MANAGEMENT DISCUSSION AND ANALYSIS REPORT

REVIEW OF OPERATION AND CURRENT TREDS

(a) Fibre Cernent (FC) Sheets :

During the year under review, the Sales quantity of FC Sheets de-grown by around 6% compared to brvious year. Revival in demand pattern was increased by 7% in Eastern part of the country whereas the demand pattern in the rest of India remained sluggish. Decrease in volume could be attributed to poor monsoon in the year resulting in lower demand in retail sales. Moreover, net realisation decreased due to high transport costs for movements of materials from Plants located in South India to high demand areas in the North and East of the Country.

Union Government's initiatives on Rural development and Prime Minister's Swachh Bharat Abhiyan scheme will be boost for fibre cernent products and trend may continue. Promotional efforts are vigorously taken to explore new potential areas with more customized products.

(b) Calcium Silicate Boards (CSBs):

Efforts are taken to increase Production and Sales during the year under review. New variants with superior features were well received in the Market. Persistent steps are being taken to improve the market of CSB in domestic and abroad. While there has been increase in production compared to last year, Sales also have been increased compared to last year.

(c) Cernent Clinker Grinding (CCG) Plant at Kharagpur, West Bengal :

The Plant had produced 1,16,077 M.T. of Cement during the year under review as against 1,37,867 M.T. of Cement during the brvious year.

Similarly, Sale of Cement also decreased from 1,37,398 M.T. during the last year to 1,17,137 M.T. during 2015-16.

(d) Fibre Cernent Pressure Pipes:

Operations of Pressure Pipes continued to be under brssure owing to the sluggish market. The Union Government's infrastructure initiatives are expected to increase the sale of this product.

B. WINDMILLS: