KARMA INDUSTRIES LIMITED
(FORMERLY KNOWN AS KARMA ISPAT LIMITED)
ANNUAL REPORT 2011-2012
The global economy has continued to witness a sustained growth due to
growth in emerging economies led by China and India and also due to the
additional stimulus in US and bailout packages in Europe. However, this had
resulted in inflationary pressures which have forced many Central Banks,
especially in China and India to raise interest rates.
In spite of the volatile and challenging environment on raw material
availability and pricing, the Company has delivered healthy growth in
performance. It is a matter of pride and deep satisfaction that the Company
has emerged triumphant out of the worst global financial crisis and extra-
ordinary economic environment that we witnessed in the fiscal 2011-12. In
the year ended March 31, 2012, the Company achieved a stupendous turnover
of Rs. 746.50 Crores which is reflective of the Company's performance in
the years ahead. As the economies of several nations return to normalcy,
the demand for iron and steel-based goods will assume new growth levels.
This is already starting to be evident in large construction activity and
various infrastructure projects. Steel has been and will always be the
basic requirement for India's growth story and will be the backbone of
Indian industry for economic recovery. Keeping these in mind I am confident
that the Company will scale new heights in the years ahead.
During the year your company has completed the manufacturing setting -up a
state-of-art lead and lead alloys manufacturing plant in Valsad, Gujarat
with an installed capacity of 66,000 MTPA. The proposed project will
commissioned in two phase - first a 24000 MTPA indigenous lead smelting -
refining and casting line (hereafter referred as 'Line-I') which will
operational from November, 2012 and another 42,000 MTPA imported lead
smelting-refining and casting line (hereafter referred as 'Line-II') which
will be import from abroad. The licensed capacity of the plant is 54,000
MTPA. In addition to the lead manufacturing, the company will import a
battery breaking plant from abroad which will have capacity of 10 MTPA per
hour of battery scrap.
We will build on our consistent and well executed strategy to grow in the
value added lead products, while being focused on allocation of captive
mines for raw materials and captive power generation. Your company shall
continue to create value and deliver sustainable growth while achieving
best standards of safety, corporate governance, corporate social
responsibility and investor communication.
The Company is looking forward to the opportunity of fulfilling its
objective of being a viable and innovative manufacturer and stockiest in
ferrous & non-ferrous metals in the years ahead.
CHAIRMAN & MANAGING DIRECTOR
Date : 31st May, 2012.