Promoted in the joint sector by the Punjab State Industrial Development Corporation (PSIDC) and Arihant Industries (formerly Arihant Fabrics), Arihant Cotsyn was incorporated as a public limited company in Dec.'87. The company set up a spinning unit based on airjet spinning technology, commercial production of which commenced in 1990-91. In Nov.'92, the company came out with a public issue to part-finance the setting up a 100% EOU (inst. cap.: 11,520 spindles) for the manufacture of cotton/cotton-blended spinning yarn; setting up a ring spinning unit (inst. cap. : 12,480 spindles) for the manufacture of dyed synthetic/blended yarns; and to set up facilities for doubling of yarn. All the units are located in Dhuri (Sangrur district), Punjab. Commercial production commenced in 1993. In 1992, the company entered into an agreement with Salmia General Trading Company, Ajman (UAE), for the export of its entire production of the EOU for eight years. The company 100% Export Oriented Cotton spinning unit is moving mark and running efficiently & effectively to meet the export targets of the company.