HMT Limited Bangalore
The Board of Directors has pleasure in presenting the 64th Annual Report onthe Business & Operations of your Company and Annual Accounts of the Company for theyear 2016-17 along with the Auditors' Report. The Comments of the Comptroller &Auditor General of India are attached to this Report.
Financial summary or highlights/Performance of the Company (Standalone)
| || ||Rs. in Lakhs |
|Particulars ||2016-17 ||2015-16 |
|Gross Revenue from continuing Operations ||1043 ||726 |
|Profit Before Depreciation and Finance Costs ||(4227) ||9375 |
|Depreciation ||32 ||27 |
|Gross Profit/(Loss) ||(4259) ||9348 |
|Finance Cost ||288 ||297 |
|Net profit before exceptional Items and PPA ||(4547) ||9051 |
|Add : Exceptional Items ||531 ||- |
|Less : Prior Period Adjustments || || |
|Net Profit before Tax ||(4016) ||9051 |
|Provision for Tax ||(1861) ||- |
|Net Profit After Tax ||(2155) ||9051 |
|Profit/Loss from discontinued operations ||(21794) ||(10765) |
|Net Profit/(Loss) for the year ||(23949) ||(1714) |
Consequent to the decision of the Government for closure of the Company's TractorBusiness the main business portfolio now is Food Processing Machinery. The FoodProcessing Machinery business recorded a positive Gross Margin with a growth of 35% inproduction (Rs.9.58 Crore in 2016-17 as against Rs.7.10 Crore in the previous year) and47% in Sales (Rs.10.14 Crore in 2016-17 as against Rs.6.94 Crore in the previous yearwithout excise duty).
However your Company had to face severe pressure on performance during the year due tolack of working capital.
Your Company recorded a Production of Rs.19.38 Crore (188 Nos. of Tractors & 437Nos of Food Processing Machineries) as against Rs.37.18 Crore (633 Nos. of Tractors &210 Nos of Food Processing Machineries) in the previous year and Sales of Rs 22.90 Crore(215 Nos. of Tractors and 475 Nos of Food Processing Machineries) compared to Rs 45.43Crore (733 Tractors and 185 Nos. Food Processing Machines) in the previous year.
HMT Group along with its Subsidiaries achieved an aggregate Production of Rs. 193.41Crore. Revenue from the operations reported as Rs.215.36 Cr. for the year 2016-17 againstRs. 251.91 Cr. of previous year including excise duty. HMT Group incurred loss ofRs.544.03 Cr. against previous year loss of Rs.278.50 Cr.
Food Processing Machinery
Over the years India has emerged as one of the world's biggest producers of milk withthe total milk production rising from 122 Million Metric Tons in 2010-11 to 162 MillionMetric Tons in 2016-17. With an increase in the working population hectic lifestyles andincreasing health consciousness among the consumers there has been a shift towardshealthy and ready-to-eat dairy products. Apart from this a large number of affluentconsumers who prefer value-added and premium dairy products have further facilitated thegrowth of the organised dairy sector.
Fortunately the government and other stakeholders seem to be alive to the situationand efforts to increase milk production have been intensified. Transformations in thesector are being induced by factors like newfound interest on the part of the organizedsector new markets easy credit facilities dairy friendly policies by the governmentetc. Dairy farming is now evolving from just an agrarian way of life to a professionallymanaged industry-the Indian dairy industry. With these positive signals there is hopethat the sector may eventually march towards another white revolution.
In view of the positive signals in industry the Company has set a Sales target ofRs.11.00 Crore for the year 2017-18 and increase production of its fast moving productsviz. Continuous Butter Making Machine Centrifugal Pumps Homogenizers and Pasteurizers.
The domestic consumption of machine tools for the year 2016-17 is around Rs.11616 Cr.as against Rs.10376 Cr. during 2015-16 a growth of 12%. The consumption is expected to bearound Rs 12800 Cr during the 2017-18 a growth of 10%. The country's production during2016-17 is around Rs.5803 Cr. as against Rs.4727 Cr. in 2015-16 a growth of around 23%.
As per IMTMA during the year 2016-17 there is a growth of 22% in export of MachineTools with respect to corresponding period of last year which indicates that there isdemand for Indian Machines abroad.
India is emerging as fastest growing economy in the world. According to The World Bankthe Indian economy is likely to grow at 7.6 % in 2017-18 and 7.8 % in 2018-19. Theindustry output grew by 5.0 % during 2016-17 as against 3.4 % during 2015-16 led by a goodperformance in the capital goods sector which registered a growth of 3.1 % andmanufacturing sector registering a growth of 4.9 %. Demonetisation had a positive impacton the Indian Economy which has helped to foster a clean and digested economy on the longrun.
The continued investment by the government in public infrastructure is helping theeconomy to grow. The automotive sector is also steadily picking up which is expected togive fillip to MSMEs in the country. The development of MSMEs is also one ofthe principle objectives of the Government. All this in turn is expected to boost thedemand for machine tools during 2017-18.
Demand for machine tools accrues from the manufacturers of primary goods andintermediate goods. The primary user industries include the automotive sector capitalgoods sector and consumer durables sector. Prominent users of machine tools in theintermediate goods sector include the auto components the ball and roller bearings andelectronic components. Only sectors like defence and industrial intermediates recorded agood growth in turnover during 201617. This growth in various sectors presents a positiveoutlook for improving the company's business during 2017-18.
During the current year the Company has set a Sales target of Rs.260 Crore and itproposes to achieve the same through encashing the business opportunity available inAerospace and Nuclear power and growing market in other sectors concentrating more onindigenization of imports for defence equipments and reduction of manufacturing cycle timeby high productive machines.
DIVIDEND & PROVISIONS
Owing to the losses incurred during the year the Directors are unable to recommend anydividend on the paid up equity share capital of the Company.
The Authorised Share Capital of the Company is Rs. 2100 Crore and Paid up equity ShareCapital is Rs. 1204.09 Crore
The Company has not accepted any deposits from the public and hence there is noviolation of Chapter V of Companies Act 2013 and the corresponding rules made there under
Disclosure pursuant to Section 197(12) of the Companies Act 2013 read with Rule 5 ofCompanies Appointment and Remuneration of Managerial Personnel) Rules 2014 as amended:
The Statement showing the details of top ten employees in terms of remuneration drawnas per Rule 5 (3) of the Companies (Appointment and Remuneration of Managerial Personnel)Rule 2014- is in the Annexure.
Disclosure as per the Sexual Harassment of Women at Workplace (Prevention Prohibitionand Redressal) Act 2013
The Company has adopted a policy on prevention prohibition and redressal of SexualHarassment at workplace in line with the provisions of the Sexual Harassment of Women atWorkplace (Prevention Prohibition and Redressal) Act 2013 and the Rules thereunder.During the Financial year 2016-17 the Company has not received any complaints of SexualHarassment.
There was no incident of fraud reported during the year under review.
CORPORATE SOCIAL RESPONSIBILITY (CSR) POLICY
Pursuant to sub-section (3) (o) of Section 134 of the Companies Act 2013 consequentupon appointment of Independent director on the Board of the Company the CSR Committee isbeing constituted.
ENTERPRISE RISK MANAGEMENT:
Establishment of Risk Management System in terms of regulation 34 (3) of the SEBI(LODR) Regulation 2015 and the provisions of the Companies Act 2013 is under process.
PARTICULAR OF EMPLOYEES
No employees of the Company received remuneration in excess of the limits prescribedunder Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel)Rules 2014.
HMT Machine Tools Limited
This company executed orders for several critical Machines and procured prestigiousorders from strategic sectors & auto sectors during the year. The Company alsoinitiated various product developments Technology development & Technology Tie-upsmaking it an eventful year. The Subsidiary achieved Sales of Rs.197.52 Crore againstRs.217.83 Crore (including excise duty). Production attained is of Rs. 183.83 Crore asagainst Rs.201.44 Crore in the previous year. Net loss reported is Rs. 127.59 Croreduring the year 2016-17 against reported loss of Rs. 106.66 Crore in previous year.
HMT (International) Limited
The Subsidiary achieved a turnover of Rs.23.98 Crore during the year 2016-17 as againstRs. 33.91 Crore recorded in the previous year 2015-16. The Order procurement during theyear is Rs.20.19 Crore as against Rs.9.43 Crore achieved in the previous year. Continuingthe trend of achieving profits Subsidiary could report Profit Before Tax (PBT) of Rs.0.26Crore achieved against Rs. 0.90 Crore reported in previous year.
HMT Watches Limited
This Subsidiary could not show significant improvement in performance during the yearunder review. This Subsidiary could achieve a Sales level of Rs. 7.29 Crore (Includingexcise duty) and Production of Rs. NIL Crore during the year under review. The Net Lossfor the year stood at Rs. 203.56 Crore.
HMT Chinar Watches Limited
The performance reported is; Sales to Rs. 2.24 Crore (Including excise duty) during theyear with NIL Production for the year. In view of the non operative status level theSubsidiary achieved a Net Profit of Rs.0.91 Cr.
HMT Bearings Limited
During the year under review the Subsidiary was able to achieve Sales of Rs.2.66Crore against the Previous Year's Sales of Rs.11.83 Crore (Including excise duty). Interms of Production the Company was able to achieve Rs. 0.95 Crore compared to thePrevious Year's Production level of Rs. 10.14 Crore. The loss for the year registered Rs.3.66 Cr during 2016-17 as against net loss of Rs. 8.93 Cr. reported during previous year.
ASSOCIATE /JOINT VENTURE COMPANY
SUDMO-HMT Process Engineers (India) Limited
This Joint Venture Company could not transact any business during the year underreview. For the financial year 2016-17 this Company showed a Profit after tax of Rs.0.66Lakhs only on account of the interest income of Rs.3.33 Lakhs on the fixed deposits keptwith the Banks.
Gujarat State Machine Tools Corporation Ltd
This Joint Venture Company between HMT and GIIC Ltd has discontinued its operationssince long. It is therefore proposed to divest from this Associate Company jointly withthe JV Partner. The process of disinvestment from this Company is under consideration bythe Company in consultation with the JV Partner.
Salient features of the financial statement of subsidiaries/associate companies/jointventures are provided in Form AOC-1 as annexure.
Indian Accounting standards
As required under Companies (Indian Accounting Standard) Rules 2015 (NotificationNo.111 (E) dated 16.02.2015 issued by Ministry of corporate affairs) the Company hasprepared the financial statements in accordance with Indian Accounting Standards(Ind AS)with effect from Financial year 2016-17 along with comparatives for the previous year2015-16.
CONSOLIDATED FINANCIAL STATEMENTS
As required under the Companies Act 2013 and SEBI (LODR) Regulation 2015 ConsolidatedFinancial Statements of the Company along with that of the Subsidiaries for the financialyear 2016-17 conforming to the applicable Accounting Standards are attached to thisReport along with the Auditors' Report on the same.
The Directors have consented not to attach copy of the Balance Sheet Profit and LossAccount Report of the Board of Directors and Auditors of the five (5) SubsidiaryCompanies viz. HMT Machine Tools Limited; HMT Watches Limited; HMT Chinar WatchesLimited; HMT Bearings Limited and HMT (International) Limited and one (1) Joint VentureCompany i.e. SUDMO- HMT Process Engineers (India) Limited to the Balance Sheet of theCompany (Holding Company). However these documents will be made available upon request byany member of the Company interested in obtaining the same. The financial information ofeach of these subsidiary Companies have been furnished as part of the Consolidated BalanceSheet of the Company. The annual accounts and other detailed information of each of theSubsidiary companies will be available for inspection by any member at the RegisteredOffice of the Company.
Information in accordance with the Companies Act 2013 read with the Companies(Particulars of Employees) Rules 1975 as amended is NIL for the year 2016-17.
The employee strength of the Company as on March 31 2017 stood at 269 Nos comprisingof various categories of employees in manufacturing plants and other offices in technicaland other professional areas.
The number of employees on the rolls of the Company as on March 31 2017 in SC/STEx-servicemen Physically
Handicapped and Women Employee Categories etc. is detailed below:
|Scheduled Castes ||46 |
|Scheduled Tribes ||02 |
|Other Backward Classes ||36 |
|Ex-Servicemen ||02 |
|Persons with Disabilities ||06 |
|Women employees ||17 |
|Minorities ||22 |
The overall Industrial Relations situation in the Company during the year remainedcordial.
IMPLEMENTATION OF OFFICIAL LANGUAGE
Continuous efforts are being made towards implementation of Official Language ActRules & Policy as per the directives of the Government in the Company to enhance thelevels of usage. The Official Language Implementation Committee have been constituted inall the Units of the Company and the Subsidiaries including the Corporate Office atBangalore to monitor implementation of Official Language Act Rules Policy etc. whichmeets at regular intervals in every quarter.
In order to propagate the usage of Hindi as Official Language "HINDI DIWAS/HINDIFORTNIGHT" was observed during the month of September 2016. Various competitions inHindi such as Hindi Story Writing Hindi News Paper Reading Hindi Quiz Writing HindiConversation Hindi Antyakshari etc. were organized and participants were awardedprizes. A workshop was organised during the above period. The Hindi Magazines/Newspapersare being procured to propagate the usage of Hindi among employees. The concernedOfficials of the Company regularly take part in the meetings of the Town Official LanguageImplementation Committee.
Reporting on progress of Hindi proliferation in the Company is being reportedperiodically on Rajabhasha Vibhag portal.
Chief Vigilance Officer (CVO) appointed by the Government of India heads the CorporateVigilance Department of the Company. Presently CVO Scooter India Limited has beenassigned with the additional charge of CVO HMT Limited.
The Corporate Vigilance Department carries out vigilance function in the HoldingCompany as well as Subsidiary Companies. Vigilance function in the manufacturing Units andMarketing Offices are looked after by Vigilance Officers under the guidance of ChiefVigilance Officer.
All the Unit Vigilance Officers send their monthly Vigilance/Inspection Reports andSurprise Inspection reports to CVO. Reports so received are scrutinized at CVO Office forfurther action. Unit Vigilance Officers also verify Annual Property Returns submitted bythe employees of the Unit.
Apart from regular inspections by Unit Vigilance Officers CVO conducts CTE (ChiefTechnical Examiner at CVC) type surprise and regular inspections of high value purchase/contracts and systems by visiting various Subsidiaries and Units.
Violations of rules and procedures observed during the inspection of files by CVO/Dy.CVO/Unit VOs were recorded and depending upon the seriousness of the deviations furtheractions are taken. Unit Vigilance Officers are advised to discuss deviations noticed bythem during their inspection in the quarterly Vigilance Workshop and advice the concernedofficers that the violations of rules and procedures pointed out by the VigilanceDepartment should not be repeated and all the concerned officers should comply with CVCand Company Purchase Manual guidelines.
Emphasis was laid on preventive vigilance by striving towards strict adherence to allrules and procedure and all norms of transparency in tendering process. Based on CVC'sguidelines for Improving Vigilance administration by leveraging technology andincreasing transparency through effective use of website' necessary directions were givenby CVO for implementation of the same. Some of the systems put in place by the Companyare:
1. Uploading of all open tenders and high value Limited Tenders on www.tenders.gov.in(Website of GOI).
2. Publishing details regarding all purchase orders/contracts concluded during themonth of and above the threshold value (presently Rs 5.00 lakhs). This is generallyfollowed by all manufacturing Units.
3. Application form for vendor registration along with list of items required by Unitsof HMT Limited and Subsidiaries are made available on Company Website so as to enable theinterested vendors to download the application form and submit the same to the Unit oftheir choice.
4. Management is being persuaded to adopt E procurement process.
5. Management is being persuaded to adopt Integrity Pact.
6. In many of the units/Subsidiary E-payment mode to suppliers is adopted andcompliance level is 30 to 80%.
7. Quarterly vigilance workshops were organized at all manufacturing units to enhancethe level of vigilance awareness among the employees.
8. Vigilance Awareness Week 2016 with the theme "Public participation in promotingintegrity and eradicating corruption" was observed in all Units and Offices of HMTLimited and Subsidiary Companies as per the guidelines of CVC.
9. Number of inspections including surprise inspections carried out by Unit VigilanceOfficers and number of Annual Property Returns scrutinized between April 2016 to March2017 is tabulated below:-
|Inspection ||Total carried out between April 2016-March 2017 (by Unit Vigilance Officers) |
|Periodic Inspection of purchase files ||1001 |
|Surprise Inspection ||176 |
|Scrutiny of Annual Property Returns ||800 |
Pursuant to Regulation 34 of the SEBI (LODR) Regulation 2015 a Report on theCorporate Governance is annexed as part of this Report along with the ComplianceCertificate from the Auditors. A Report on Management Discussion and Analysis is alsoappended to this Report separately. Further a declaration by the Chairman & ManagingDirector for having obtained affirmation of compliance of the Code of Conduct by the BoardMember (s) and Senior Management for the year ended March 312017 is also appended.
The Audit Committee has been constituted with the existing one Independent Director tocomply the provisions of the Companies Act 2013 and the SEBI (LODR) Regulation 2015
The Register of Members and Share Transfer Records both in respect of the shares heldin physical and depository form are maintained by Karvy Computershare Private Limited theRegistrars & Share Transfer Agents of the Company.
INFORMATION REGARDING CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION AND FOREIGNEXCHANGE EARNINGS AND OUTGO
Particulars in respect of conservation of energy technology absorption and foreignexchange earnings and outgo as required under the Companies (Disclosures of Particulars)Rules 1988 are annexed to this Report.
DIRECTORS RESPONSIBILITY STATEMENT
To the best of their knowledge and belief and according to the information andexplanations obtained by them your Directors make the following statements in terms ofSection 134(3)(C) of the Companies Act 2013:
that in the preparation of the annual financial statements for the year ended31.03.2017 the applicable accounting standards has been followed along with properexplanation relating to material departures;
that such accounting policies have been selected and applied consistently andjudgments and estimates have been made that are reasonable and prudent so as to give atrue and fair view of the state of affairs of the Company at the end of the financial yearand of the profit and loss of the Company for the year ended on that date;
that proper and sufficient care has been taken for the maintenance of adequateaccounting records in accordance with the provisions of the Companies
Act 2013 for safeguarding the assets of the Company and for preventing and detectingfraud and other irregularities;
that the annual financial statements have been prepared on a going concernbasis;
that proper internal financial controls were in place and are adequate and wereoperating effectively;
that proper systems to ensure compliance with the provisions of all applicablelaws were in place and were adequate and operating effectively;
Since the overall performance of the Company is evaluated against the annual MoUtargets set by the Department of Public Enterprises (DPE) no specific criteria is laiddown for the evaluation of Board and of its Committees and the individual Directors. Sinceyour Company being a Central Public Sector Enterprise (CPSE) the personnel policies andguidelines issued by DPE are being adopted in line with other CPSEs Accordingly yourCompany has not formulated any separate policy in respect of appointment or evaluation ofsenior management and key managerial personnel.
EXTRACT OF ANNUAL RETURN
In terms of Section 92(3) of the Companies Act 2013 read with Rule 12 of the Companies(Management and Administration) Rules 2014 an extract of the Annual Return in theprescribed form are placed as Annexure MGT-9 to this Report.
M/s. B. K. Ramadhyani & Co. LLP were appointed as Statutory Auditors of theCompany for the year 2016-17 by the Comptroller & Auditor General of India. Threefirms of Chartered Accountants were also appointed as Branch Auditors for the otherUnits/Divisions of the Company.
Replies to the observations by the Statutory Auditors in their Report are given by wayof an addendum to this Report.
SECRETARIAL AUDIT REPORT
In terms of Section 204 of the Companies Act 2013 and Rules made thereunder Mr.Venkateswaralu Practicing Company Secretary have been appointed as Secretarial Auditor ofthe Company. The report of the Secretarial Auditors is enclosed as Annexure to this reportalong with replies. The report is self-explanatory and do not call for any furthercomments.
BOARD MEETINGS AND CHANGE IN DIRECTORS/KEY MANAGERIAL PERSONNEL
During the financial year 5 (Five) Board meetings were held and the details are givenin Corporate Governance Report.
During the year Dr. Subhash Chandra Pandey ASFA has been appointed as the Director on13.04.2016 Smt. Shashi B. Srivastava has been appointed as Director Finance on01.07.2016 Shri Ravindra Singh has been appointed as Independent Director on 02.02.2017and Shri. Sivarami Reddy Director (Operations) superannuated from the services of theCompany on 30.06.2016.
Vide Presidential Order No.5 (42)/2007-P.E.X dated 2nd February 2017 and in terms ofArticle 77(1) of the Articles of Association of the Company Shri Ravindra Singh (DIN No.00475462) has been appointed as Non-Official Independent Director on the Board of HMTLimited for a period of three years from the date of notification of his appointment oruntil further orders whichever is earlier.
Shri Ravindra Singh is proposed for appointment as Independent Director in terms ofArticle 67(4) of the Article of Association of the Company read with Section 160 of theCompanies Act 2013 in the ensuing Annual General Meeting for which a notice has beenreceived from the Member.
Dr. Subhash Chandra Pandey Director retires by rotation at the ensuing Annual GeneralMeeting and being eligible offers himself for reappointment
Shri. Subhash B.K resigned from the post of Company Secretary with effect from 04thAugust 2016.
Shri. S. Girish Kumar Managing Director of HMT (International) Limited was assignedthe additional charge of the post of Chairman and Managing Director of HMT Limited witheffect from 1st December 2013. Further vide Administrative Ministry's OrderNo. I-05/18/2015-PE.X dated 3rd April 2017 Shri. S. Girish Kumar has beenappointed as Chairman & Managing Director of the Company for a period of five yearswho has assumed charge of the post on 21st April 2017.
Further the Company has appointed Mr. Kishor Kumar S as Company Secretary of theCompany with effect from 8th June 2017 and designated as Compliance Officer.Further Shri. Bhaskara Gowdar Assistant General Manager-Corporate Finance of the Companyas the Chief Financial Officer (CFO) with effect from 29th August 2017.
DECLARATION FROM INDEPENDENT DIRECTOR
As per section 149(7) of the Companies Act 2013 the Company has received declarationfrom Shri. Ravindra Singh Independent Director of the Company.
INTERNAL FINANCIAL CONTROLS
With reference to financial statements the Company has in place adequate internalfinancial controls. A detailed note with respect to Internal Financial controls is givenin the Management Discussion and Analysis Report.
EVENTS SUBSEQUENT TO THE DATE OF FINANCIAL STATEMENTS:
There are no Material changes and commitments affecting the financial position of thecompany which have occurred between 31 March 2017 and date of signing of this Report.
RELATED PARTY TRANSACTIONS
The details of related party transactions are given in the notes to the FinancialStatements
PARTICULARS OF LOANS GUARANTEES & INVESTMENTS
Details of Loans Guarantees and Investments covered under the provisions of Section186 of the Companies Act 2013 are given in the notes to the Financial Statements
Your Directors are thankful to the various Departments and Ministries in the Governmentof India particularly the Department of Heavy Industry Ministry of Corporate AffairsComptroller and Auditor General of India Principal Director- Commercial Audit Statutoryand Branch Auditors various State Governments Foreign Collaborators the SubsidiaryCompanies Suppliers Reserve Bank of India the Consortium of Banks lead by UCO Bank andthe valued Customers of the Company both in India and abroad for their continuedco-operation and patronage.
Your Directors would also like to take this opportunity to express their appreciationfor the contributions made by the Company's employees and look forward to their continuedservices in pursuit of building a world class Indian Company.
|For and on behalf of the Board of Directors |
| ||(S.Girish Kumar) |
| ||Chairman & Managing Director |
|Place: New Delhi || |
|Date: 29-08-2017 || |
Annexure to the Directors Report
1. Conservation of Energy:
Energy Conservation Measures implemented:
Electronic Chokes for tube lights have been replaced.
CFL/LED lamps have been installed at some of the offices.
Outer peripheral lighting has been replaced with LED lighting with fixtures.
Old Computer models have been replaced with LED Monitors for less consumption ofpower.
Loading of machines pre-planned.
2. Technology absorption:
Based on the collaboration agreement Technology transferred to Food ProcessingMachinery Division various products have been manufactured over the years.
Products have been manufactured with the available technology which wasinherited through the collaboration with KMA Arten then East Germany. This design ofproducts needs an up-gradation.
3. Segment wise/Product wise performance of Food Processing Unit:
SS Centrifugal Pumps: Well accepted in the market but higher cost limiting ourbusiness.
Cream Separators: Very good market for cream separators of capacity 1 kl & 2kl. But higher capacity separator for 5 kl 10 kl & 20 kl could not sustain in themarket due to design and performance issues.
Homogeniser : Homogeniser of capacity 1 kl & 2 kl well accepted in themarket . Higher range like 3 KL & 5KL are manually operated type whereas marketrequirement is Hydraulic versions which needs up gradation
Milk Pasteuriser/Chiller : Owing to older design acceptance in the market islimited.
Continuous Butter Making Machine: Monopoly product however automation of thisproduct can further enhance its acceptance. Development of Salted Butter Making Versioncan have positive impact on the market.
4. Performance Highlights for the year 2016-17
Establishment of complete infrastructure can have bearing effect on improvementof product portfolio and hence the performance.
Manufacturing Machines with latest new technology may improve the quality ofexisting products.
Research & Development:
Consistent Product developments to compliment the market expectations can bring aboutinnovations and product offerings which will further enhance the customer satisfaction.Investments made in R&D will benefit in increasing the Turnover.
R&D Expenditure during 2016-17 stands at Rs.650.63 lakhs.
|Description ||2016-17 ||2015-16 ||2014-15 |
|Capital ||Nil ||Nil ||Nil |
|Recurring ||650.63 ||240.00 ||285.00 |
|Total ||650.63 ||240.00 ||285.00 |