Company History - 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
the year 1989 the name was changed to JBF Industries Limited.
The Company has shown consistent growth and till 1999 has a record
uninterrupted divident payment since beginning. The Company is
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
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.
* YARN DIVISION:
* POLYESTER CHIPS:
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
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
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
to medium size weavers situated at Bhiwandi, Surat and Ludhiana.
of these customers are with the Company for long time and have been
serviced through about 20 dealers, who are responsible for the
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
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
Encouraged with the performance of the POY Division, the Company had
increased the production capacity of POY from 18,000 TPA to 27,000
in the month of July, 1998. At this stage, the Company had captive
consumption of about 50% of the production and the balance quantity
sold in the local market.
By August 1999, the company had added some balancing equipment and
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
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
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
tpa which ensures higher capacity utilization and better negotiation
3. Lower Cost of Produciton: The latest technology with auto
ann the efficient production ensures one of the lowest power
consumption, lower wastage as compare to industry norms and lower
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
of about Rs. 13 crores per 1,000 ton of the Industry results into
fixed cost of running the plant.
5. Captive Power Generation: The Company has in-house power
capacity of 9 MVA and is not dependent on the Government supply of
power for uninterrupted production. The company has recently set up
KVA power facility, which will ensure continuous and cheap power to
The POY Plant has in built facility to produce wide varieties of
at short notice. Thus, it is possible to respond to the change in
market demand in the shortest possible time.
7. Exports: As the products match international quality, it can
to the export market whenever international prices are more
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
in the profitability of the Company.
- 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
- Jbf Industries Ltd. has appointed Mr.N Balasubramanian, as an
Additional Independent Director on the Company's Board .
- The Company at its meeting held on November 18, 2008, inter alia,
has recommended dividend @ 15% i.e. Rs 1.50 (Rupees One and Paise
fifty only) per share.
- The Company's Registrar and Transfer Agent (RTA) has informed the
Company of the change in their name from Intime Spectrum Registry Ltd
to Link Intime India Pvt. Ltd.
- Jbf Industries Limited has informed regarding resolution passed by
the Committee of the Board of Directors for Qualified Institutional
Placement of Equity Shares of Face value Rs.10.00 each aggregating to
upto Rs.300 crores to Qualified Institutional Buyers (QIBs) by JBF
Industries Limited under Chapter VIII of SEBI (Issue of Capital and
Disclosure Requirements) Regulations, 2009 at their meeting held on
September 15, 2010.
- The Company has signed MOU with Oman Oil Company (part of Oman
Refinery) owned by Government of Oman for setting up a 1.2 Million
(12 Lacs) Tonnes per annum Purified Terephthalic Acid - PTA plant at
Oman as a Joint Venture, at an approximate cost of USD 680 Million.
Project envisages to consume PTA's raw material - Paraxylene produced
by Oman Oil Company. The project will be co-located in the premises of
Oman Aromatics to enable transportation of Paraxylene to the PTA plant
by a dedicated pipeline.
- The Company at its meeting held on May 26, 2011 has recommended
dividend @ Rs.8/- Per share on Equity shares of Rs.10/- each for the
financial year 2010-11.
- The Company has decided to set up project of Purified Terephthalic
Acid (PTA) having manufacturing capacity of 1.12 Million Tonnes per
annum at (SEZ) Mangalore.
- BP and JBF Petrochemicals (a wholly owned subsidiary of JBF
Industries Ltd. of India) have inked a contract for licensing
BP’s latest generation purified terephthalic acid (PTA)
- The Company is entering into a partnership with The Coca Cola
Company to set up production facility for Bio-Glycol (MEG) in
- JBF Petrochemicals Ltd , subsidiary of JBF Industries, has entered
into an agreement with BP to license its latest generation Purified
Terephthalic Acid (PTA) technology.
- Buoyed by the news that the company has entered into a partnership
with the Coca Cola Company to set up production facility for
Bio-Glycol (MEG) in Brazil, shares of JBF Industries gained nearly 5
per cent on the Bombay Stock Exchange.
- JBF Industries Ltd today said it has entered into a derivative
contract for an ECB loan in terms of Japanese currency, for an amount
equivalent to USD 20 million to hedge the foreign exchange and
-JBF has recommended dividend on equity share capital @ Rs. 6/- per
equity share of Rs. 10/- each.
-JBF has recommended dividend on equity share capital @ Rs. 2/- per
equity share of Rs. 10/- each