11.MANAGEMENT DISCUSSION & ANALYSIS REPORT INDUSTRIES STRUCTURE AND DEVELOPMENT In developing countries the Co-extruded tubes manufactured by the company are used by the cosmetic industry for packaging of their cosmetic products but in the developed countries such as ours the cosmetics were packed in the laminated tubes. The trends are now changing and the cosmetic industry is shifting from laminated tube packaging to co-extruded seamless tube packaging. There is increasing demand of the product in the overseas/foreign markets. The demand in domestic/national as well as in export/International markets is expected to increase. The increased buying capacity of the middle income group in India has also increased the demand of the product. Opportunities and Threats: Due to debrciation of Rupee vs Dollar and decrease in Raw material prices, there is opportunity to export these tubes. In recent past, lot of capacity of Co-Extruded seamless plastic tubes has been commissioned and therefore there is increase in competition in domestic market which has adversely effected in the margin. Risks and Concern: Market is growing due to change in Consumer behavior. Opportunity to penetrate in North India market Competition due to excess capacity in the domestic market. By order of the board Mr. Arvind Machhar Managing Director Din:-00251843 Date: 30.05.20U |