MANAGEMENT DISCUSSION AND ANALYSIS: 1. INDUSTRY OUTLOOK: During the period under review economy was passing through very hard phase, international financial crisis made things more challengeable and fluctuation in Rupee against dollar made import more costly and have greater impact in costing of the products of the company. However there were tremendous potential growth shown in the markets. Due to new government and changes in government policies, plus government regulations current scenarios are very Imbrssive there is lot of potential demand for the next years. 2. OPPORTUNITIES AND THREATS: The company envisaged remarkable growth over brvious years. Companys turn over shows increasing trends due to expansion the financial charges and debrciation are higher over the brvious year. Government is providing various incentives under TUFs .The Customers also growing rapidly. At the same time, there is intense price brssure from the competitors and international financial crisis. 3. INITIATIVES The initiatives are being taken by the Company for improving the quality standards and reduction of costs at appropriate level. New machineries are installed to provide better result and to cope up with changing requirement of the industry. The employees at ail levels are being made aware of the changing conditions and the challenges of the open market conditions and to train the personnel to tackle the difficult situations which will improve the overall productivity, profitability. 4. RISKS AND CONCERNS; Major fluctuations Rupee v/s dollar price corresponding to fluctuation in the raw material price and stringent market conditions can affect the company's performance. 5. INTERNAL CONTROL SYSTEM The Company has an adequate internal audit system commensurate with its size and the nature of its business towards achieving efficiency in the operation, optimum utilization of resources and effective monitoring thereof and compliance with applicable laws. 6.HUMAN RESOURCES: Employee's relations continue to be cordial. Training and development activities are identified, organizes and progress monitored as part of human resource development activities. 7.FUTURE PLAN: As a long term planning strategy, company is planning to operate on a larger scale and achieve the highest portion of market demand of its products. Promoters are working very hard to lead company to new horizons and giving better results. By Order of the Board of Director Sd/- Ramesh D. Khichadia Chairman & Managing Director Registered Office : UL25, Royal Complex, Bhutkhana Chowx Dhebar Road. Rajkot - 360002 Date: 30.05.2015 Place: Rajkot |