INTRODUCTION

ABACA
The plant
Also called manila hemp, abaca is extracted from the leaf sheath around the trunk of the abaca plant (Musa
textilis), a close relative of the banana, native to the Philippines and widely distributed in the humid tropics.
Harvesting abaca is labour intensive as each stalk must be cut into strips which are scraped to remove the
pulp. The fibres are then washed and dried.
The fibre
Abaca is a leaf fibre, composed of long slim cells that form part of the leaf's supporting structure. Lignin
content is a high 15%. Abaca is prized for its great mechanical strength, resistance to saltwater damage,
and long fibre length – up to 3 m. The best grades of abaca are fine, lustrous, light beige in colour and very
strong.
Environmental benefits
Erosion control and biodiversity rehabilitation can be assisted by intercropping abaca in former monoculture
plantations and rainforest areas, particularly with coconut palms. Planting abaca can also minimize erosion
and sedimentation problems in coastal areas which are important breeding places for sea fishes. The water
holding capacity of the soil will be improved and floods and landslides will also be prevented. Abaca waste
materials are used as organic fertilizer.
USES OF ABACA
During the 19th century abaca was widely used for ships' rigging, and pulped to make sturdy manila
envelopes. Today, it is still used to make ropes, twines, fishing lines and nets, as well as coarse cloth for
sacking. There is also a flourishing niche market for abaca clothing, curtains, screens and furnishings, but
paper-making is currently the main use of the fibre.
Paper
Most of abaca fibre is pulped and processed into specialty papers. This includes: tea and coffee bags,
sausage casing paper, currency notes (Japan's yen banknotes contain up to 30% abaca), cigarette filter
papers, medical /food preparation/disposal papers , high-quality writing paper, vacuum bags and more.
Automotive
Currently abaca is being used for ‘soft’ applications in the automotive industry as a filling material for bolster
and interior trim parts. However given its strong tensile strength it can also be used for ‘harder’ applications
for exterior semi-structure components as a substitute for glass fibre in reinforced plastic components.
Mercedes Benz has used a mixture of polypropylene thermoplastic and abaca yarn in automobile body
parts. Replacing glass fibres by natural fibres can reduce the weight of automotive parts and facilitates
more environmentally friendly production and recycling of the parts.

Owing to the extremely high mechanical strength of the fibre as well as its length , application of abaca
even in highly stressed components offers great potential for different industrial applications.
1
Page
Producers
The world's leading abaca producer is the Philippines, where the plant is cultivated on 130 000 ha by some 90 000
small farmers .While the crop is also cultivated in other Southeast Asian countries, the second largest producing
country is Ecuador, where abaca is grown on large estates and production is increasingly mechanized.

Production and trade

In 2010, the Philippines produced about 57 000 tonnes of abaca fibre, while Ecuador produced 10 000 tonnes. World
production is valued at around USD60 million a year. Almost all abaca produced is exported, mainly to Europe,
Japan and the USA. Exports from the Philippines are increasingly in the form of pulp rather than raw fibre.

Market Outlook
Abaca has a high potential to substitute glass fibres in multiple automotive parts and is currently well recognized as
a material for paper products. Although abaca is mainly cultivated in the Philippines today, supply could be
increased if other countries in tropical and humid locations were to establish industry. The knowledge and the
experience about production and processing gained can easily be transferred to other countries.

2
Page
RUBBER
Think of rubber and you probably think of elastic bands, car tires, or pencil erasers. But this super-stretchy
material actually finds its way into tens of thousands of different products—everything from rubber stamps
and waterproof shoes to surfing wetsuits, swimming caps, and dishwasher hoses. Rubber, which has been
commonly used for over 1000 years, once came entirely from natural sources; now rubber products are
just as likely to be made artificially in chemical plants. That's largely because we can't produce enough
natural rubber to meet all our needs. And that, in turn, is because rubber is so fantastically useful. Let's
take a closer look at one of the world's most amazing materials!

What is rubber?
When people talk about "rubber", they don't usually specify what kind. There are many different kinds of
rubber, but they all fall into two broad types: natural rubber (latex—grown from plants) and synthetic
rubber (made artificially in a chemical plant or laboratory). Commercially, the most important synthetic
rubbers are styrene butadiene (SBR), polyacrylics, and polyvinyl acetate (PVA); other kinds include
polyvinyl chloride (PVC), polychloroprene (better known as neoprene), and various types of polyurethane.
Although natural rubber and synthetic rubbers are similar in some ways, they're made by entirely different
processes and chemically quite different.
Natural rubber

Natural rubber is made from a runny, milky white liquid called latex that oozes from certain plants when
you cut into them. (Common dandelions, for example, produce latex; if you snap off their stems, you can
see the latex dripping out from them. In theory, there's no reason why we couldn't make rubber by growing
dandelions, though we'd need an awful lot of them.) Although there are something like 200 plants in the
world that produce latex, over 99 percent of the world's natural rubber is made from the latex that comes
from a tree species called Hevea brasiliensis, widely known as the rubber tree.

This latex is about one third water and one third rubber particles held in a form known as
a colloidal suspension. Natural rubber is a polymer of isoprene (also known as 2-methylbuta-1,3-diene)
with the chemical formula (C5H8)n. To put it more simply, it's made of many thousands of basic C 5H8 units
(the monomer of isoprene) loosely joined to make long, tangled chains. These chains of molecules can be
pulled apart and untangled fairly easily, but they spring straight back together if you release them—and
that's what makes rubber elastic.

3
Page
How Rubber is Made

It takes several quite distinct steps to make a product out of natural rubber. First, you have to gather your
latex from the rubber trees using a traditional process called rubber tapping. That involves making a wide,
V-shaped cut in the tree's bark. As the latex drips out, it's collected in a cup. The latex from many trees is
then filtered, washed, and reacted with acid to make the particles of rubber coagulate (stick together). The
rubber made this way is pressed into slabs or sheets and then dried, ready for the next stages of production.

By itself, unprocessed rubber is not all that useful. It tends to be brittle when cold and smelly and sticky
when it warms up. Further processes are used to turn it into a much more versatile material. The first one
is known as mastication (a word we typically use to describe how animals chew food). Masticating
machines "chew up" raw rubber using mechanical rollers and presses to make it softer, easier to work, and
more sticky. After the rubber has been masticated, extra chemical ingredients are mixed in to improve its
properties (for example, to make it more hardwearing). Next, the rubber is squashed into shape by rollers
(a process called calendering) or squeezed through specially shaped holes to make hollow tubes (a
process known as extrusion). Finally, the rubber is vulcanized (cooked): sulfur is added and the rubber
is heated to about 140°C (280°F) in an autoclave (a kind of industrial pressure cooker).

Does Vulcanization make Rubber Stonger

Rubber—the kind you get from a tree—starts off as white and runny latex. Even when it's set into a product,
this latex-based, natural rubber is very squashy, pretty smelly, and not very useful. The kind of rubber you
see in the world around you, in things like car and bicycle tires, is vulcanized: cooked with sulfur (and often
other additives) to make it harder, stronger, and longer lasting.

So what's the difference between raw, latex rubber and cooked, vulcanized rubber? In its natural state,
the molecules in rubber are long chains that are tangled up and only weakly linked together. It's relatively
easy to pull them apart—and that's why latex rubber is so stretchy and elastic. When latex is vulcanized,
the added sulfur atoms help to form extra bonds between the rubber molecules, which are known as cross-
links. These work a bit like the trusses you see on a bridge, tying the molecules together and making them
much harder to pull apart.

4
Page
What do we use Rubber For?
The physical and chemical properties of a material dictate what we use it for. Even if you know absolutely
nothing about the real-world uses of rubber, you can probably make some very good guesses. For example,
everyone knows rubber is strong, stretchy, flexible (elastic), durable, and waterproof, so it's no surprise to
find it used in things like waterproof clothes and wellington boots, sticking plasters, and adhesives.

The most important use of rubber is in vehicle tires; about half of all the world's rubber ends up wrapped
around the wheels of cars, bicycles, and trucks! You'll find rubber in the hard, black vulcanized outsides of
tires and (where they have them) in their inner tubes and liners. The inner parts of tires are usually made
from a slightly different, very flexible butyl rubber, which is highly impermeable to gases (traps them very
effectively), so tires (generally) stay inflated for long periods of time.
The fact that rubber can be made either soft or hard greatly increases the range of things we can use it for.
Soft and stretchy latex is used in all kinds of everyday things, from pencil erasers, birthday balloons, and
condoms to protective gloves, adhesives (such as sticky white PVA), and paints. Harder rubbers are
needed for tougher applications like roofing membranes, waterproof butyl liners in garden ponds, and those
rigid inflatable boats (RIBs) used by scuba divers. Because rubber is strong, flexible, and a very poor
conductor of heat and electricity, it's often used as a strong, thin, jacketing material for electrical cables,
fiber-optic cables, and heat pipes. But the range of applications is truly vast: you'll find it in everything from
artificial hearts (in the rubber diaphragms that pump blood) to the waterproof gaskets that seal the doors
on washing machines!

Neoprene (polychloroprene) is best known as the heat-insulating, outer covering of wetsuits—but it has far
more applications than most people are aware of. Medical supports of various kind use it because, tightly
fitted, it compresses and warms injured bits of your body, promoting faster healing. Since it's flexible and
waterproof, it's also widely used as a building material, for example, as a roof and floor sealant, and as a
spongy absorber of sound and vibration in door and window linings.

Although the world has a vast appetite for new rubber, we also produce a huge quantity of rubber waste,
especially from discarded vehicle tires—and that's becoming an important raw material in its own right.
According to the Rubber Manufacturers Association, the United States alone produced almost 270 million
waste rubber vehicle tires in 2011, which is about a third of all the tires used worldwide. While some of
these are retreaded and others are ground up to make a low-grade aggregate that can be used for the
floors in things like children's playgrounds, over half of them are wasted (either burned as a fuel or buried
in landfills). Rubber manufacturers have recently turned their attention to recycling tires in all kinds of new
ways, making everything from mouse mats and sports bags to shoe soles and car components.
5
Page
What is a rubber mat?
A rubber mat is a generic term for a piece of flat rubber, generally placed on a floor or other flat surface,
which serves a range of purposes including: ... protecting that which is beneath the mat, such as a place
mat or the matting used in archival framing and preservation of documents and paintings.

One of the most popular uses of rubber matting is to cover stable floors.
The rubber matting primarily offers insulation from the cold concrete floor that can cause discomfort to the
horses even with a thick layer of bedding, as well as providing cushioning to the horses joints (think anti-
fatigue matting for horses). Rubber matting for stables also gives a great anti-slip surface which makes it
easier for when horses are getting up, and reduces the risk of casting.
Anti-fatigue matting is used mainly in factories where workers are on their feet all day.
Anti-fatigue matting works by allowing your muscles to subtly contract and expand as they adjust the
flexibility of the mat, this means that the heart doesn’t have to pump blood through constricted and tense
areas of the legs. Increased blood flow means there is more oxygen reaching the heart which greatly
reduces fatigue. This means anti-fatigue can actually save you money in the long by reducing the amount
of work related injuries caused by Cumulative Standing Trauma.

One of the most common places you will find rubber matting is the gym!
The rubber matting you find here will be anti-slip and anti-fatigue which adds comfort and safety to exercise
areas particularly weightlifting and any areas where exercise machines are present. Some gyms have
matting just for these specific areas; however some take the opportunity to cover the whole floor with rubber
matting to reduce any slips that could occur going between the different areas. Some other uses for closer
to home…

6
Page
RUBBERISED ABACA MATS
The Rubberized Coir Doormats are durable and supple yet robust and resistant to abrasion. It is absorbent
and is naturally resistant to bacterial mold and fungal growth. Coir doormats are an ideal way to keep your
home or office clean. They are rugged yet beautiful and perfect for any entryway.
Abaca Fibers are extracted and woven into yarns which are later rubberised on the sides and back which
makes them more attractive, slip proof, antistatic and 100% Natural and Re Cyclable.

7
Page
FINANCIALS
Sl No Purticular Total Prices

1 Land 1 Hectare @3000m2 ₱13,000,000.00

2 Plant ₱13,000,000.00

3 Abaca Machinery ₱15,984,800.00

Abaca BA1 Weaver ₱3,000,000.00

Abaca M3V3 Yarn Weaver ₱ 6,000,000.00

4 Dispersion Kneader (1 Nos) ₱8,268,000.00

5 Double Roller Mixing Mill (2 Nos) ₱18,000,000.00

6 Hydraulic Presses (9 Nos) ₱31,694,000.00

7 Boiler Unit (1 Nos) ₱6,890,000.00

8 Electrification (Bundle) ₱3,445,000.00

9 Rubber Emulsifier Roller and Drying room (1 Set) ₱1,722,500.00

10 Capital for 1 Year ₱50,780,000.00

11 Miscellaneous Expenses ₱13,000,000.00

12 Marketing expenses ₱13,000,000.00

Total ₱197,784,300.00

Note: Balance amount will be utilized for working capital.

8
Page
DUTIES AND RESPONSIBILITIES
RESPONSIBILITIES OF CURICART
1. Complete Plant & Machinery (details to be studied and decided on.
2. Infrastructure includes
 Building
 Machinery
 Technology
 R&D
3. Working capital for 1 year
4. Marketing Expenses
5. All Marketing Process for exporting will be Curicart’s responsibility

EXPECTED RESPONSIBILITIES OF JV PARTNER

1. Provide premises for Plant & Machinery
2. Assistance in all federal / provincial / City approvals
3. Allow usage of Trademark and Goodwill of JV Partner for all legitimate Administrative and Marketing
Purpose.

JOINT RESPONSIBILITIES
1. Work cooperation for success of the project.
2. Joint control over all activities including Administration and Finance.
3. Further advancement and research facilities in future.

JV Partnership Ratio (Curicart : JV Partner)

70:30

9
Page
Project Modus Operandi
1. Sigining of MOA / JV Agreement
2. Completion of all Approvals and Licenses (Federal/ City/ PEZA)
3. Acquiring of land for project in name if JV
4. Ordering of Machineries from Philippines and Abroad
5. Execution of Building for Project
6. Ordering of chemicals for production purpose
7. Fixations of all Macineries on arrival
8. Electricity Connections
9. Trial Runs and sample production
10. Commencement of Commercial Prodution
List of Machinery:
Abaca
1. Abaca Stripping & Decorticating Machine
2. Abaca BA1 Weaver
3. Abaca M3V3 Yarn Weaver
Rubber
1. Rubber Sheet Rollers - 2 Nos (Plain and Ribbed)
2. Rubber Batch Dispersion Kneader - 50 Ltr Capacity - 1 Nos
3. Double Roll Mixing Mill – 70 Kgs Batchers - 2 Nos (Big 1 – Small 1)
4. Hydraulic Press - 9 Nos
 1500cm X 1000cm - 1 Nos
 1000cm X 500cm - 2 Nos
 250cm X 250cm - 3 Nos
 100cm X 100cm - 3 Nos
5. Thermic Fluid Boiler Unit 2 Ton - 1 Nos
Notes:
1. All machinery will be automatic or semi automatic
2. Abaca to be woven into Brushes and large yarns
3. Trainers for all process will be brought from India for training Filipino Staff

Prepared By:
Saju Vincent
Vice President (Emerging Markets)
10
Page
 INDIA
#70, 1st Floor, Rajanarayan Towers
Race Course Road, Coimbatore – 18
Phone: +91 422 464 5060
+91 422 464 6060
CHARTER PARTNER PHILIPPINES
Curicent Technology Research Services
National Road, Brgy Jinalinan
Barbaza – Antique 5706
Mob: +63 915 7050 720
+63 928 2200 515

e-mail : info@curicart.com
arjunsenthil@curicart.com
11

sv@curicart.com
Website : www.curicart.com
Page
 JOINT VENTURE AGREEMENT

THIS JOINT VENTURE AGREEMENT ("Agreement"), made and entered into as of this
XXXX day of XXXXX, 2019, by and between CURICART ENTERPRISES LLP, a Indian
corporation, with offices at Race Course Road, Coimbatore - India (“CEL”) and JV
PARTNER, a Philippines Cooperative, with offices at XXXXXXXXXXXXXXXXXX,
collectively referred as the “Parties”.

ARTICLE I GENERAL PROVISIONS

1.01 Business Purpose. The business of the Joint Venture shall be to execute and manage
Rubberized Abaca Flooring Factories in the Philippines.

Once these projects are under way both parties agree to seek out other mutually beneficial
projects in the Philippines and elsewhere throughout Southeast Asia. As opportunities are
identified and contracts entered into, they will be added as an addendum to this Joint
Venture Agreement and will be governed in accordance with this document.

1.02 Term of the Agreement. This Joint Venture shall commence on the date first above
Comprehensive JV Agreement

written and shall continue in existence until terminated, liquidated, or dissolved by law or as
hereinafter provided. It is understood, that this Joint Venture will terminate at the completion
of the projects listed in 1.01. It is the intention of the Parties to automatically extend this
Joint Venture Agreement in term each time a new project is identified and added to this
Agreement by addendum for the term required to complete that project. However, based on
the parties initial proposals, it contemplated that some or all of the projects will continue as
long as they are viable and ongoing service is required by the company/end user or agency
of the Philippine government.

ARTICLE II GENERAL DEFINITIONS

The following comprise the general definitions of terms utilized in this Agreement:

2.01 Affiliate. An Affiliate of an entity is a person that, directly or indirectly through one or
more intermediaries, controls, is controlled by or is under common control of such entity.

2.02 Capital Contribution(s). The capital contribution to the Joint

Venture actually made by the Parties is defined as cash contributions in the form of equity
and/or debt. It is understood the funding for this project will be in the amount of $4,000,000
but the First Party have agreed that an initial amount of $1,000,000 will be advanced as
seed money for set up and testing for the projects identified in 1.01. If the form of funding
is a loan, it will be re-paid out of proceeds of this venture and will be used exclusively for the
purpose as outlined in 1.01.

ARTICLE III OBLIGATIONS OF THE JOINT VENTURERS

3.01 Obligations. The Parties will have joint responsibility for financial decisions and
expenditures of the Joint Venture. CEL will be responsible for the on-site operations of the
business and will disburse funds according to a budget pre-approved by the Parties. Any
12
Page
 expenditure of funds not previously approved by the parties will be submitted for approval
at the time of the request.

3.02 Responsibilities. CEL will provide all of its products to the Joint Venture for use in the
areas contemplated by this agreement along with the necessary consultants, scientists, and
financial expertise that is needed by the Joint Venture. CEL will provide the funding for the
Joint Venture for the testing and implementation of its products and services. This funding
will include but not be limited to; the set up of testing on site, construction of facilities,
operational working capital, marketing expenses and agreed upon travel and fees to
accomplish the goals of the Joint Venture. THE PHILIPPINES JV PARTNER WILL
PROVIDE THE LAND NEEDED FOR THE PROJECT (APPROXIMATELY 1.5 HECTARES)

ARTICLE IV ALLOCATIONS

4.01 Profits and Losses. Commencing on the date hereof and ending on the termination of
the business of the Joint Venture, all profits, losses and other allocations to the Joint Venture
shall be allocated as follows: 70% to CEL and 30% to JV PARTNER. Profits are defined
herein as the excess cash after payment of the direct expenses of the Joint Venture. Direct
Expenses will be defined in detail as part of the budget to be agreed upon by the Parties.
Comprehensive JV Agreement

Disbursements of the Joint Venture proceeds after expenses will be distributed at the end
of each quarter.

ARTICLE V RIGHTS AND DUTIES OF THE JOINT VENTURERS

5.01 Business of the Joint Venture. CEL shall have the authority and discretion in the
management and control of the day to day operation of the business of the Joint Venture for
the purposes herein stated and shall make all decisions affecting the business of the Joint
Venture provided both parties have pre-approved or jointly agreed on such actions in
advance and it is in the clear best interest of the venture. CEL will not make any decisions
that would in any way benefit CEL in any way to the detriment of JV PARTNER. As such,
any action taken shall constitute the act of, and serve to bind, the Joint Venture. CEL shall
manage and control the affairs of the Joint Venture to the best of its ability and shall use its
best efforts to carryout the business of the Joint Venture.

ARTICLE VI AGREEMENTS WITH THIRD PARTIES AND WITH AFFILIATES OF THE

JOINT
VENTURERS

6.01 Validity of Transactions. Affiliates of the parties to this Agreement may be engaged to
perform services for the Joint Venture. The validity of any transaction, agreement or
payment involving the Joint Venture and any Affiliates of the parties to this Agreement
otherwise permitted by the terms of this Agreement shall not be affected by reason of the
relationship between them and such Affiliates or the approval of said transactions,
agreement or payment.

6.02 Other Business of the Parties to this Agreement. The parties to this Agreement and
their respective Affiliates may have interests in businesses other than the Joint Venture
business. The Joint Venture shall not have the right to the income or proceeds derived from
such other business interests even if they are competitive with the Joint Venture business,
unless such business interests shall be in the Philippines.
13
Page
 ARTICLE VII PAYMENT OF EXPENSES

7.01 Expenses. All expenses of the Joint Venture shall be paid by CEL out of the proceeds
of the operation and all residual income will be divided as described in Section 4.01. A
complete accounting of all income and expenses will be provided to JV PARTNER by CEL
on a weekly basis.

ARTICLE VIII INDEMNIFICATION OF THE JOINT VENTURERS

8.01 Indemnification. The parties to this Agreement shall have no liability to the other for any
loss suffered which arises out of any action or inaction if, in good faith, it is determined that
such course of conduct was in the best interests of the Joint Venture and such course of
conduct did not constitute gross negligence or willful misconduct. The parties to this
Agreement shall each be indemnified by the other against losses, judgments, liabilities,
expenses and amounts paid in settlement of any claims sustained by it in connection with
the Joint Venture.

ARTICLE IX DISSOLUTION
Comprehensive JV Agreement

9.01 Events of the Joint Venturers. The Joint Venture shall be dissolved upon the happening
of any of the following events: (a) The adjudication of bankruptcy (b) Filing of a petition
pursuant to a Chapter of the Federal Bankruptcy Act (c) Withdrawal or removal of either of
the parties (d) The sale or other disposition, not including an exchange of all, or substantially
all, of the Joint Venture assets (e) Mutual agreement of the Parties

ARTICLE X MISCELLANEOUS PROVISIONS

10.01 Books and Records. The Joint Venture shall keep adequate books and records at its
place of business, at XXXXXXXXXXXXXXXXXXXXXXXXXXX setting forth a true and
accurate account of all business transactions arising out of and in connection with the
conduct of the Joint Venture.

10.02 Validity. In the event that any provision of this Agreement shall be held to be invalid,
the same shall not affect in any respect whatsoever the validity of the remainder of this
Agreement.

10.03 Integrated Agreement. This Agreement constitutes the entire understanding and
agreement between the parties hereto with respect to the subject matter hereof, and there
are no agreements, understandings, restrictions or warranties among the Parties other than
those set forth herein provided for.

10.04 Headings. The headings, titles and subtitles used in this Agreement are for ease of
reference only and shall not control or affect the meaning or construction of any provision
hereof.

10.05 Notices. Except as may be otherwise specifically provided in this Agreement, all
notices required or permitted hereunder shall be in writing and shall be deemed to be
delivered when deposited in the Philpost mail, postage prepaid, certified or registered mail,
return receipt requested, addressed to the parties at their respective addresses set forth in
14
Page
 this Agreement or at such other addresses as may be subsequently specified by written
notice.

10.06 Applicable Law and Venue. This Agreement shall be construed and enforced under
the laws of the Republic of the Philippines.

10.07 Other Instruments. The parties hereto covenant and agree that they will execute each
such other and further instruments and documents as are or may become reasonably
necessary or convenient to effectuate and carry out the purposes of this Agreement.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day
and year first above written.

CURICART ENTERPRISES LLP JV PARTNER

Comprehensive JV Agreement

Notes:
 All Clauses above are subject to revision and chnages on final
discussion

15
Page