SUMURA MARITIME TRADES LIMITED
Your directors take pleasure in presenting the Tenth Annual Report together
with the Audited Statement ot Account of the Company br the year ended 31st
Since the bme ot declaring commercial operations in mid April,1993 the
Cornpany's Tuna Long Liner "MFV Sumuratna during its voyages has aggregated a
catch ot 154.50 MT valued at 193.42 lacs br the year under report. This apart
your Company has achieved an export turnover of 56.77 MT realising valuable
foreign exchange amounting to Rs. 56.97 lacs. The major portion of the
inventory has since been realised, while the volume ot catch has not been of
the expected quanbbes, the quality ot marine catch has been well accepted in
the Japanese Market.
The operations br the year have resulted in a loss of Rs. 177.94 lacs after
charging interest and financial charges aggregating to Rs.194.89 lacs. The
scenario has emerged due to non receipt ot necessary approvals in connection
with the proposed public issue ot the company originally slated in
December'93/January'94 which has put back the projections for the said year
on all fronts including working capital needs. You will be pleased to note
that the public issue ot your Company during May ' 94 was subscribed. This
would go a long way to augment the funds ot the company br the ensuing year
and enable operabons to be carried out more profitably in the years to come.
The Company is confident ot a turnaround as it is in the process ot acquiring
four Mini Long Liners as a complement to the Main Vessel. These Mini Long
Liners are capable of catching the fresh Tuna and the catch is air flown in
chilled condibon, and such tresh catch is highly sought atter in the Japanese
By this, the company proposes to increase the export - both frozen and fresh
Tuna, in terms ot volume and value.
The Indian crew is now well trained and adopted the technique ot Tuna Fishing
and processing. The Company has dispensed with the Foreign Crew except for
the Fishing Master, thereby conserving a considerable amount of Foreign
Exchange out flow.
Further, due to the liberalisation policies of the Government, unlike in the
past, the vessel is allowed to obtain and load the necessary fuel, baits and
provisions in mid-sea and tranship the catch into a reefer vessel on prior
arrangement - thereby reducing the cost ot tuel ot transhipping the catch and
taking supplies at intervals in base ports thus resulbng in an increase in
the number ot fishing days too. PURLIC ISSUE
As you are aware that the public issue ot 45,95,000 Equity Shares ot Rs.10/-
each for cash at par aggregating to Rs.459.50 Lacs which was subscribed. The
purpose ot the issue was to part finance the acquisition ot Mini Long Liners
to complement the operations ot the main vessel, and achieve export of
Fresh/Chilled Tuna by air, purchase new fishing gear and essential spare
parts, repayment ot part ot the term loan and to meet the margin money for
the Company's working capital requirement.
Pursuant to Article 99 of the Articles ot Association of the Company, Dr M.R.
Naidu, Sri K.M. Badshah and Sri. K. Jitendra Reddy rebre by rotation and
being eligible, otter themselves br reappointment.
The Auditors, M/s Bhaskara Rao & Co., Chartered Accountants retire at the
conclusion ot this Annual General Meeting, and are eligible br reappointment.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION & FOREIGN EXCHANGE EARNINGS AND
OUT TO GO
The details as required under Companies (Disclosures of partculars in the
Report ot Board ot Directors) Rubs, 1988 are annexed to this Report.
PARTICULARS OF EMPLOYEES
During the year under review no employee ot the company was in receipt ot
remuneratibon which aggregated to Rs.1,44,000/- or more per year, nor was any
employee in receipt of remuneration tor any part of the year which aggregated
to Rs.12,000/- per month in accordance with section 217 (2A) ot the Companies
Act, 1956, read with the Companies (Parbculars ot Employces) Rules, 1975 .
Your Directors wish to thank the Investors, SCICI Ltd, State Bank of India,
Canara Bank and the State & Central Government Agencies for their timely
support, co-operation and valuable guidance.
The Directors also appreciate the continued support and co-operation extended
by the workers, staff and executives of the Company.
for and on behalf ot the Board
Brig. R. Lokaranjan
Date : 05-09-199444