Arora Fibres Ltd Company Summary

Arora Fibres Ltd Summary

Incorporated on 14 Oct.93 in Ahmedabad, Gujarat, Arora Fibres was promoted by NRI Dilawar Singh Arora and his son Rupinder Singh Arora. In Jul.94, the company came out with a Rs 9.69-cr public issue to set up a plant (cap.: 13,000 tpa) to manufacture polyester staple fibre, polyester chips, nylon-6 and nylon-6,6 chips by recycling polyester and nylon waste.The company entered into a technical collaboration with Mijung Industries, Korea, for technical assistance to manufacture polyester staple fibre. Commercial production commenced in May 95.The products manufactured by the company find wide usage. Polyester staple fibre is used in a wide array of industries -- spinning, non-wovens, felts, needle punching, carpet yarns, upholstery and hosiery. They are also used as fibre-fill in blankets, quilts, pillows, mattresses, stuffed toys, garments, etc. Nylon chips are widely used in mechanical and electrical components, household appliances, portable power tools, engineering plastics, etc.The company has indentified potential customers in the US and Europe through its overseas trading contacts. It has also entered into a buy-back arrangement with Mijung, its machinery supplier. The company is continuously taking steps to improve the product and process technology.During the year the companys performance was lagged far behind the projections it had made . However the company earned foreign exchange of Rs 1.36 crores during the year.The companys operations were affected to due excess supply as compared to demand for polyester fibre. It now proposes to venture into the business of information technology, e-commerce, software, hardware etc.