VAJRA GRANITES LIMITED
LADIES & GENTLEMAN
I have great pleasure in welcoming you to the Fifth Annual General Meeting of
The Director's report and Annual Account of the Company for the year ended
31st March 1994 have been with you some time nad with your permission I will
take them as read.
India is in a very advantageous position due to its vast Granite deposits,
which are available in spectacular coloours. The Granite Industry acheived
worldwide steady growth and exports from India are growth-up. Indian Granite
Exporters gearing upto a larger amonut of the Global Granite Market which is
growing at the rate of 10% annually.
Even though India is leader in the Granite Industry, as it has nearly 30% of
the world reserve, production-wise India constributes only 0.4 millons M.T.
to the world production of 10.0 millon M.T and lags far behind its Foreign
Conterparts. One of the main reason for such dismal performence is non-
adoption of modern mining and processing technology. The modern quarring
system adopted in other Contries are yet to be introduced in India. Lack of
technology has been forcing th eplayer in this industryto Export Granite
rough block instead of processing Granites, even though processed Granite
attract better margin. This trent slowly Granite production is exported.
The exports which was Rs 1200 crores in 1988-89 has increased to Rs 3000
crores in 1992-93 and estimated at Rs 5000 crores in 1993-94. This industry
has tremendous growth potrntial and the expors to Japan, Europe, United State
nad South Asian market is already gaining momentum after the recesion
pravailed in the earlier years.
The overall operations of the Company for the year ended 31st March, 1994
have resulted in a net loss of Rs 76.59 lacs. Your Company operation's
during the year were not necouraging due to want of sales orders. However
your Company has made a profit of Rs 24.70 lacs before deprections snd
intrest. We have taken corrective action and improved the marketing thrust
and your Company is presently having orders on hand around Rs.200.00 lacs.
The sales during th esix months i.e; april'94 to September'94 have been
Rs.204 lacs as against Rs.152.00 lacs for the whole year 1993-94. Your
Company made a net profit of Rs.25.64 lacs for half yearly ended 30th
September'1994. The position is expected to improve futher from October'94
On behalf of the Board of Director and myself, I must place on record our
appreciation for continued sincere effort put in by the staff of the Company.
We have very cordial relation with our staff at all levels and I take this
oportunity of thnaking them for their good work and co-operation. I would
like to convey oursincere thanks to the Financial Institutaion viz. The
Industrial Development Bank of India, Industrial FInance Corporation of
India, Industrial Credit & Investment Corporation of India, State Bank of India and locasl Goverment authorities for their continued coperation and
support. The Borad wished to welcome Sri A Hamini Reddy, who was inducted on
the Board as additional Director/managing Director. I would like to record
my thanks to the member of the Board for their invaluable advice and guidance
from time to time and above all the Shareholders for their sustained
confidence in the Company.
Dt 26-11-1994 V. N. Nadkarni