2.

1 INDUSTRY PROFILE
Rubberized coir mattress segment is a high competitive. This segment is having more
than 50 % of the market share in the mattress industry. Rubberized coir mattress industry
has more than 45 odd brands and over 200 different models. The major players in the
industry are Kurl on, Duroflex, Sulfex, Rubco and Sunidra.
The birth of rubberized Coir Industry is quite amusing and interesting. Prior to the year
1960 people hardly had any idea of this novel and high utility product. In those days the
world famous car manufactures, M.S. Volks Wagon of Germany, were using horse hair
as cushion filling material for their car seats. As their production increased from 100 cars
per day to 300 cars per day, there was dearth of this raw material. This necessitated a
suitable alternative product for rubberization and which would suit to their specifications,
after various alternative tried like sisal fiber, jute fiber, the coir fiber was decidedly found
to be the best. This was the beginning of Rubberized coir industry. The Indian rubberized
Coir Industry is nearly five decades old. It was in 1964 that M/s/ Bharat Motors of
Chennai established its manufacturing unit. Many other units came up during sixties
itself. After nearly one decade of its introduction. Government of India recognized
Rubberized coir mattress as a healthy and hygienic product. Slowly many state
Governments recognized rubberized coir as Wealth from waste and advocated the use
of rubberized coir mattress in various hospitals, health clinics etc.
Other types of Mattress Are
Cotton Mattress
Form Mattress
Spring Mattress

Cotton Mattress
The cotton mattress mainly targets lower income group. This mattress is priced very low.
The cotton mattress industry has a market share of 50%.
Form Mattress
Form mattress segment comes at next place after rubberized coir mattress industry. This
industry having a market share of 9 to 10% this industry mainly target consumer
belonging to upper income and upper middle income group. The major players in form
industry are MM form, sleep well.
Spring MATTRESS
The industry target consumers belonging to the upper income group. The major players in
spring industry are spring well, Rubco, Kurl on etc.
Growth During Last 4 Decades
From a handful of manufactures, during early 60s this product got some market
recognition in early 70s. In the next 3 decades over one hundred manufactures have
entered rubberized coir field. Today rubberized coir products are increasingly used in
many industries notably in transport industry like railways and buses, packaging industry
(Pharmaceuticals, heavy engineering, electronic etc), hospitals theatres and auditorium.
The basic raw material for Rubberized Coir Industry is the brown coir fiber and the
natural latex rubber. Over the last decade, the brown coir sector has registered a
tremendous growth.
WORLD SCENARIO
There are mainly three major players in the industry and are as follows
Sealy Corporation
Sealy Corporation is the major mattress manufacturer and it got the name from the place
it started, Sealy, Texas.
King Coil
Founded in 1988, Koil has over a century of experience crafting high quality,
affordable bedding both in United States and throughout the world.
Simmons Bedding Company
Simmon Bedding Company is a major manufacture of mattress and is one of the oldest
companies in the United States, for over 152 years.
INDIAN SCENARIO
The rubberized coir mattress market of India is estimated to be highly fragmented with
little brand loyalty. The major players in the rubberized coir mattress industry in India
are:
Kurlon Limited
Kurlon Limited, a Manipal group company came into existence in 1962. Kurlon
Limited is the brand leader in the mattress industry and has acquired major market share
in the branded mattress segment.
Duroflex
Duroflex is the largest exporter of sleep and comfort products from India started its
operations in 1963. Now the company has got three manufacturing units for rubberized
coir mattress.
Century Mattress
Century fiber plates Pvt. Ltd. Started its rubberized coir plant at Hyderabad in 1988 under
the brand name Century. Century is the first mattress manufacturer with ISO 9001 -
2000 series and ISI Certification.

STATE SCENARIO
In India, the coir industry has developed very well especially in Kerala where they
produce Retted Fiber. Green husks of coconut are immersed in the salty back waters for
10 to 12 months. The main players in rubberized coir mattress industry are:
Duroflex
Duroflex is the leading mattress manufacturer in India which started its operations in
1963. Duroflex is the largest exporter of sleep and comfort products from India
Eastern Sunidra
Eastern sunidra Mattresses pvt. Ltd.. Is a part of Keralas renowned business
conglomerate, the Eastern Group of Companies.
Rubco
Kerala State Rubber Co-operative Limited (Rubco) was set up in the year 1997. Rubco
was incepted with prime objective of effectively utilizing the abundant rubber resource of
Kerala.
The Indian coir industry has a diversified structure, reflective of the board ranges of raw
materials and value added products involved. The industry provides at least part time
employment to an estimated 40,000 persons. At the beginning of the value chain are
approximately 300 fibers milers with usually less than 10 employees and an estimated
500 supplies of coir pith, or dust. Their output is either purchased for direct export or
undergoes manufacturing for twine, mats and brushes, rubberized coir mattresses and
pots, geo textiles and pith products. Products, which are technically more demanding or
better, suited for mass production, such as high end twine, brushes, rubberized coir and
erosion control blankets are predominantly produced in larger facilities, employing more
persons. Now in rubberized coir mattress industry the competition is more and more, the
demand of the product is in growth stage. So only the quality mattress industry can
survive in the competitive world.
2.2 COMPANY PROFILE
Kerala state rubber Co-operative limited (RUBCO), is situated in Kannur; Kerala
State, India, is promoted by the provisional Government of Kerala to promote Rubber
based industries in this part of the country.
Today India enjoys 4
th
position in the production of natural Rubber (NR) in the
world. Among the total production, small state of Kerala contributes 92%. So rubber has
become the backbone of our economy. Due to the bad impact of globalization the overall
market of rubber fell down Kerala, that time instability in price of rubber was one of the
major problem that farmers facing in the market. The farmers were no getting fair price
for their effort. But this problem has come to an end since 1997, because The Kerala
State Rubber Co-operative Ltd. (RUBCO) came into existence in this year on the purpose
of exploring the infinite possibilities of rubber. Since its inception in 1997, RUBCO has
traveled long. It has entered into various Rubber and Rubber wood based industries like
Hawai Chappel with reputed Malaysian Technology, Cycle Tyres and Tubes, Rubberized
Coir Mattress, conventional and procured tread rubber, block Rubber (SMR), Pale Latex
Crepe (PLC), casual shoes etc.
VISION AND MISSION
For last half decade with a vision to become a global leader in the production of Natural
rubber products and innovative product development, RUBCO adopts the best and latest
process in the production.
RUBCO means Rubber and Rubber means RUBCO
Today, from a single unit company, RUBCO has grown into a Rs. 280 Crore
Conglomerate with well diversified operations. Divisions operating under Rubco Group
are involved in a wide range of business such as footwear, furniture, cycle Tyre and
Tube, Rubberized Coir Mattress and Natural Rubber. Rubco is the largest Exporter of
Natural Rubber to all leading Rubber based companies in India. Rubco is led by a
professional management team and supported by a committed workforce. Rubco is now
poised to enter a high growth phase with several initiatives that will take the Group on
path Expansion and Diversification.
OBJECTIVE SOCIAL
To ensure a steady market with remunerative price to rubber growers for their
natural rubber
Welfare of rubber grower particularly of small and marginal segment
OBJECTIVE COMMERCIAL
To Promote, establish, maintain and manage the business related to manufacture
and sale of tyres, both radial and bias for Heavy Vehicles, LCV, Passenger Cars and other
four wheelers.
Tyres for three wheelers and two wheelers
Purchase and sale of rubber in any form such as Latex, Sheets, Crumbs and Laces
Manufacturing of Rubber Wood based on products
GROWTH AND DEVELOPMENT OF ORGANIZATION
Kerala State Rubber Co-operative Ltd (RUBCO) has in a short span, redefined the way
the cooperative sector functions and set the pace for the co-operative Movement in
Kerala today. Rubco was set up in the year 1997 with the objective of effectively utilizing
the abundantly available rubber resources of Kerala. Today, from a single unit company,
Rubco has grown in top an Rs.280 crore conglomerate with well diversified operations
and market presence extending beyond the boundaries of Kerala. Rubco manufactures
and markets variety of products from footwear to furniture, from Cycle tyre tube and
tyres to mattress. Rubco has also entered into technological alliances with world leader in
the respective field; sourcing from them state of art technology. Substantial
investments in modern manufacturing facilities, coupled with well organized marketing
activities, have seen Rubcos products earn a reputation for quality and significant market
shares.

Rubco is largest exporter of natural rubber in the country today. Even in the
domestic market, Rubco is a major supplier of natural rubber to all leading Tyre
combines in India. Rubco is also a Government intervention agency towards market
stabilization and has been serving the farming community directly and indirectly to get
reasonable price, arresting drastic fall in price during peak production periods; natural
rubber trading has being a blend of social obligation and commercial practicability led by
a professional management team and ably supported by a committed workforce, Rubco is
now poised to enter a high growth phase, with several new initiatives that will take the
group on a path of expansion and diversification rubber holds immense potential, Rubco
hopes to create opportunities and bring Industrial progress to a land that accounts for
92% of the countrys natural rubber production.
ADMINISTRATION AND MANAGEMENT
The Administration and management of RUBCo vests in the Board of Directors
consisting of fifteen members as follows:
Nine directors elected by A class shareholders from among themselves
Two directors elected by B class shareholders from among themselves.
Four ex officio directors viz
Register of cooperative societies, Kerala
Chairman of the Indian Rubber Board
President, Kerala State Cooperative Bank Ltd.
Managing Director, Rubco

CHAIRMAN : VASAVAN V.N

He is a veteran Co-operator and is holding various positions as Chairman in Central and
state level cooperative organization.

MANAGING DIRECTOR : Mr. Jacob D. Mathew
He has more than 25 years of experience as CEO in corporate sector.
OTHER DIRECTORS
1. Sri. M.V. Koman Nambiar
2. Sri. Panneri Mukundan
3. Sri George Mathew
4. Sri U. Azzez
5. Sri N. Chandran
6. Sri K. Manoharan
7. Sri V.P. Saseendran
8. Sri K.S. Gopi
9. Smt Satyabhama K.N.
10. Smi Jacob D. Mathew
11. The Chairman Rubber Board, Kottayam
12. The Registrar of Cooperative societies, TVM
13. The President, Kerala State Cooperative Bank, Trivandrum


PROMOTERS
Government of Kerala along with Indian Rubber Board and some district and primary
Cooperative Banks in Kerala are the promoters of RUBCO. Government of Kerala holds
the majority of the shares. The top share holder are Government of Kerala, Rubber
Board, Kottayam District Cooperative Bank,Ernakulam District Cooperative Bank,
Palakkad District Cooperative Bank, Kannur District Cooperative Bank, Thrissur District
Cooperative Bank, Trivandrum District Cooperative Bank and Kollam District
Cooperative Bank.
MILTESTIONS OF RUBCO
9
th
June 1997 Registered RUBCO, Commenced
operations in October in the year same year
15
th
October 1997 Commenced procurement of rubber
17
th
February 1998 Commenced procurement of rubber from
farmers through depots
28
th
May 1998 Foundation stone laid for foot wear
manufacturing factory and thread rubber
manufacturing unit at Koothparambu,
Vaiuavelicham Industrial Centre.
June 1998 Exported rubber to Singapore & Nepal
July 1998 RUBCo takes over the reins of
Sreekandapuram Latex (Pvt). Ltd

11
th
February 1999 Entred in to an important agreement on
technological collaboration for
manufactures of ultra light weight footwear
with H-tech sectors
2
nd
March 1999 Foundation stone laid for P.L.C. factory in
Sreekandapuram

23
rd
June 1999 Signed significant technical collaboration
agreement with long
Huat Berhad of Malaysia for the
processing of wood and furniture that
13
th
August 1999 Rubco Footwear hit the market
19
th
October 1999 Foundation Stone laid for the rubber wood
processing and furnituring unit
30
th
October 1999 Foundation stone laid for Rubberized coir
foam Factory at Pampady , Kottayam
9
th
December 1999 Entered into an agreement with M/s Tog
Teik (Pvt) Ltd of Singapore to Export
15000 Metric tons of rubber first time from
India.
8
th
March 2000 Entered in to a technical collaboration with
Pancarwarna management and Consulting
service. Malaysia for Manufacture of casual
of shoes.
6
th
May 2000 Foundation stone laid for casual shoe
project
1
st
January 2001 Rubco huat wood furniture factory
commenced commercial production



16
th
June 2001 Incorporation of RUBCO tire India Pvt. Ltd
20
th
April 2002 Started activities of coconut complex for
the production of virgin coconut oil and
ancillary products
6
th
December 2002 Started RUBCO RUFAS Scheme
(collection of natural rubber latex from
farmers)
20
th
December 2002 Expression of interest submitted to the
government of Kerala for setting unit for
the production of rubber components for
automobiles and with a capital. Outlay of
20 million USD
23
rd
January 2003 Signed MOU with Coconut Pacific Pvt. Ltd
of Australia for the production of Coconut
Virgin oil

PRESENT STATUS OF THE ORGANIZATION
Rubco is a well diversified industrial conglomerate with a strong presence in the rubber
based industrial segment. Rubco was formed with the prime objective of utilizing
abundantly available rubber resources of Kerala. In a short span of time Rubco has
successfully introduced a wide range of fast moving rubber based products. Today Rubco
group of companies has established new factories of Rubber Footwear, Cycle Tyres &
Tubes, Rubberized coir mattress, processed rubber and rubber molded coir mats.
RUBCO FOOTWEAR DIVISION-Making Impressive Strided
Rubcos footwear division manufactures a range of quality casual rubber Footwear. The
plant employs sophisticated machinery and has production capacity of 3.6 million pairs
annum. The product range includes sturdy regular and comfy ultra-light (manufactured
under the renewed Malaysian technology), perfect blend, quality raw material and
superior manufacturing methods make the Rubco range second to none. In the short span,
Rubco has made its presence felt in fiercely competitive markets on account of the
excellent quality of its products. This division also manufactures honey comb rubber
mats in fascinating colors.
Rubcos footwear range presently comprises of three leading brands Rubco Hawaii,
Rubco Rainbow and Rubco Classic, Rubco Hawaii has durable flexi strap, soft insoles
and power grip technology, offering true value for money, Rubco Rainbow is a colorful
range of ultra light casual footwear with cushioned insoles and extra soft straps. Rubco
classic is a top quality Hawaii that provides excellent wearing comfort and durability.
RUBCO CYCLE TYPES& TUBE DIVISION- On the Fast Track
Rubco Cycle Types & Tube division has already gone on stream manufacturing a range
of sturdy, technologically superior cycle tyres and tubes suitable for rough terrains and
track. The production facility spread over 25000 sq.ft. Is equipped with modern imported
machinery including Taiwan made CNC mould which imparts better finish to the tyre.
The plant has an annual installed capacity of 3 million tyre and tube. Rubcos range of
cycle tyres and tubes has advanced features such as high non skid depth improved wet-
skid resistance. High tensile copper coated steel bead wires add durability and rim
holding capacity. The entire range of cycle tyres is being exported to the U.K.
RUBCO HUAT WOODS PVT.LTD- Design on the Future.
A joint venture with Long Huat Group Berhard of Malaysia, a world leader in rubber
wood furniture, this division manufactures a range of elegant furniture and quality edge-
geld panels using the eco-friendly rubber wood. Rubber wood properly treated and
processed, is emerging as the deal substitute to rain forest wood, as it offers the same
strength, durability and finish as the latter, and also helps preserve the environment. The
furniture manufacturing plant has a processing capacity of 40.000 metric tons per year.
The products are being exported to UK, USA, Japan and many other countries across the
globe. Rub wood, the furniture range, comprise of dining tables and chairs, designer
wardrobes, futons kitchen cabinets and computer and office furniture and is available in
the choice of designs and finish. The edge-geld panels manufactured using sophisticated
finger jointing technology, are easy to saw, drill, bore on stain and have excellent nail-
holding capacity.
RUBCO SREEKANDAPURAM LATEX PVT. LTD- Tapping new opportunities.
Rubco Sreekandapuram Latex Pvt. Ltd became a part of the Rubco group when a loss-
making unit was taken over by Rubco by acquiring 65% of its shares. In a short span of
time, by sound backroom operations unit was turned around and is today posting profits.
The company manufactures Block Rubber ( ISNR) and pale Latex Crepe( PLC).Rubco is
in the process of expanding the scope of operations of this unit in line with market trends.
RUBCO SALES INTERNATIONAL LTD- Crafting Winning strategies
Rubco Sales International (RSIL) is a public Ltd. Company promoted by Rubco to
spearhead the sales and the marketing activities for Rubcos entire range of product in the
domestic and international markets. Within a short span of its inception, RSIL could
effectively develop a deft, competent network domestically as well as globally and
undertaken the successful launch of Rubcos product. Apart from gathering market
information and monitoring the supply chain system, this division is also responsible for
nurturing and sustaining excellent customer relations.
VIRGIN COCONUT OIL
The project envisages establishment of 100 co- operative coconuts processing units in
kerala. To start with, this will be increased to 200 units subsequently for the production
of coconut oil directly from green coconut nuts without going through conventional
copra or milk route. The process methodology is commonly known as Direct Micro
Expelling (DME) Technology. The centralized packing unit is at Thalassery in Kannur
District. The place is accessible by road and rail from all other parts of the country. The
place is blessed with all infrastructure facilities for setting of such a project.
Coconut oil extracted from fresh coconut kernel by Direct Micro Expelling Technology is
of very high quality and commands a premium price because of its use as a health
product. This is a highly sought after item as a health product and is used as massage oil
and also as baby oil for massaging small kids. Coconut oil is a much sought after product
for edible use in the households and non-edible use as hair oil and as cosmetic and
industrial oil.
The project also proposed to set up a centralized packing cum marketing unit for Virgin
coconut oil manufacturing the cooperative processing units.
FUTURE OF THE ORGANIZATION:
The main future plans and the progressing proposals of Rubco group are:
RUBCO TYRES INDIA(PVT) LIMITED
Rubco is in the process of setting up a project for the manufacture of tyres and tubes for
two and three wheelers, passenger cars, heavy duty trucks and light commercial vehicles.
The ground work is underway and the division will be launched in the near future. It will
have a production capacity of 6 million tyres and tubes annually.
Location:
The project will be located in the proposed industrial growth centre being developed at
Valiyavelicham, about 35 Kms from Kannur city.
Capacity and Product Mix:
The plant will have a 2.33 million numbers of radial and bias tyres per annum
which 75 million would be utilized for the truck drivers, 1.5 million for light type
passengers tyre and balance would be for two or three wheelers.

RUBCO CASUAL SHOE PROJECT
Investment: 96 million
Employment:600 persons
Location :Thalassery, Kannur district, Kerala
Capacity:1.5 million pair per annum. 75% of the production is earmarked for export.
RUBCO MATTRESS DIVISION
Rubcos rubberized coir mattress division, at Poothakuzhy near Pampady, Kottayam
which started its operation in 2001, is an ambitious project realized with an investment of
260 million. The manufacturing plants among the very few in the country to employ
advanced Austrian machinery, sourced from DOA-Austria a technology leader in
rubberizes mattress.
Rubcos rubberized coir mattress division is an ambitious project realized with an
investment of Rs. 280 Millions. The manufacturing plant is among very few in the
country to employ advanced Austrian machinery, sourced from DOA, Austria.
Rubco rubberized coir mattresses are scientifically designed to provide proper back
support without compromising on comfort. By virtue of their ingenious design and
constructing and the unique 3-D technology, Rubco rubberized mattresses are very
comfortable and ensure a healthy and restful sleep. Rubco rubberized coir mattresses are
crafted from the finest materials and finished to perfection in one of Indias most modern
manufacturing plants.
The furnishing section is equipped with most modern computer controlled machines
imported from U.K and U.S.A. Strict quality control is observed at every stage of
production to ensure that Rubco rubberized coir mattress always measure to the highest
quality.
A unique of the main sheeting plant is that it facilities Vertical fiber Orientation, a
proceed that result in a deeper penetration of latex in to the sheet, making it very elastic.
This provides the mattress with uniform density throughout and an extra cushioning
effect.
The plant has an annual installed capacity of 4.8 million units, consisting of mattress and
other rubberized coir products.
THE UNIQUE VFO ADVANTAGE
Rubco rubberized coir mattresses are manufactured using the machinery as well as
technology from DOA sheet forming machine has the unique advantage of producing
uniform density vertical oriented fiber sheets. Vertical Fiber Orientation (VFO) ensures
extra cushioning effect and high durability in the mattresses. Further, considerable sheet
thickness and densities varying from 80kgs to 250kgs can be obtained.

2.3 PRODUCT PROFILE OF RUBCO RCM DIVISION
Rubco manufactures a wide range of mattresses catering to diverse segments of the
market. The range consists of:
a) HEAVEN
Premium model that provides unmatched sleeping comfort is available in 3 inch and
4inch thickness. Also available in customized dimensions and thickness for large
quantities (100 and above)
b) HEAVEN PLUS
A luxury model that is elegant as well as comfortable, which is available in 5 inch
thickness.
c) HI-TECH
A hi- end model with an accent on finish and luxury available in 5 inch thickness.
d) HITECH PILLOW TOP
Superior quality mattresses finished to world class standard is available in 7 inch
thickness.
e) DOSTH
An economy model that offers true value for money is available in 2 and 3 inches.
f) SAFAL
A regular mattress that combines comfort and durability is available in 3 and 4 inches
(g) YATHRI
An elegant mattress meant for hotels, Tourist resorts etc. Yathri combines superior
sleeping comforts with perfect back support, enabling a relaxed healthy sleep. Layer upon
layer of rubberized coir and latex enhance the comfort while soft and elegant quilting
adds a luxurious feel for use in hospitals is available in 3 & 4 inch thickness.
h) HEAL
A quality product suitable for use in hospitals. Available in 3 inch and 4 inch thickness.
i) RELIEF
A special mattress scientifically designed for orthopedic patients. Available in 5 inch
thickness.
(J) 9.30 PM
Economy model. Available in 3 inch and 4 inch thickness.
OTHER PRODUCTS FROM FACTORY
i. Rubberized coir block
ii. Coir block
iii. Cushions
iv. Soft touch pillows
ORGANIZATIONAL GOALS AND OBJECTIVES
GOALS
The organizational goal of Rubco RCM division is to make Rubco a leader in the
market of rubberized coir mattress.
OBJECTIVES
1. Maximize the capacity utilization of the existing plant
2. To increase the profitability of the company and to maximize generation of
surplus to enable Rubco to finance its diversified projects.
3. To execute production on time, in accordance with the market demand of the
product and to make them available to the distributors.
4. To maintain and improve the existing cordial relationship between employees
and management by mutual interactions levels and further improve efficiency of
executives, supervisors to meet future challenges.
5. To ensure strict quality control and ISI standards of the product to compete in the
global market.
6. To maximize the cost reduction.
7. To introduce new varieties of mattress so as to increase the range of mattress
catering to the diverse segment of the market.
PRESENT STATUS OF THE ORGANISATION
RUBCO is a well diversified industrial conglomerate with a strong presence in the rubber
based industrial segment. Rubco was formed with a prime objective of utilizing
abundantly available rubber resource of Kerala. In a short span of time Rubco has
successfully introduced a wide range of fast moving rubber based products. Today rubco
group has factories of rubber footwear, cycle tyre and tube, rubberized coir mattress,
processed rubber and rubber coir mats.