Efforts have been made to convert the guar gum industrial waste into a value-added product, by employing a new earthworm species for vermicomposting e.g. Perionyx sansibaricus (Perrier) (Megascolecidae), under laboratory conditions. Industrial lignocellulosic waste was amended with other organic supplements (saw dust and cow dung); and three types of vermibeds were prepared: guar gum industrial waste + cow dung + saw dust in 40: 30: 30 ratio (T₁), guar gum industrial waste + cow dung + saw dust in 60: 20: 20 ratio (T_2,), and guar gum industrial waste + cow dung + saw dust in 75: 15: 10 ratio (T₃). As compared to initial concentrations, vermicomposts exhibited a decrease in organic C content (5.0–11.3%) and C:N ratio (11.1–24.4%) and an increase in total N (18.4–22.8%), available P (39.7–92.4%), and exchangeable K (9.4–19.7%) contents, after 150 days of vermicomposting. A vermicomposting coefficient (VC) was used to compare of vermicomposting with the experimental control (composting). P. sansibaricus exhibited maximum value of mean individual live weight (742.8 ± 21.1 mg), biomass gain (442.94 ± 21.8 mg), growth rate (2.95 ± 0.15 mg day⁻¹), cocoon numbers (96.0 ± 5.1) and reproduction rate (cocoons worm⁻¹ day⁻¹) (0.034 ± 0.001) in T₂ treatment. In T₃ maximum mortality (30.0 ± 4.01 %) in earthworm population was observed. Overall, T₂ vermibed appeared as an ideal substrate to manage guar gum industrial waste effectively. Vermicomposting can be proposed as a low-input basis technology to convert industrial waste into value-added biofertilizer.