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What is a Yarn Manufacturer?

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  • Written By: Diane Goettel
  • Edited By: Bronwyn Harris
  • Last Modified Date: 02 December 2016
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A yarn manufacturer is a company that makes and sells yarn. Depending on the size of the company, the products may range quite a bit in fiber content, quality, and price. There are a vast number of kinds of yarn on the market. Fibers that are used to make yarn include cotton, silk, wool, and linen. Some companies also make yarn out of acrylic or other synthetic materials.

A large yarn manufacturer might produce yarn made with all of these kinds of fibers. Speciality manufacturers, on the other hand may specialize in yarn made from one kind of fiber such as silk or organically grown cotton. Most companies offer yarn dyed in an array of colors offering a large selection of hues for each type of yarn that they make. Some companies use pre-colored fibers while others do the dyeing themselves.

In addition to making yarn, a yarn manufacturer also sells it to various kinds of companies. The yarns produced might go back into the textile industry for use in the creation of clothing, fabrics for the home, and sometimes even upholstery. In other cases, the yarn may be sold to stores that cater to knitters.

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Depending on the company's production and marketing scheme, a yarn manufacturer may function as a wholesaler, a retailer, or both. If the company sells all of its goods to kitting stores, craft stores, and hobby stores, then it functions as a wholesaler of yarn. If the company sells yarn directly to the consumers either through its own stores, a website, or a combination of the two, then the company is functioning as a retailer as well as a manufacturer. Some companies sell their yarns at a wholesale price to retailers while also maintaing a retail website.

Instead of functioning as a wholesaler or a retailer, a yarn manufacturer might go through a distributor. This means that the company relies on an outside organization to make contact with retailers or members of the textile industry in order to sell the goods. All of the schemes outlined above are viable, but the success of a company's distribution plan depends entirely on its business model. Smaller companies are more likely to benefit from functioning as retailers or retailers that also sell their goods to other retailers at a wholesale price. Larger companies, on the other hand, are more likely to benefit from working with a distributor or functioning mainly as a wholesale operation.

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