Annual Report 1999-2000
ALPS INDUSTRIES LIMITED
CHAIRMAN'S STATEMENT
For all of us in India, the last decade has brought both good news and bad
news. The bad news has to do with the destructive consequences of mankind's
relentless, unthinking assault on the environment. The other day I came
across a headline that stopped me in my tracks. It said, "From Haryana to
Hawaii, Global Warming Disrupts Weather." The rest of the article painted a
frightening picture of what it called the "shadow of drought" looming over
not just India but over the United States, Australia, Canada and the Middle
East. The drought, the article argued, is a direct catastrophic consequence
of a short sighted, uncaring attitude towards the environment. In a
scenario such as this, it seems to me that corporate houses have a clear
cut responsibility: they need to take the lead in creating eco-friendly
products and systems, so that the environment that sustains us all is in
turn sustained by us.
The good news has to do with the momentous shift in the economic policies
of the country. With the opening up of the market, Indian economy has
become a part of the global economy. This has brought about profound
changes in our life-style, with technological innovations shaping us and
our world in remarkable new ways. Naturally, the fashion world has not been
unaffected by the spirit of the times. Old certainties have lost ground in
the face of innovations and experiments. Change has become the rule rather
than the exception. The end result is that the Indian consumer, always a
value seeker, has now a much larger choice - and it is obvious that only
brands that are tailored to "value delivery proposition" will survive in
the long run.
The year which saw the dawn of the new millennium has been a momentous one
for us as well. Your Company was in an ideal position to take full
advantage of emerging trends. As you know environmental care has been our
core value all along. It has shaped our decision at every step. Today, our
ongoing eco-initiatives have won us the trust of environment conscious
consumers, ensuring for us a very healthy growth rate. Also, believing as
we do in setting trends rather than following them, we were able to take
full advantage of favorable factors like the liberalized foreign policy and
a stable Government at the centre.
The turn over of the Company has increased by more than 26% for the year
ended March 2000 in comparison with the same period in the last financial
year.
TRIUMPHANT OPERATIONS
In the past year our brands have not only consolidated their leading
positions in the domestic market, but have also established themselves in
the international market. Our products, comprising of venetian blinds,
vertical blinds. awnings, drapery rods, window accessories and aluminum
false ceilings continue to enjoy market leadership. The laminate wooden
flooring, launched in the domestic market and Pashmina shawls launched in
the USA and Europe under the brand name of Eco - Pashmina have been very
well received by the discerning consumers. Our home furnishings, bed linen
and upholstery fabrics marketed under the brand name Vista Home Fashions
are doing exceptionally well in the domestic market, as also in the Middle
East where the brand has been launched recently. Our eco-initiatives have
made our exports grow by leaps and bounds.
TRIUMPHANT INITIATIVES
We are in the fashion Industry and our main strength lies in the fact that
instead of following trends we set them. Additional uses for natural dyes
are being constantly researched. Your Company is already at an advanced
stage of talks with Coir Board for application of these dyes in coir
mattresses; also with National Chemicals Laboratory for their application
in pharmaceutical products. Other dynamic initiatives include the setting
up of additional capacity for the manufacture of dyed cotton fibre made
from our natural dyes. Investments have also been made in two units
manufacturing printed and processed fabrics. This will help ensure complete
in-house control over both supplies and quality. Operations are expected to
commence in May - June 2000. You'll be happy to learn that the work on the
ambitious Vertical Portal is progressing smoothly and we expect to go live
later this year. The Portal will comprehensively cover the interiors
industry.
CORE COMMITMENT
I have no hesitation in asserting that our success is rooted in the eco-
friendly policies that your Company has consistently followed. Our total
and sincere commitment to this core value has been appreciated by the
increasingly environment conscious customers. In the final analysis it is
their trust and faith that has served as a never ending source of
inspiration for us. Today, your Company is probably the only one in the
country with a fully integrated unit that not only produces natural dyes,
but also dyes cotton fibres, spins them into yarns and eventually converts
the woven fabrics to finished home-furnishings, all under one roof. Your
Company has also launched a Rs. 4.25 crore research project on extraction,
purification and standardization of natural dyes. We will continue with our
intensive research in the field of eco-friendly natural dyes. We also
intend taking out as many patents as possible. Internally, your Company
hopes to achieve a major breakthrough in dyes later in the year which could
give us a quantum jump.
TRIUMPHANT MOMENTS
The year also saw your Company winning international recognition for
putting into place processes and systems which will ensure that our future
will continue to be as bright and as illustrious as has been our past. I am
happy to tell you that this year we were awarded the KPMG ISO 14001 for
implementing the Environment Management System. We were also found to be
ISO 9002 compliant for maintaining highest possible standards not just in
quality, but also in plant maintenance, in resource utilization and in
human resource management.
RICHLY HUMAN
At the end, it remains for me to acknowledge that it is only the
"togetherness" of our people that has fuelled our remarkable growth. On
behalf of the board, I take this opportunity to thank all our staff for
their commitment and enterprise. I would also like to thank our customers,
principals and all of you for your invaluable support.
I would also like to extend my gratitude to the financial institutions &
banks, business collaborators and various government agencies for their
support. Very specially, I would like to thank IIT, New Delhi and also
Technology Information Forecasting & Assessment Council (TIFAC), Department
of Science & Technology, Government of India, for giving us the rare honor
of officially classifying our Company's self-sustaining, eco-friendly
project as a subject of national interest.
K.K. Agarwal
Chairman and Managing Director