The fire erupted at Jamuna Spinning Mills around 5am on Sunday.
Spinning mill’s Fire Service and Security department Hormoj Ali said: “The fire originated from the denim recycling section on the first floor of the building and soon engulfed the other parts of the unit.
Apurba Bal, station officer of Kaliakoir Fire Service and Civil Defence, said: “14 units of firefighters went to the spot and brought the blaze under control around 11:25am. The tin-shed building has collapsed.”
He said there were no immediate reports of casualty.
Meanwhile, two separate committees were formed to investigate the fire incident.