Dear Stake holders
The Indian denim industry stands to benefit immensely from the ambitious "Make inIndia" initiative. The vision of the programme has the potential to overhaul thesegments perception and the countrys contribution in the world denim scenario.However to turn this vision in to reality Indias denim manufacturing segment needsto be equipped with facilitating mechanisms. Even more important is the effectiveimplementation of these mechanisms. Once this is done the strength of domestic Indiandenim markets as well as its denim export capabilities will remain unparalleled.
Denim Manufacturing Association estimated that Denim manufacturing and consumption inIndia has grown at a compounded annual growth rate (CAGR) of up to 15% over the lastdecade and is expected to grow at similar levels over the next few years.
Denim is of the most promising category in Indias apparel market. The globalmarket for denim is forecast to reach USD 64.1 billion by 2020. The Indian denim industryhas shown continual growth over the years and currently the country boasts of a denimmanufacturing capacity of around 1.1 billion meters per annum. Its utilization levels arepegged at 80-85%. Despite the impressive statistics the Indian denim manufacturingindustry contributes 5% to the global scenario reflecting the overall performance of thetextiles industry. However according to industry experts denim is the only segment inthe Indian textile industry that has the potential to grow manifold.
In fact India has been ranked as a top destination for retail investments among 30global emerging markets. However despite the Indian denim manufacturing industrywitnessing rapid growth in the last 4-5 years.
I am Pleased to report that in light of the above stated facts your company isconfident to achieve new milestones in its journey towards sustainable growth throughtotal excellence. R & B Denims Limited has pursued business excellence throughpassion Perseverance and precision cum expansion projects successfully thereby improvedits cost competitiveness and profitability.
We expect our growth strategy will place significant demands on our managerialfinancial and other resources. We took a number of improvement initiatives to furthersharpen our cost competitiveness through value engineering technology upgradation andenhanced value addition. In this year also we have further made expansion with valueaddition of machinery with a CAPEX of Rs. 100 Lakhs.
Before concluding let me assure of our commitment to create value for our stakeholdersand thanks to our Board of directors for their constant guidance and support. We value thetrust repose on us by our shareholders bankers employees suppliers associates and ourloyal customers for their continued support.