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Earlier, compact yarn was used by companies making shirt material but now hosiery units use compact yarn. It is a value-added product and in the comings years, its demand is expected to go up. It is estimated that in the next seven to eight years, about 30 percent of the yarn produced will be compact yarn.
With the demand for compact yarn increasing gradually and textile mills in the Southern region are going in for compact spinning machinery and attachments, according to industry sources.