IAG Glass Company Ltd Company Summary

IAG Glass Company Ltd Summary

Asahi Glass Company, Tokyo, promoted by IAG Company Ltd.,(formerly known as Indo-Asahi Glass Company) to revive Sodepore Glass, a sick unit, which went into liquidation. Under the technical guidance of Asahi Glass, the company started manufacturing sheet glass including thinner varieties of 1.1 mm thickness (substantial amounts of which are required by the defence and civil health services), as also for ophthalmic lenses and de-siliconised icon products. Asahi, Japan, holds a 39.76% stake in the company.The product range of the company was later widened to include tinted glass and figured glass of low fragility and exquisite designs of thicknesses of 2 mm and above in thickness. Further, the product-mix was improved to include rolled glass. IAGs sheet glass is known both in the Indian and international markets for its distortion-free surface. Its low-fragility figured glass (clear and tinted), with a blend of splendour, utility and sophistication, is a complement to modern living and an aid to house decor. The products are exported to Bangladesh, Srilanka, Mauritius, Yemen, and the Philippines, and to the highly competitive markets of Japan, Australia, France, Italy, etc. IAG was awarded a special export award by CAPEXIL for achieving the highest exports of flat glass in 1988-89 and 1993-94. In 1978, the company undertook to set up a 100% export-oriented ophthalmic lens project in collaboration with Asahi Glass Company, and another with Hanno Optical Glass Company, Japan, to manufacture spherical lenses. Production was later suspended due to a shift in market demand. SIA, EOU section, Government of India, has now given in-principle approval to the companys proposal to withdraw from the 100% EOU scheme. During 1991-92, the company, along with Asahi Glass, promoted Float Glass India, to manufacture and market float glass. With float glass making its impact, the company, which claims to be the leading manufacturer of flat glass (other than float glass) in India, is taking recourse to a substantial expansion and modernisation programme to augment its production of figured glass.During the year 1995-96, the company has taken up modernisation and technology upgradation plans for complete re-orientation of sheet glass, figured glass & wired glass. The company has recommended a dividend of 12.5%.During 1997-98, Sheet Glass Furnace of the company had been renovated atfer 10 years of continous operation. Lower capacity utilisation due to closure of furnace for Cold Repair coupled with stiff market competition in the industry, heavy interest burden and unprecedented foreign curreny fluctuation made the company suffer financial loss in this year.During the year 1998-99, by an Agreement dated 18th May, 1999 entered into between Asahi Glass Co Ltd. (AGCL), Japan and Bharat Glass Tubes Ltd. (BGL), the entire shareholding of AGCL of 2560000 equity shares of Rs. 10/- each, representing 39.76% of the Companys paid up equity share capital, has been sold and transferred to to BGL with effect from 14th October, 1999. The company has successfully introduced the technology of Aashi Process for the manufacture of sheet glass keeping in view the demands and marketibility of the product which would be considered as a significant re-entry into some particular sectors of the processing market.Sales volume of the companys products registered a growth by 20% and the productivity for Sheet Glass had increased by 8% and Figured Glass by 35% during the year 2000-01. This achievement has been made despite the fact that the Glass Industry, as a whole,has been passing through the serious recessionary phases and general economy in the country continued to pitch in low ebb.The name of the company has been changed during May 2004,from Indo-Asahi Glass Company Ltd to IAG Company Ltd.