JBF Industries

Incorporated in the year 1982 as a Private Company under the name JBF
 Synthetics, it became a Public Limited Company in the year 1986, and
 in
 the year 1989 the name was changed to JBF Industries Limited.
 
 The Company has shown consistent growth and till 1999 has a record
 of
 uninterrupted divident payment since beginning. The Company is
 listed
 on BSE and other major stock exchanges.
 
 JBF has established itself as an industry leader in the Texturising
 business and one of the top 5 players in POY Industry, having a
 storng
 brand and one of the highest operating margins in the industry.
 Backward intergration into manufacturing of polyester Chips has
 ensured timely availablity of quality raw matggerial and better
 profitability compared to the industrial average.
 
 BUSINESS ACTIVITIES:
 
 * YARN DIVISION:
    Texturing
    POY spinning
 
 * POLYESTER CHIPS:
   
 YARN DIVISION:
 
 Texturising:- 
  
 The texturising facilities of the Company are situated at Silvassa,
 which is the heart of the texturising business. With the modest
 beginning in 1987 with a capacity of 3,000 tpa, the Company has
 consistently increased the manufacturing facilities to 4,800 tpa in
 1993, 6,000 tpa in 1994, 9,000 tpa in the year 1996, and to 12,000
 tpa
 in the year 1997.  At present the company has texturising capcity of
 about 9,000 TPA as some of the old and inefficient machines have
 been
 discarded and sold.
 
 Today, JBF is one of the large texturising unit in India.  The
 texturised yarn of the Company has its own brand image and is highly
 competitive in terms of the quality and price.  The customers are
 small
 to medium size weavers situated at Bhiwandi, Surat and Ludhiana. 
 Most
 of these customers are with the Company for long time and have been
 serviced through about 20 dealers, who are responsible for the
 timely
 collection of funds.
 
 Partially Oriented Yarn(POY):-
 
 The POY Units is also situated at Silvassa and is in the nature of
 backward integration for the Company.  This plant had capacity of
 18,000 tpa, and was constructed in a record time of about 15 months
 without any major cost overrun.
 
 The commercial production was started in June, 1996 and there after
 the
 plant is running at an average capacity of 100%. The quality is well
 accepted in the market and is considered among top few in the
 industry.
 
 Encouraged with the performance of the POY Division, the Company had
 increased the production capacity of POY from 18,000 TPA to 27,000
 TPA
 in the month of July, 1998.  At this stage, the Company had captive
 consumption of about 50% of the production and the balance quantity
 was
 sold in the local market.
 
 By August 1999, the company had added some balancing equipment and
 with
 some changes in the layout of the equipment increased production
 capacity to 36,000 tpa with marginal investment.  This exercise has
 helped the company to reduce the cost of Production of POY.  The
 Company is continuously trying to increase the productivity and
 reduce
 cost of production with some more technical changes. The company has
 now achieved production capacity of 40.000 tpa by adding balancing
 equipments.  Shortly the company will be in position to achieve
 production capacity of 60,000 tons per annum.
 
 Since the company is situated in Silvassa, which is the major
 consumption center of POY, it has crucial advantages over the
 competitors.
 
 
 Some of these advantages are:-
 
 1.  Location: The users of POY are located in Silvassa and Surat,
 resulting in easy access and lower packing and transportation cost.
 
 2.  Captive Consumption: The Company has texturizing capacity of
 9,000
 tpa which ensures higher capacity utilization and better negotiation
 capability.
 
 3.  Lower Cost of Produciton: The latest technology with auto
 winders
 ann the efficient production ensures one of the lowest power
 consumption, lower wastage as compare to industry norms and lower
 cost
 of production as compare to the industry average.
 
 4.  Lower Capital Cost: Low capital Cost of about Rs. 8 crores per
 1,000 ton for the original project, as compare to average capital
 cost
 of about Rs. 13 crores per 1,000 ton of the Industry results into
 low
 fixed cost of running the plant.
 
 5.  Captive Power Generation: The Company has in-house power
 generation
 capacity of 9 MVA and is not dependent on the Government supply of
 power for uninterrupted production.  The company has recently set up
 66
 KVA power facility, which will ensure continuous and cheap power to
 the
 company.
 
 6.  Flexibility:
 
 The POY Plant has in built facility to produce wide varieties of
 yarn
 at short notice.  Thus, it is possible to respond to the change in
 the
 market demand in the shortest possible time.
 
 7.  Exports: As the products match international quality, it can
 cater
 to the export market whenever international prices are more
 attractive.
 
 POLYESTER CHIPS
 
 With an object to become self sufficient for the availability of
 quality and consistent supply of PCT Chips, the Company has set up
 production facility with a capcity of 80,000 TPA.
 
 This backward integration has enabled Company to provide POY of some
 merge number on consistent basis.  It has also resulted in
 improvement
 in the profitability of the Company.
 
 2004
 
 - The preferential allotment of Equity shares of the company would be
 given to the promoters of the company based on guidelines issued by
 SEBI in connection with creeping acquisition upto 5% of the share
 capital of the company, for each financial year
 
 2007
 
 - Jbf Industries Ltd. has appointed Mr.N Balasubramanian, as an
 Additional Independent Director on the Company's Board .