Garments and other material were gutted in the fire, while two persons received minor injuries. The fire was suspected to have been caused by a short circuit, they said.
The presence of acrylic material led the fire to spread rapidly through the building, police said.
Over forty fire tenders were rushed to douse the flames which engulfed the entire three-storey building of Puneet Knitwear.
Huge flames were seen leaping from the building, making tough for fire fighters to enter the unit. They had to break walls at three-four places to go in and extinguish the blaze, police said.
Though short circuit was believed to be the reason behind the massive fire, the exact cause would be ascertained after the probe, police said.