CHAPTER 2

INDUSTRY PROFILE AND COMPANY PROFILE

INDUSTRY PROFILE
Rubber is an important plant for world economic strategies and for human kind .
The more the social development ,the more requirement of product made of products .
Natural latex is the one of the important raw materials used for production in heavy industries
, kitchenware ,houseware etc .
India is one of the largest natural rubber producers in the world .Now it occupies the
fourth postion with Thailand , Indonesia and Malaysia occupying the first , second , third
postions respectively . The rubber plantation sector in India is dominated by small holdings
that account for 85% of the productions .Kerala is the leading state in India having
5,74,274.64 acres of rubber plantation and a production of 7,83,000 M .Tonnes a year which
is 92% of total Indian production . Kottayam is the largest rubber producing district in Kerala
. In India 72.2% of the production is processed as Ribbed Smoked Sheet ( RSS ) .
The rubber plantation sector employs about 4 lakh persons directly with a good number of
them being women . Commercial cultivation of rubber in India was started in 1902
Various grades of the Natural Rubber :
Ribbed Smoked Sheet (RSS) 1
Ribbed Smoked Sheet (RSS) 2
Ribbed Smoked Sheet (RSS) - 3
Ribbed Smoked Sheet (RSS) - 4
Ribbed Smoked Sheet (RSS) 5
Indian Rubber Board was established in April 1947 to look after the rubber plantation industry in
the country . Its functions were defined under the Rubber Act ,1947 and included the development of
the natural rubber industry by devising suitable promotional measures , undertaking scientific
technology and economic research .The quality of above grades of natural rubber is certified by the
Indian Rubber Board before it is shipped .India has been supplying natural rubber to Turkey ,
SriLanka , Malaysai , Peru , China , Pakistan , Taiwan , Kenya , Poland , south Africa etc .
There are two type of industries in rubber sector . One is the processing industry with rubber wood
Other is the manufacturing industry based on latex or dry rubber . Under the manufacturing industries
about 35,000 products are there. There are two types ,based on the type of raw material used. Some
use latex which incudes products like gloves ,balloons , rubber band , others are based on dry rubber
sheets and the products include tyre and tubes ,automobile parts , erasers and mould goods .
The Indian Rubber industry today produces all varieties of rubber goods using the most
sophisticated technologies . We now have a gathering of entrepreneurial talent as well as technology
talent to ensure that india will be the World Wide Leader in the industry .

MATTRESS INDUSTRY
As the world economy is developing fast in the past 10 years , the mattress markets have
opened up . The world mattress market value grew by an average of 9% yearly between 2002
to 2014 reaching a value of more than 20 billion .Indian mattress industry accounts for about
half of worlds mattress industry . The production value of this industry in this area is around
$60 billion .Considered to be a labour intensive industry, it provides employment for around
1million people .According to the study by the Coir Board , the organized mattress industry is
expected to grow by 10 percent a year in India .
The availability of Coir boosted the growth of mattress industry in India . The excellent designs
,models , rich ,solid and deluxe trends and high quality have given stylishness to Indian mattress
segment . The fast emerging concept of normal life style , sense of comfort and health issues like back
pain have given mattress industy an ever growing platform .Globization and media are stong factors
.The turnover of Indian mattress industry is approximately Rs 3500 crore annually .The major states
manufacturing the rubberised coir mattress in India are Kerala ,Tamil Nadu , Orissa and Karnataka.
The major customers for mattress in India are Automobile industry ,especially car manufacturers and
state transport corporations for seat & truck cushion requirements , air conditioner manufactures for
air filters and public utilities like hospitals ,hotels ,auditoriums and theatres. Railways and defence
require Rubberised Coir products in large quantity .So there is a huge potential for Rubberised
mattress in India .
RUBCO RUBBERISED COIR MATTRESS DIVISION
Caption : Sound technology for sound sleep
RUBCOs Rubberised coir mattress factory is established in 2001 and it is located at Poothakuzhy
near Pampady ,Kottayam district , Kerala . RUBCOs rubberised coir mattress division is realized
with an investment of 2.6 million , The manufacturing plant employs advanced Australian machinery ,
sourced from DOA , Austria , a leader in Rubberised mattress . The plant has an annual installed
capacity of 4.8 million units ,consisting of mattress and other rubberised coir products, cushions and
furnitures upholstery.
.A unique feature of the main sheeting plant is that it facilitates vertical fiber orientation , a
process that results in a deeper penetration of latex into the sheet making it very elastic . This provides
the mattress with uniform density throughout and an extra cushioning effect .It is scientifically
designed to provide proper back support without compromising on comfort .By virtue of their
ingenious design and unique 3-D technology, Rubco mattress is firm without being hard,it is very
comfortable and ensures a healthy and restful sleep .It is crafted from the finest materials and finished
to perfection in manufacturing plants.There are mattresses that prevent dust mites which can cause
respiratory diseases.Other benefits are heat and moisture resistance,insulation,flame retardant etc.
PRODUCT PROFILE OF RUBCO RCM DIVISION
Rubco manufactures a wide range of mattresses catering to diverse segments to the market .
The range consists of :
HEAVEN

A premium model that provides unmatched sleeping comfort
,available in 3 inch and 4 inch thickness . Also available in
customized dimensions and thickness for large quantities .

HEAVEN PLUS

A Luxury model that is elegant as well as comfortable
which is available in 5 inch thickness .
HI TECH

A hi end model with an accent on finish and luxury, available in 5 inch thickness .
DOSTH

An economy model that offers true value for money is available in 2 and 3 inches .
SAFAL

A regular mattress that combines comfort and durability is available in 3 and 4 inches .
YATHRI

An elegant mattress meant for hotels,hospitals,tourist resorts etc.It combines superior sleeping
comforts with perfect back support,enabling relaxed healthy sleep.Layer upon layer of rubberised coir
and latex enhance the comfort while soft and elegant quilting adds a luxurious feel,available in 3 and
4 inch thickness.
HEAL

Aquality product suitable for use in hospitals.available in 3 and 4 inch thickness.
RELIEF
A special mattress scientifically designed for orthopaedic
patients,available in 5 inch thickness.
COMPANY PROFILE
The Kerala state Rubber co-operative Limited , popularly known as RUBCO is a well
diversified industrial conglomerate with a strong presence in the rubber industrial segment .
RUBCO was formed with the prime objective of has successfully introduced a wide range of
fast moving rubber based products achieving a turnover of Rs 100 crores . The Divisions
operating under RUBCO group are involved in a wide range of business such as footwear ,
furniture , rubberised coir matterss and natural rubber . Many new initiatives are on the anvil
in line with RUBCOs vision of turning into a multi-faceted ,globally competitive
organisations .
RUBCO came into being on 9
th
June 1997 , with a view to augment the commercial
utilisation of natural rubber and to ensure a reasonable price to rubber growers and to share
value addition with them .RUBCO is the largest exporter of natural rubber in the country .
Even in the domestic market, RUBCO is the major supplier of natural rubber to all leading
tyre business in India . RUBCO is also a Govt .intervention agency towards market
stabilization and has been concerned about the farming community directly and indirectly to
get reasonable price . Arresting drastic fall in price during the peak production
period,RUBCOs policy in natural rubber trading has been a harmonious blend of social
obligation and commercial practice.
RUBCO stands for :
R : RELIABLE
U: UNIQUE
B: BENEFICIAL
C: CREDIT WORTHY
O: ORIGINAL
Rubco ensures efficient service , economical price and eco- friendly products while
marketing its products.


HEAD OFFICE
The Head office of Kerala state Rubber Co-operative Ltd is located in Kannur at RUBCO
House . RUBCO HOUSE is centrally air conditioned and well furnished co-operative office
.It is a seven storey building of 43,145 sq feet area showroom along with a functioning
insurance office and auditorium .
BOARD OF DIRECTORS
The Managing Director and Chairman share the top most authority followed by the General
Manager. Members are headed by Chairman Mr . E Narayanan and Managing Director Mr
.Jacob Mathew . The administration and management of the company rest in the hands of
managing directors consisting of 15 members as follows :
Nine directors elected by A class share holders among them
Two directors elected by B class share holders
Three ex office directors elected by Registrar of co-opertive societies Kerala
President Kerala state Co-operative Bank

OWNERSHIP PATTERN
The authorised share capital of RUBCO as per the byelaws is 300 crore made up of class
A,B,C and D shareholders.Class A shares are open to primary co-operative rural banks and
rubber marketing societies functioning in the area of operation of Rubco.B class shares are
open to Kerala State Co-operative bank and other state-level co-operative federations.C
class shares are open only to the Central and State govt. And rubber board,D class shares
are open to individuals having business associations with Rubco.
VISION AND MISSION
To become global leader in rubber industry .
To give enchanced satisfaction to customers and to strive for excellence.
Optimum utilisation of resources .
Setting innovative trends
To make every employee of RUBCO feel proud of his organisation .

OBJECTIVES
General Objectives :
Manufacturing and sales of rubber wood based products .
Trading business of natural rubber latex and dry form of natural rubber .

Social Objectives :
To ensure a study market with remunerative price to rubber growers for their natural
rubber
Welfare of rubber growers particularly of small and marginal segment.
Commercial Objectivies :
To promote establish maintain and manage business related to anufacture and sales of
tyres for heavy vehicles ,cars and other 4 wheelers,for 3-wheelers and 2-wheelers
Purchase and sale of rubber in any form.
MARKETING STRATEGY
To create new customers and wide choice of goods to customers
To motivate the sales team
To make profit through customer satisfaction
To develop a pricing strategy
To ensure the growth of organisation
Marketing department
The department consists of Senior General Manager,Marketing Manager,Sales
Manager,Assistant Manager, Senior Sales Officers Junior Sales Officers and Sales
executives.
RUBCO MILESTONES
1997
9
th
June:RUBCO registered,started commercial operation in the same year
Commercial procurement of natural rubber,directly from farmers
1998
Foundation stone laid for footwear manufacturing unit and Tread rubber
manufacturing unit at Valiyavelicham industrial centre,Koothuparamba
Exported rubber to Singapore and Nepal
Took over the reins of Sreekandapuram Latex Ltd.
1999
Foundation stone laid for cycle tyre manufacturing unit
Foundation stone laid for rubberised coir mattress factory at Pampady,Kottayam
2000
Foundation stone laid for casual shoes project
2001
RUBCO HUAT wood processing and furniture factory commenced commercial
operations
Inaugaration of RUBCO Tyre India Pvt.Ltd
2002
Started activities of coconut complex for the production of virgin coconut oil and
ancillary products
Expression of interest submitted to Govt.of Kerala to set up a unit for production of
rubber components for automobiles and railways.
2008
RUBCO HOUSE started
2009
Compound mixing plant started

PROMOTERS OF RUBCO
Govt.of Kerala alongwith Indian Rubber Board and some district and primary co-
operative banks in Kerala are the promoters.Govt.of Kerala holds the majority of
shares.
TOP TEN SHAREHOLDERS
Govt.of Kerala
Rubber Board,Kottayam district Co-operative bank
Palakkad district Co-operative bank
Ernakulam district Co-operative bank
Thrissur district Co-operative bank
Kozhikode district Co-operative bank
Thiruvananthapuram district Co-operative bank
Kollam district Co-operative bank
Indian Rubber Board

ACHIEVEMENT/ AWARD
ISI-IS 8291, Licence No Cm/L-6336770. BIS certification marks for Rubberised coir
sheets
INDIA organic
USDA organic United State Development Of Agriculture
DNV-NABCBQMS 001
ISO certified star export houses

RUBCO UNDERTAKINGS
RUBCO HUAT WOODS PVT LTD
Set up in 2000 in collaboration with world major in rubber processing,Huat Berhad of
Malaysia.
State-of-the art machinery for manufacturing modern furniture under the brand name
rub-wood.
Location:Thalassery,Kannur
Products:Edge-glued panels,door and window frame,dining table,computer
table,office furniture,kitchen cabinets,Rubco home series.

RUBCO HAWAI CHAPPAL FACTORY
Manufactures both conventional and ultra light weight models .
Location : Industrial growth centre , Valiyavelichan ,Kannur
Products : Hawai , Rain Bow Eva weight, Power Grip .

RUBCO RUBBERISED COIR MATTRESS FACTORY

Realised with an investment of Rs 280 millions
Annual installed capacity of 4.8 million units ,comprising of mattress pillows and
cushions .
Strict quality control observed at every stage of the production to ensure that RUBCO
rubberised coir mattress always measure up to highest standards.
LOCATION : Pampady near Kottayam Kerala

RUBCO VIRGIN COCONUT OIL PROJECT
Produces lush massage oil,hair oil,baby oil and Nutrico cooking oil
Health benefits and medical properties of natural coconut oil.
LOCATION:Kolanchery,Ernakulam

RUBCO RUBBER COMPOUND MIXING PLANT
Three-storeyed plant has a total area of 60,000 sq.feet with storage facilities for:
Natural synthetic rubber-1000 tons
Carbon blacks
Process oil
Chemicals/white fillers
Master batches
RUBCO TREAD RUBBER FACTORY
Capacity of 12 to 330 MT of pre-cured tread rubber per year
Has production capacity of strip rubber,bombing gum and vulcanising solution
RUBCO FARMERS ALLIANCE STRATEGY
Technology-oriented farmer based market plan to directly interact with farmers and to
promote their welfare.