produces around 80,000-100,000 pieces of garments every month. This manufacturing capacity strengthens Vatsal Exports’ position in the international market and allows the company to meet rising demand for its apparel products across different regions.
A Strong Workforce and Commitment to Quality
At the heart of Vatsal Exports’ success is its dedicated team. With around 25 employees at the head office, the company employs garment merchandisers, marketing personnel, quality control officers, and designers. The in-house design studio plays a vital role in developing unique and appealing apparel collections, while the garment factory has a showcase studio for displaying their latest creations.
The company also prides itself on the fact that nearly 70% of the workers in its garment factory are women, a reflection of its commitment to diversity and empowerment.
Vatsal Exports’ rigorous quality control team ensures that every order, whether for yarn, fabric, or garments, is delivered with the highest standards. The company’s ability to maintain comprehensive records for yarn and fabric testing has helped them resolve post-delivery issues quickly and efficiently, ensuring customer satisfaction at every stage.
The India Advantage: Leveraging the China+1 Policy and Global Trends
The global textile and apparel market has seen significant changes, particularly with the rise of the “China+1” policy. Countries around the world, including many major brands, are increasingly looking to diversify their supply chains to reduce reliance on China. India, with its robust cotton production and strong textile capabilities, has emerged as a key alternative.
Mr. Gaudani observed, “We are witnessing an increasing shift of orders to India. Even Indian brands that once sourced garments from Bangladesh now opt to produce them locally due to India’s competitive advantages and production capabilities. Countries like Saudi Arabia and the UAE have also recognized this shift and are wooing investors to set up manufacturing facilities in the region.”
However, Mr. Gaudani notes that Chinese garment manufacturers are actively investing in countries like Vietnam and Indonesia to maintain their global market share, especially in the growing segments of sportswear and athleisure, and particularly to skirt the China+1 policy.
Future Plans: Expansion and Investments for Sustainable Growth
Looking ahead, Vatsal Exports is poised for further expansion. The company plans to invest Rs 25 crore to add 350 sewing machines to its garment manufacturing facility, enabling it to diversify into woven fabric garments alongside its existing knitted apparel production. This expansion will also include increasing the capacity of the workers’ training facility, ensuring that the company can recruit and train an adequate number of skilled workers to meet the needs of its growing operations.
With a clear vision for the future, Vatsal Exports is not just expanding its business; it’s positioning itself as a leading name in the global textile and apparel export market. “Investing in infrastructure, technology, and workforce training is critical for us as we look to scale our business sustainably and continue offering the highest quality products to our global customers,” Mr. Gaudani concluded by saying.
