Today the world stands on the path of recovery post the pandemichowever new challenges have emerged pushing the global economy backwards. Geo-politicaluncertainties with the Ukraine-Russia conflict has resulted in slow growth and risinginflation have left all major economies reeling under this shock including thesupply-chain disruptions in the global markets.
Growing Today for a Positive Tomorrow
Indian economy continues to face challenges in the short term howeverit remains one of the most dynamic major economies in the world with immense opportunitiesfor growth. The Government of India continues to make sincere efforts in the areas ofhealthcare infrastructure (under Gati Shakti scheme) Digitization (under Digital Indiainitiative) and social welfare to support various sections of the economy during theseturbulent times for making the Indian economy more robust.
During the year your company achieved a turnover of f 1090 crores anda net profit of f 77.00 crores. The consolidated income from operations and net profit forthe year was f 2590 crores and f 92.38 crores respectively. This was a record year interms of Sales and Profit for your company.
Although the year started on a stable note the exports for theindustry which were at 686428 Metric Tons in 2020-21 stood at 662812 Metric Tons in2021-22. China the largest consumer of castor oil accounting for nearly 45% of India'sexport of Castor Oil is going through a serious slowdown with its zero-COVID policy.Thus the expectation is the that the demand for the balance of the year is likely to besubdued.
The diverse and growing product portfolio of your Company backed bysound Research & Development gives your company ability to cater to different marketsunder changing competitive conditions. The Management of your Company is thereforeconfident of posting reasonable performance even during these challenging times.
Your company's priority has been the safety of its people. The companycarefully laid down strict procedures for social distancing sanitizing wearing ofappropriate personal protective equipment amongst other measures to run its operationsduring COVID-19. The company has also adapted the Work from Home policy wherever feasible.We have encouraged our people to be vaccinated. I am happy to share that 100% of ourEmployees have been vaccinated with both their doses.
The farmers are at the heart of your company's existence growth andprosperity. Your company is closely working with farmers in providing good qualitycertified hybrid sowing seeds spreading information and knowledge on sustainable bestpractices for farmers. Your company's initiative has been complimented by itssustainability partners - Arkema BASF & Solidaridad (A Dutch NGO). Together we haveestablished a Sustainability code SuCCESS? (Sustainable Castor Caring for Environmental& Social Standard) on Castor Farming & Supply Chain. Over the period more than5800 farmers have benefitted from this initiative. I am pleased to inform theshareholders that the first sustainable castor oil - SuCCESS? was shipped by your companyin the last quarter of 2021-22.
Your company has placed its faith in the Indian farmers particularlyin the castor seed growing regions of Gujarat and Rajasthan to increase castor seedavailability in a meaningful way. It has been our endeavor to support the efforts of thefarmers by providing them a market for their produce. Your company continues to supportfarmers education for improvement in yield and income by engaging in several projects onits own and in partnership with other organizations.
Your company has been involved in non-food nonfeed renewable spacewith many products also being biodegradable and recyclable. This adds to the globalconcept of circular economy. It has always been conscious of environment and has adaptedecofriendly technologies in its areas of operations. Your company continues to focus oncarrying business in a sustainable and responsible manner. The details of this areavailable in the Business Responsibility and Sustainability Report (BRSR) Report.
I would like to thank our team members who have kept the operationsrunning during these trying times. I would also like to thank for the unwavering supportfrom all our valued stakeholders including our customers farmers local communities theState and Central Governments Health Care workers Police Municipalities and DistrictAdministration and many others and would like to convey our deepest appreciation.
Hopefully the worst of the pandemic is behind us. I urge all theshareholders to stay safe and stay healthy.
With Best Wishes
Abhay V. Udeshi CHAIRMAN