MIRA
INFORM REPORT
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Report Date : |
18.02.2011 |
IDENTIFICATION DETAILS
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Name : |
JAIN IRRIGATION
SYSTEMS LIMITED |
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Registered
Office : |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
30.12.1986 |
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Com. Reg. No.: |
11-42028 |
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CIN No.: [Company Identification No.] |
L29120MH1986PLC042028 |
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IEC No.: |
0388080361 |
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TAN No.: (Tax Deduction & Collection Account No.) |
NSKJ00066D |
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PAN No.: (Permanent Account No.) |
AAACJ7163Q |
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Legal Form : |
A Public
Limited Liability company. The company’s shares are listed on the Stock
Exchanges. |
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Line of
Business : |
Manufacturer
of Pipes and fittings, Plastic sheets and food |
RATING & COMMENTS
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MIRA’s Rating
: |
A (62) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Maximum Credit
Limit : |
USD 53000000 |
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Status : |
Good |
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Payment
Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject
is an established company having fine track. Financial position of the company
appears to be sound. Trade relations are reported as fair. Business is
active. Payments are reported to be regular and as per commitments. The company can
be considered normal for business dealings at usual trade terms and
conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
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Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INFORMATION PARTED BY
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Name : |
Mr. Deepak |
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Designation : |
CFO |
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Date : |
16.02.2011 |
LOCATIONS
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Registered
Office / Head Office/
Factory : |
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Tel. No.: |
91-22-22610011/ 22620011/ 22670011 |
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Fax No.: |
91-22-22621177/ 22641177 |
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E-Mail : |
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Website: |
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Area : |
71
Acres |
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Location : |
Owned |
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Factory 1 : |
Jain View
Dhobikuva, Muvad, Padra, Vadodra, |
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Tel. No.: |
91-2662-267281/267400 |
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Fax No.: |
91-2662-267363 |
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E-Mail : |
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Area : |
4 Acres |
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Location : |
Owned |
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Factory 2 : |
N.H.No. 6, P.O. Box. 72, Bambhori, Jalgaon –
425 001, |
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Tel. No.: |
91-257-2258011/22 |
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Fax No.: |
91-257-2258111122 |
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E-Mail : |
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Area : |
71 Acres |
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Location : |
Owned |
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Factory 3 : |
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Tel. No.: |
91-257-2260033/44,/ 2260288 |
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Fax No.: |
91-257-2261144 |
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E-Mail : |
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Area : |
236 Acres |
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Location : |
Owned |
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Factory 4 : |
JISAL Africa Pty Limited Block “D” |
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Tel. No.: |
27-11-7870000 |
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Fax No.: |
27-11-7870453 |
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E-Mail : |
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Factory 5 : |
Jain ( Excel Plastic Distribution Limited |
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Tel. No.: |
44-208-8928988 |
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Fax No.: |
44-208-8928988 |
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E-Mail : |
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Factory 6 : |
Jain Orchards: |
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Tel. No.: |
91-8685-277302,3 |
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Fax No.: |
91-8685-277305 |
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E-Mail : |
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Area : |
11 Acres |
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Location : |
Owned |
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Factory 7 : |
Dindori |
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Tel. No.: |
91-2557-289122,
289133 |
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Fax No.: |
91-2557-221399 |
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E-Mail : |
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Factory 8 : |
Sinnar |
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Tel. No.: |
91-2551-230717,230515 |
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Fax No.: |
91-2551- 230522 |
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E-Mail : |
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Factory 9 : |
Sendhwa |
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Tel. No.: |
91-7281-228039/40 |
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Fax No.: |
91-7281-223099 PP |
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Factory 10 : |
Udumalpet |
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Telefax : |
91-4252-278401/2 |
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Fax No.: |
91-4252-278403 |
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E-Mail : |
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Factory 11 : |
Vadodara |
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Tel. No.: |
91-2662-267281, 267400 |
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Telefax : |
91-2662-267363 |
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E-Mail : |
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Factory 12 : |
Jain View
C/o Oroent
Vegertexpo Limited At. Post:
Walkhed, Tal: Dindori, Nashik, |
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Tel. No.: |
91-2557-289122/289133 |
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Fax No.: |
91-2557-221399 |
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E-Mail : |
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Factory 13: |
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Tel No.: |
91-257-2258011 |
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Fax No.: |
91-257-2258111 |
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E mail: |
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Branches : |
Located at: ·
Ahmedabad ·
Ahmednagar ·
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·
Bardoll ·
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Bijapur ·
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Chennai ·
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Cuddapah ·
Cahndigarh ·
Chittor ·
Dehradun ·
·
·
Jaipur ·
Jahnsi ·
Jalgaon ·
Kulu Farm ·
Kolkata ·
Latur ·
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Mumbai ·
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Nanded ·
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·
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Palanpur ·
Pulivendula ·
Pandharpur ·
Pune ·
Ratnagiri ·
·
Sirsa (Haryana) ·
Sanchore (Rajasthan) ·
Shimla ·
Sundarnagar (Himachal) ·
Sangli ·
Solapur ·
Thane ·
Vadodara ·
·
Yamuna Nagar (Himachal) |
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Overseas
offices : |
Located at: ·
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DIRECTORS
As On 31.03.2010
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Name : |
Mr. Bhavarlal H. Jain |
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Designation : |
Chairman |
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Address : |
Jain House, 7/8, Suyog Colony, Near Girna Water Tank, Jalgaon – 425
002, |
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Date of
Birth/Age : |
69 years |
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Qualification
: |
B. Com., LL.B. |
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Experience: |
46 years |
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Name : |
Mr. Anirudha Ramkrishna Barwe |
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Designation : |
Director |
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Address: |
B-1,
Bageshree Shanker Ghanekar Marg, Prabhadevi, Mumbai – 400 025 |
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Date of
Birth/Age : |
68 years |
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Qualification: |
M.Sc.
(Maths) |
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Experience: |
48
years |
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Name : |
Mr. Ghaneshyam Dass |
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Designation : |
Director |
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Name : |
Mr. Vasant V. Warty |
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Designation : |
Director (Nominee SBII |
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Date of
Birth/Age : |
64 years |
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Address: |
6 Umesh
Society, N P thakur Road, New Rajpuriabaug, Vile Parle (E) Mumbai-400057 |
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Qualification: |
BA, LLB, CAIIB |
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Experience: |
41
years |
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Name : |
Mr.
Ramesh C.A Jai |
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Designation : |
Director |
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Address: |
6 Umesh
Society, N P thakur Road, New Rajpuriabaug, Vile Parle (E) Mumbai-400057 |
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Qualification: |
BA,
LLB |
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Name : |
Mrs.
Radhika C Pereira |
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Designation : |
Director |
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Address: |
Dodhat
Pereira and Associates, 1018, 10th Floor, Maker Chamber V, Nariman
Point, Mumbai –400021 |
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Qualification: |
Bsc.
LLB, LLM ( |
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Name : |
Mr.
Devendra Raj Mehta |
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Designation : |
Director
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Date of
Appointment: |
26.12.2007 |
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Name : |
Mr. Ashok B. Jain |
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Designation : |
Vice Chairman |
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Address: |
Jain
House, 7/8, Suyog Colony, Near Girna Water Tank, Jalgaon – 425 002, |
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Date of
Birth/Age : |
43 years |
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Qualification: |
M.
Com. |
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Experience: |
25
years |
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Previous
Employment: |
Jain Brothers
Industries – Partner |
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Date
of Appointment : |
12.01
1987 |
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Name : |
Mr. Anil
Bavarlal Jain |
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Designation : |
Managing Director |
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Address: |
Jain
House, 7/8, Suyog Colony, Near Girna Water Tank, Jalgaon – 425 002, |
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Date of
Birth/Age : |
41 years |
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Qualification
: |
B.
Com., LL.B. |
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Experience: |
23
years |
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Date
of Appointment : |
12.01.1987 |
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Previous
Employment: |
Jain
Brothers Industries – Partner |
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Name : |
Mr. Ajit B. Jain |
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Designation : |
Whole Time Director and Chief Operating Officer |
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Address: |
Jain
House, 7/8, Suyog Colony, Near Girna Water Tank, Jalgaon – 425 002, |
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Date of
Birth/Age : |
40 years |
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Qualification: |
B.E. |
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Experience: |
23
years |
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Date
of Joining: |
11.01.1985 |
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Name : |
Mr. Atul B Jain |
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Designation : |
Director-
Marketing |
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Date of
Appointment: |
25.08.2009 |
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Name : |
Mr. R
Swaminathan |
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Designation : |
Director
[ Technical ( |
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Address: |
Jain House,
5/B, Suyog Colony, Near Girna Water Tank, Jalgaon – 425 002, |
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Qualification: |
B.
Tech (Chem) |
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KEY EXECUTIVES
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Name : |
Mr. A.V. Ghodgaonkar |
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Designation : |
Company Secretary |
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Name : |
Mr. Deepak |
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Designation : |
CFO |
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Audit
Committee: |
·
Mr. Anirudh
R Barwe – Chairman ·
Mr. Ramesh C A Jain – Member ·
Mr. Vasant V Warty – Member ·
Ghaneshyam Dass – Member (w.e.f 09.08.2010) |
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Shareholders
Grievances Committee: |
·
Mr.Vasant V Warty – Chairman ·
Mr. Ajit B Jain – Member ·
Mr. Anirudh R Barwe – Member |
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Compensation
Committee : |
·
Mr. Anirudh R Barwe – Chairman ·
Mr. Ramesh C
A Jain – Member ·
Mr. Ashok B Jain – Member ·
Mr. Ajit B Jain – Member ·
Mr. Vasant V wsarty – Member |
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Operations
Review Committee : |
·
Mr. Ashok B Jain – Chairman ·
Mr. Anil B Jain – Member ·
Mr. Ajit B Jain – Member ·
Mr. R Swaminathan – Member ·
Mr. Atul B Jain- Member ( W.e.f. 25.08.2009) |
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MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2010
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Names of Shareholders |
No. of Shares |
Percentage of
Holding |
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(A) Shareholding of Promoter and Promoter Group |
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20,638,245 |
5.45 |
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96,605,000 |
25.51 |
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117,243,245 |
30.95 |
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Total shareholding of Promoter and Promoter Group (A) |
117,243,245 |
30.95 |
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(B) Public Shareholding |
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9,834,864 |
2.60 |
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16,620 |
- |
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250 |
- |
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210,564,414 |
55.59 |
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1,000 |
- |
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1,000 |
- |
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220,417,148 |
58.19 |
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7,857,599 |
2.07 |
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12,446,581 |
3.29 |
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3,343,480 |
0.88 |
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17,452,737 |
4.61 |
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481,428 |
0.13 |
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15,659,800 |
4.13 |
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1,308,709 |
0.35 |
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2,800 |
- |
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41,100,397 |
10.85 |
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Total Public shareholding (B) |
261,517,545 |
69.05 |
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Total (A)+(B) |
378,760,790 |
100.00 |
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(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
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- |
- |
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2,425,670 |
- |
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2,425,670 |
- |
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Total (A)+(B)+(C) |
381,186,460 |
- |
(1) Indian
Individuals / Hindu Undivided Family
Foreign Bank
BUSINESS DETAILS
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Line of
Business : |
Manufacturer
of Pipes and fittings, Plastic sheets and food |
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Products : |
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Exports : |
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Products |
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Countries |
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Imports : |
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Products |
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Countries: |
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Terms : |
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Selling : |
L/C, Cash, Credit
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Purchasing : |
L/C, Cash, Credit
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PRODUCTION STATUS
As on 31.03.2010
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Particulars |
Unit |
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Installed Capacity |
Actual Production |
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Micro
Irrigation Systems |
MT |
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159350 |
80634 |
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Plastic
Piping System |
MT |
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226345 |
112600 |
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Plastic
Sheets |
MT |
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36.300 |
14306 |
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Agro Processing |
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Dehydrated
Onion and Vegetables |
MT |
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18214 |
11214 |
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Fruit
Puree and Concentrate |
MT |
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109575 |
64545 |
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Solar Systems |
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Solar
Water Heating Systems |
LTR |
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1200000 |
790965 |
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Solar
Photo Voltaic Systems |
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800000 |
605136 |
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Tissue Culture Plants |
No’s |
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25000000 |
21432270 |
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Slabs/ Tiles |
Sq.mtr |
|
33750 |
26566 |
Note:
1 ] As certified
by Management and accepted by the auditors.
2 ] Optimum Capacity
Utilization is only 70% to 80% of installed caapcity due to seasonality factor.
3 ] Production of
1770 MT ( Previous year 2993 MT) on lease assets
4 ] Entire
production for captive consumption.
GENERAL INFORMATION
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Customers : |
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No. of
Employees : |
6000
(approximately) |
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Bankers : |
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Facilities : |
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Banking Relations : |
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Auditors : |
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Name : |
Haribhakti and Company Chartered Accountant |
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Address : |
42, Free Press House, 4th Floor, 215, Nariman Point,
Mumbai 400 021, |
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Solicitors : |
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Name : |
Mulla and Mulla
and Craigie and Blunt and Caroe, , |
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Address : |
Mulla House, 51, |
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Name : |
Solomon and
Company |
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Address : |
Calcot House, 3rd
Floor, 8/10, M.P.Shetty Marg, ( |
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Wholly Owned
Subsidiary Companies: |
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Fellow
Subsidiary Companies: |
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Companies / Firms: |
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Partnership Firms : |
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Proprietorship : |
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Trust : |
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Foreign Companies : |
|
CAPITAL STRUCTURE
As on 31.03.2010
Authorised
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
96500000 |
Equity Share |
Rs.10/- each |
Rs. 965.000 Millions |
|
19630000 |
Redeemable Preference Shares |
Rs. 100/- each |
Rs. 1963.000 Millions |
|
4500000 |
Unclassified Shares |
Rs. 10/- each |
Rs. 45.000 Millions |
|
|
Total |
|
Rs. 2973.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
A] |
EQUITY SHARES: |
|
|
|
72280425 |
Equity Shares |
Rs. 10/- each |
Rs. 722.800 Millions |
|
1997780 |
Preferential allotment on
private placement basis |
Rs. 10/- each |
Rs. 19.980 Millions |
|
456790 |
On conversion of ESOP |
Rs. 10/- each |
Rs. 4.570 Millions |
|
1200166 |
On conversion of zero coupon convertible
bonds |
Rs. 10/- each |
Rs. 12.000 Millions |
|
95521 |
Equity Shares representing
underlying European Receipts 33842 |
Rs. 10/- each |
Rs. 0.960 Million |
|
|
Sub Total |
|
Rs. 760.310 Millions |
|
|
|
|
|
|
B]
|
Cumulative Redeemable Preference Shares |
|
|
|
|
|
|
|
|
2807490 |
4% Preference Shares |
Rs. 100/- each |
Rs. 163.510 Millions |
|
(2344848) |
Less: Redeemed (Fully during
the year) |
|
Rs. (117.240 Millions) |
|
|
Less: Redeemed (Partly) during
the year |
|
(Rs. 23.140 Millions ) |
|
|
(2807490 Preference Shares due for redemption Rs. 50/- each due fro redemption on 30.06.2010, at premium
of Rs. 16.00 per share |
|
Rs. 23.130 Millions |
|
|
|
|
|
|
5575200 |
4% Preference Shares |
Rs. 100/- each |
Rs. 278.760 Millions |
|
(5575200) |
Less: Redeemed (Fully) during
the year |
Rs. 100/- each |
Rs. (278.760 Millions) |
|
-- |
Less : Redeemed (Partly)
during the year |
|
-- |
|
|
|
|
|
|
125000 |
1% Preference Shares |
Rs. 100/- each |
Rs. 6.250 Millions |
|
- |
Less: Redemption (Partly)
During the year |
|
(Rs. 6.250 Millions) |
|
|
Sub Total |
|
Rs. 23.130 Millions |
|
|
Total (a + b) |
|
Rs. 783.440 Millions |
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE SHEET
|
SOURCES
OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share Capital |
783.440 |
1172.280 |
1605.869 |
|
|
2] Share Application Money |
0.000 |
358.490 |
358.488 |
|
|
3] Reserves & Surplus |
12646.110 |
8304.130 |
7686.729 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
13429.550 |
9834.900 |
9651.086 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
14022.710 |
12918.570 |
8536.892 |
|
|
2] Unsecured
Loans |
3813.070 |
636.500 |
533.600 |
|
TOTAL BORROWING
|
17835.780 |
13555.070 |
9070.492 |
|
DEFERRED TAX LIABILITIES
|
1024.420 |
707.300 |
109.587 |
|
|
|
|
|
|
|
TOTAL
|
32289.750 |
24097.270 |
18831.165 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
12026.270 |
9511.190 |
6632.946 |
|
Capital work-in-progress
|
1215.840 |
998.340 |
846.977 |
|
|
|
|
|
|
|
INVESTMENT
|
3964.660 |
3905.680 |
3158.230 |
|
DEFERREX TAX ASSETS
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
6061.540
|
5195.180
|
4843.838
|
|
|
Sundry Debtors
|
8876.000
|
7816.010
|
5956.300
|
|
|
Cash & Bank Balances
|
4378.130
|
879.140
|
732.735
|
|
|
Other Current Assets
|
251.540
|
220.580
|
173.682
|
|
|
Loans & Advances
|
4844.160
|
3235.540
|
2253.555
|
Total Current Assets
|
24411.370
|
17346.450
|
13960.110
|
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Sundry Creditors
|
6128.290 |
4884.190 |
4238.988
|
|
|
Current Liabilities
|
1594.390
|
1994.370
|
1011.858
|
|
|
Provisions
|
1605.710
|
785.830
|
516.252
|
Total Current Liabilities
|
9328.390
|
7664.390
|
5767.098
|
|
Net Current Assets
|
15082.980
|
9682.060
|
8193.012
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
32289.750 |
24097.270 |
18831.165 |
|
PROFIT &
LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
27229.110 |
21789.450 |
16710.550 |
|
|
|
Other Income |
247.42 |
169.670 |
293.048 |
|
|
|
TOTAL (A) |
27476.530 |
21959.120 |
17003.598 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Material Consumed, Purchased etc. |
16905.380 |
12897.940 |
10808.378 |
|
|
|
Manufacturing Expenses |
2209.960 |
1536.930 |
1395.139 |
|
|
|
Payment to and Provision for Employees |
1036.560 |
809.590 |
657.989 |
|
|
|
Selling and Distribution Expenses |
1744.700 |
1446.580 |
1184.555 |
|
|
|
Administrative and other Expenses |
681.160 |
537.180 |
390.715 |
|
|
|
Increase/ Decrease In Stock |
(1037.180) |
(17.550) |
[1028.144] |
|
|
|
Amount written off and provision |
95.570 |
45.920 |
7.048 |
|
|
|
Difference in foreign exchange rate |
(711.080) |
777.220 |
13.896 |
|
|
|
Prior Period items |
(9.210) |
4.170 |
0.000 |
|
|
|
TOTAL (B) |
20915.860 |
18037.980 |
13429.576 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
6560.670 |
3921.140 |
3574.022 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
1942.970 |
1610.640 |
1134.050 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
4617.700 |
2310.500 |
2439.972 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
685.920 |
472.850 |
398.349 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
3931.780 |
1837.650 |
2041.623 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
1219.340 |
635.870 |
586.217 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
2712.440 |
1201.780 |
1455.406 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2850.900 |
2462.630 |
1385.190 |
|
|
|
|
|
|
|
|
|
|
Debit balance in profit and loss account of Orient Vegetexpo Limited |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
271.200 |
120.200 |
NA |
|
|
|
Transfer to Capital Redemption Reserve |
425.390 |
436.800 |
|
|
|
|
Proposed Preference Dividend for the year |
13.540 |
30.960 |
|
|
|
|
Provision for Dividend Tax on Preference
Dividend for the year |
2.300 |
5.260 |
|
|
|
|
Proposed Equity Dividend |
343.320 |
188.290 |
NA |
|
|
|
Provision for Dividend Tax on Equity
Dividend |
58.350 |
32.000 |
|
|
|
BALANCE CARRIED
TO THE B/S |
4449.240 |
2850.900 |
|
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
4889.570 |
4449.820 |
|
|
|
TOTAL EARNINGS |
4889.570 |
4449.820 |
|
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials, Components and Stores and Spares |
5837.818 |
3064.622 |
|
|
|
|
Capital Goods |
958.900 |
839.180 |
|
|
|
TOTAL IMPORTS |
6796.718 |
6796.718 |
|
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
35.84 |
16.12 |
21.48 |
|
|
|
Diluted |
35.77 |
16.03 |
21.41 |
|
Expected Sales (2010-2011) : Rs. 34000.000
Millions
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
7256.600 |
6410.600 |
6963.100 |
|
Total Expenditure |
5801.700 |
5015.300 |
5695.500 |
|
PBIDT (Excl OI) |
1454.900 |
1395.300 |
1267.600 |
|
Other Income |
2.600 |
222.500 |
543.500 |
|
Operating Profit |
1457.500 |
1617.800 |
1811.100 |
|
Interest |
490.600 |
521.000 |
574.000 |
|
PBDT |
966.900 |
1096.800 |
1237.100 |
|
Depreciation |
203.200 |
208.700 |
204.400 |
|
Profit Before Tax |
763.700 |
888.100 |
1032.700 |
|
Tax |
240.600 |
268.200 |
318.000 |
|
Profit After Tax |
523.100 |
619.900 |
714.700 |
|
Net Profit |
523.100 |
619.900 |
714.700 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
9.87
|
5.48
|
8.56
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
14.44
|
8.45
|
12.22
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
10.79
|
6.86
|
9.91
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.29
|
0.19
|
0.21
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.02
|
2.16
|
1.54
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.62
|
2.26
|
2.42
|
LOCAL AGENCY FURTHER INFORMATION
The Details of
sundry creditors:
Rs.
In Millions
|
Particulars |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
Sundry Creditors |
|
|
|
|
- For Supplies |
5850.740 |
4589.210 |
|
|
- For Expenses |
277.550 |
294.980 |
|
|
Total |
6128.290 |
4884.190 |
4238.988 |
HISTORY:
Subject was incorporated in 30th December of the year 1986. Subject is a
diversified Company of Irrigation Products. There is more to Jain Irrigation
than irrigation. The Corporation has multi product industrial profile and
manufacturers of Drip and Sprinkler Irrigation Systems and Components; PVC,
Polyethylene (HDPE, MDPE) and Polypropylene Piping Systems; Plastic Sheets (PVC
and PC sheets); Dehydrated Onions and Vegetables; Processed Fruits; Tissue
Culture, Hybrid and Grafted Plants; Greenhouses, Poly and Shade Houses;
Bio-fertilizers; Solar Water Heating Systems and Solar Photovoltaic Appliances
(Solar lighting systems) and Bio-Energy sources. JISL render consultancy for
complete or partial project planning and implementation e.g. Watershed or
Wasteland and / or Crop Selection and Rotation. Business Divisions of the
company encompasses Agricultural, Food Processing (Seasonal), Irrigation,
Plastic Sheet and Solar. All the divisions of JISL were certified as ISO-9001:
2001. Micro-Irrigation Systems of the company was started in the year 1989,
JSIL toiled and struggled to pioneer Water-management through Micro Irrigation
in
OPERATIONS:
The net sales grew by 25% on yoy basis. The domestic sales grew at an
impressive 30.8% to Rs. 21735.000 millions on the back drop of a robust demand
in MIS/SIS, Fruit processing and PE/PVC piping segments. Exports grew 6.6% at
Rs. 5209.000 millions despite a severe slowdown in the world economy and
specially in western world post October 2008 financial crisis. The notional
gain on account of foreign currency fluctuations at Rs. 711.070 millions (as
against loss of Rs. 777.230 millions last year) does not impact the cash flows.
Thus, the operating profit at Rs. 6647.000 millions improved by 67.4%
reflecting the continual improvement in resource utilization and economies of
scale. The profit for the year is higher than the earlier year by about 125.7%
at Rs. 2712.000 millions. For the first time the company has reported free cash
flows of Rs. 530.000 Millions.
Preferential Issue, ZCCB Conversion, ESOP allotment and use of the
proceeds
On 09.04.2009, as per Shareholders authority in GM dated 26th March 2009
a total of 1,997,780 Equity Shares of Rs. 10 each were issued to the
International Finance Corporation, (IFC) as arm of world bank in
As you may be aware, pursuant to approval of Shareholders on the
19.10.2007, the Company allotted 8.600 millions Equity Warrants to the
Corporate Entities of the Promoters Group on Preferential basis under the
applicable SEBI (DIP) Guidelines. The subscribers had paid an amount of 10%
(Rs. 411.000 millions approx) at a price of Rs. 478.15 each. Out of the above,
the subscribers of Equity Warrants had opted for conversion of 1,102,600
warrants and as a result 1,102,600 Equity Shares of Rs. 10 each were issued to
the holders of the warrants in Fy 2009. However, 74,97,400 warrants lapsed as
the holders thereof did not exercise the conversion rights. Hence, as per terms
of the issue an amount of Rs. 358.490 millions was forfeited. The proceeds of
forfeited warrant deposit appropriated on the conversion option not being
exercised has augmented the long term resource base of the Company.
Resource mobilization and capacity expansion
During the year, the Company has raised from international financial
markets / institutional lenders, further External Commercial Borrowings (ECB’s)
/ Foreign Currency Loans based on LIBOR linked rate at competitive pricing.
Total amount sanctioned and disbursed is $30mn. The loan amounts are being used
by the Company for the expansion and modernization activities. The Company has
invested an amount of Rs. 1.6 bn to increase the capacity of the MIS/SIS
division by 38,190 MTPA. An amount of Rs. 341.000 millions has been spent on
capital expenditure for the piping segment adding in excess of over 20,925 MTPA
in the segment. Rs. 448.000 millions has been spent on capital expenditure for
the Agro processed division, the
capacities have come onstream in April 2010. An amount of Rs. 54.000 millions.
has been spent on capital expenditure for Tissue Culture segmentto increase the
capacity by 5.000 millions plantlets. During the year Company has purchased 8
Wind Mills at an aggregate cost of Rs. 818.000 millions. of 1.65 MW each to
augment its captive power capabilities and is working on a unique Bio methanation
Power project at Jalgaon to produce 1.7 mw of captive power from waste
generated by the food processing plants and agricultural waste at aggregate
cost of Rs. 160.000 millions. The Company has spent an amount of Rs. 158.000
millions in Solar Water Heating business while it has started a Solar PV
manufacturing facility at an initial cost of Rs. 127.000 millions during the
year. An amount of Rs. 203.000 millions was spent towards strengthening the
common corporate service infrastructure.
The operations of subsidiaries
The integration activities with investee companies have continued in
earnest and there is a very positive effect on the product development
activities of the Company as feedback from various geographic areas are now
available for such activities. The availability of a wide spectrum of products
in the irrigation segment is making it possible for the Company to serve
customers in a complete manner which in the pre- acquisition time resulted in
loss of business opportunities. The
The
Other Subsidiaries
Information on operations of other subsidiaries including new
acquisitions has been covered in Management Discussion and Analysis in this
report.
MANAGEMENT
DISCUSSION AND ANALYSIS:
Overview of Business
the Company (JISL) is leading agri-business Company, operating in
diverse but integrated segments of the agri-business value chain. It is the
second largest micro irrigation Company globally and is largest manufacturer of
irrigation systems in
pipes, leading PVC pipe manufacture and is furthermore the largest
manufacturer of Tissue Culture Banana Plants in
Overseas Holding Companies
a) JISL Overseas Limited is a wholly owned subsidiary of the Company
and was incorporated in 1994 under the laws of
b) Jain International Trading BV. is a wholly owned subsidiary of the Company
and is incorporated in 2010 under the laws of Netherland. The said Company had
a loss of Euro 5,857 (approx. US$ 8,277) for the year ended 31.03.2010.
c) Jain Overseas B.V., Netherland is a wholly owned subsidiary of the JISL
Overseas Limited.,
d) Jain (
e) JISL Global S A,
f) JISL Systems S A,
g) Jain Irrigation Holdings Inc.
Overseas Marketing Companies
a) Jain (
b) Jain (
Operating Subsidiary Companies
a) Jain Irrigation Inc.,
reported revenue of US$47.23 million in the 12 months to March 2010
(including PSI revenue for 3 months).
b) Cascade Specialities Inc.
c) NuCedar Mills Inc.
d) NaanDan Jain Irrigation C.S. Limited.
e) THE Machines S.A., is a
Competitive Strengths
The Company believes that the following are its principal competitive
strengths to successfully execute the earlier
mentioned strategy.
a) Strong brand in
Jain Irrigation is one of
b) Unparallel soft Infrastructure the Company has the splendid pool of 1121
agriculture professionals probably the largest employed by any
private sector organization in the country. the Company has around 2200 dealers
on pan
(c) Flexible and Scalable Production Facilities
Management believes that the flexibility and scalability of the
Company’s existing production facilities will help it meet increased demand for
its products. The scalability of the Company’s existing facilities enables it
to increase its production capacity through the installation of new equipment
and production lines. For example, the Company can increase the capacity to
produce our PVC/PE pipes and Plastic Sheets by upgrading critical equipment
such as screws/barrels and gear boxes, or if greater capacity enhancement is
required, by adding new extruders. The Company’s flexible manufacturing
facilities enable it to produce a wide range of products with different
specifications, such as PVC / PE pipes with different diameters and working pressure
ranges and processed and dehydrated fruits and vegetables using different
organic feedstock. This flexibility assists the Company in meeting the specific
demands of its customers and reducing the impact of seasonal changes in
production volumes for specific products such as the Agro-Processed Products
and Piping Systems. The ability to expand production across product streams is
demonstrated by the achievements in the past 5 years in which Company has
increased its plastic piping systems capacity, 5.3 times to 2,36,345 tons as of
31.03.2010 from 44,276 tons as of 31.03.2003 and It increased the PVC sheet
capacity by more than 4 ½ times to 36,300 tons as of 31.03.2010 from 7,735 tons
as of 31.03.2003 the Company plans to continue this aggressive capacity build
up in current and coming year so as to maintain substantial organic growth
across most of the divisions.
d) Backward Technical Integration
In Fy 2009 the Company acquired THE Machines S.A., a
e) Cost competitive high quality producer :
The Company’s modern, large-scale production facilities, the
de-centralization of its plastics manufacturing facilities in Jalgaon,
Hyderabad and Udumalpeth near Coimbatore in India, the increasing
de-centralization of the food processing and dehydration facilities throughout
India, closer to the growing regions for the raw material and efficient working
capital management, make the Company a cost competitive manufacturer of various
products. While the Company is committed to maintaining international quality
standards for all its products, the success in meeting the quality requirements
of the international customers is demonstrated by the Company’s increasing
export sales. The overall export sales increased by 6.6% to Rs. 5209.000
millions in Fy 2010. The Company’s Food plant is certified of ISO 22000-2005
Food Safety Management systems accredited by ISA-Cert, The Netherland and Fruit
Plant also certified for SGF,
(f) JAIN GAP a quality certificate for Indian farmers
The Company has developed “JAIN GAP (Good Agricultural
Practices)”. In Indian agriculture, involving high value and low volume
products, which is done by small and marginal farmers it is not possible
to go directly for GLOBAL GAP. In this programme, training will
be provided to farmers under the aegis of the intermediate standard
which is called “JAINGAP”. And the farmers will be audited and then they
will be certified as “JAINGAP farmer”. The key aspects include
maintaining the traceability, analysis of soil and water, overall
environmental protections, worker’s health, hygiene and welfare. Here
wildlife and biodiversity conservation is taken into consideration. And
most important is productivity enhancement of the farmer’s field. All
records will be kept and maintained by farmers. Thus it is a
stepping stone towards GLOBAL GAP.
(g) Experienced Management and Sales Teams
With significant experience in the plastics manufacturing, fruit
and vegetable dehydration and or
fruit processing industries, the Company’s senior management team has
wealth of experience in the industries in which it operates. The
Chairman, Mr. B. H. Jain is the Founder and is acknowledged as one of
the pioneers of micro irrigation in
(h) Diverse Revenue Streams
Although the Company’s business and its prospects are significantly
integrated with the Indian agricultural sector, the Company also derives a
significant portion of its revenue from non-agricultural sources, such as from
sales of piping systems to commercial, industrial and government customers,
sale of fruit pulp and onion to large global food Companies and sales of PVC
sheets to the home building construction industry. The revenues are further
diversified across the wide range of products sold. This diversification can
help insulate the overall sales and operations from adverse conditions
affecting any one of the business segments or products.
(6) Overview of Segments
A) High-Tech Agri Input Products
The segment comprises of Micro and Sprinkler irrigation systems, PVC
Pipes, biotech tissue culture and other agri inputs. The segment has grown at
almost 36.2% over the previous year at Rs. 18042 million. The main growth
engine was the MIS/SIS business at a robust 37% growth. PVC pipes also grew at
significantly high growth rate of 32 %. The segment profit has grown by an
impressive 37% over the earlier year’s level, while the capital employed grew
at a little over 30% reflecting the creation of additional capacities during
the year.
a) Micro and sprinkler irrigation
i) Industry
The industry is broadly divided into the organized and unorganized
segments in the country. The Company is the largest player in the organized
sector. In view of the involvement of a large number of components in a system,
all of which are not available with a single manufacturer, it is difficult to
hazard a guess about the exact size of the industry as most of the figures are derived
on the basis of information available from different sources. While the Company
controls 55% of the Micro Irrigation business in the country, it has a market
share of 35% in the Sprinkler irrigation business in the country. The current
estimate of industry size is Rs. 25 bn. and it is growing rapidly. Currently
about 4 to 4.5 million Ha of the possible 50 to 70 million Ha area is covered
under the micro and sprinkler irrigation in the country. However, as per
Government task force 17million Ha ofland can be easily brought under micro
irrigation coverage in the country in the near future, say in next 5 years or
so. The world over the MIS/SIS industry is undergoing a consolidation phase
with M and A activity at its highest in the last 30 years or so. The Company
has secured a firm foothold in the mature North American market with two
significant acquisitions and has gained double digit market share. The JV with
Naandan Jain has given strategic access to markets the world over, especially
in Europe,
ii) Performance
The business contributes a little over 47% of the Company’s turnover.
The division has been growing at a CAGR of 61% in last five years on the back
of projects in the States of Andhra Pradesh, Gujarat, Tamil Nadu and consistent
growth in
iii)
Almost 50% of the arable land in the country is still rain fed. The
Government (Central and State) provide 50% capital subsidy for promoting the
use of Micro Irrigation by farmers. While targeting an agriculture growth of 4%
per annum the government had also placed higher targets for farm credit and
agriculture investments at 2% plus of the GDP for the XI plan period. Very
Recently in June 2010 the Cabinet Committee of Economic Affairs approved the “National
the water and address the issue of food security. Earlier budgetary
allocation for micro-irrigation subsidy was increased more than 100% y-o-y for
Fy10-11. The Union Budget reflected an overall increase in thrust towards
agriculture. the Company has inked a MoU with International Rice Research
Institute (IRRI) for collaborative research and adaptive field trials on paddy
using micro irrigation. IRRI is a nonprofit
independent organization headquartered in
PVC Piping
i) Industry Indian Scenario
During the year 2009-10 the Indian industry used 1780 KT of PVC Resin,
achieving a growth of 26% over previous year. Out of this about 72% i.e. 1200
KT was consumed for pipes and fittings. For the year 2010-11 Indian PVC
industry in general looks forward to consume 8% more and looks forward to a
CAGR of 10% up to the year 2012-13, matching the Global pace. Jain Irrigation,
with a 15% share, is one of the three (3) major players in the organized
market. Rest of the industry, being small and medium scale in nature, is
unorganized, fragmented and scattered near the user belts in the country.
Increased micro irrigation spends, higher allocation towards rural water
infrastructure for potable water, push for urban infrastructure by government
agencies and Command Area Development Programme will improve the demand
situation for the industry.
ii) Performance
During the Fy 2010, this business contributed 18% revenue for the
Company. The business has grown at a steady 32.7% in revenues over last year.
The business added 17,205 MT of capacity during the year, while the Fixed
Assets addition was to the tune of Rs. 233 million.
iii)
While the expansion of capacity undertaken last fiscal year is complete,
in view of increased budgetary allocation from government, demand is expected
to continue to increase. Hence the Company has again decided to enhance the
capacity by 21,967 MT, the full effect of which will be observed in Fy 2012.
While the government infrastructure spends are increasing all the time, the
government programmes continued for safe drinking water, urban and rural
sanitation, Rain-water harvesting and integrated watershed management programme
etc. are expected to generate substantial demand for piping products in the
coming years. The Company is considering establishing two more production
centres in the north part of country in near future. A large part of the Urban
Infrastructure projects in the current five year plan is towards irrigation,
drinking water supply and sanitation.
Biotech Tissue Culture
i) Industry : The industry is broadly divided into two segments-
1) Fruits and vegetables and
2) Leafy Plants and flowering Ornamental Plants.
The industry is not organized although some big names did start forays
in this industry in the mid 1990’s. Most of the players are engaged in tissue
culture for cut flower exports, where the model of business is quite different.
The Company started with banana as the main crop for tissue culture and the
efforts have really paid off. The industry is still growing at an estimated 25%
per annum.
ii) Performance
The sales in business crossed Rs. 224 million during the year,
reflecting a 51.9% growth over the previous year. The quantity increased to
18.45 million plantlets Keeping quality of plants as the top priority Company
had implemented four stage disease testing program. Unit has also undergone
BCIL Certification, certification standard for commercial tissue culture
laboratories by Department of Biotechnology, Govt. of
iii)
The outlook continues to be excellent and demand shows improved off take
in the coming season. Now, many State Governments are evincing keen interest in
promoting tissue culture. The Company has opportunity to diversify the business
and produce fruit and ornamental plants and other fruit plants. the Company has
also started production of tissue cultured pomegranate plants. Research and
development is on to create Citrus plants. There is also an export potential to
other Asian countries which can be tapped.
Industrial Products
The segment business includes the varied business lines like PVC Sheets,
Polycarbonate Sheets, PE pipes for industrial applications, Fruit processing,
and onion and vegetable dehydration. Business in this segment has grown at 8%
over the earlier year’s level at Rs. 9,325 million. The major growth came from
Fruit Pulp business at 36% growth in revenue terms and 58% growth in volumes.
a) PE Piping
i) Industry
The applications of PE pipes are growing at a fast pace and yet new
applications are being developed for the product. In applications like Sewage
and Effluent disposal the tougher environmental laws and stricter application
of the same by the Govt. departments, the replacement of cement/metal pipes by
PE pipes is becoming very relevant. Such possibilities are huge; especially
since the larger diameter PE pipes are now indigenously available within the
country itself. The Company’s presence in gas and cable duct segments of the PE
pipe business is commanding and hence the overall market share is in excess of
30%. The Company is operating in all segments of the industry like cable duct,
sprinklers, gas distribution, water conveyance, house service connection,
Sewage conveyance, Effluent disposal, sand stowing, dust suppression etc.
ii) Performance
This business has witnessed de-growth in Fy 2010. Revenue was down by
2.4% and volumes were down by 5% reflecting sluggish and subdued capital
expenditure by the infrastructure sector in general and telecom sector in
particular amid prevailing tight liquidity and poor sentiment during major
period of Fy 2010. However, with all user industries like telecom, gas, water
and sewerage having good plans for growth and capital expenditure, the future
is very bright for this business.
iii)
The Company has successfully continued to get large supply contracts
with multinational companies for supply all over the world as a preferred
supplier with very encouraging revenues. The massive infrastructure projects
undertaken under the Bharat Nirman yojana, increased investments by
telecommunication industry and plans for piped gas in cities, continue to be
the potential demand drivers for the industry. All the Gas Distribution
companies are continuing their growth plans as newer cities are being added
every year. The telecom sector in
Onion and vegetable dehydration
i) Industry
Dehydrated Onion is the largest used general food ingredients. This
industry is dominated by
also. There has been some deceleration in the demand particularly in US,
resulting in higher inventories and lower prices.
ii) Performance
During the year, Company’s sale grew by approximately 11% in terms of
value and approximately 11% in terms of volume. The Company achieved this sales
growth under the adverse scenario of bad onion crop, increased raw material
cost, volatile rupee, etc. Despite the slowdown in the
iii)
Outlook for vegetable dehydration industry in general and dehydrated
onion industry in particular looks very good. Large multinational companies
with very popular household brands are looking towards consolidating the number
of suppliers and trying to align with select few suppliers who can provide
better traceability and sustainability. This puts the Company in a very good
position due to its backward linkages, relationship with farmers, contract
farming programs, ability to supply from two different origins with different
seasons and product quality attributes and Company’s sustainability in general.
Worldwide Onion dehydration industry is estimated to be around 180,000MTPA. The
industry is growing globally at 3-5% per annum. The Company now has capacity to
produce approximately 26,000 MT per annum of finished products between its
three plants in two countries. This makes the Company the third largest
dehydrated onion producer in the world. The acquisition of controlling stake in
Cascade Specialities Inc,
Fruit processing
i) Industry
The fruit and vegetable processing industry has a huge potential in
ii) Performance
This division forms an important part of the Company’s approach to
integrated farming model, wherein the Company supplies the farmer with high-tech
agri inputs, and is ready to buy back the surplus output to add value and offer
the same locally and in International markets, thereby completing the agri
value chain. The division clocked yearly revenues of Rs. 4028.000 Millions.
during the year. The business grew at 33.5% in value terms. The division
processed 133214 MT of fruits during the year. The division added new
capacities in Aseptic, Frozen and IQF part of the business. Company processed
various different fruits like Mango, Pomegranate, mla, Guava, Banana, Papaya, Tomato, etc in
the year. The division continues to retain its accreditation under various
quality standards such as ISO 22000, SGF, Kosher etc. The business unit has
also achieved accreditation under ISO 14000 and OSHAS 18000 standards. With the
increased capacity, improved plant utilization and reduction in raw material
transport cost; this division has become cost efficient and a high quality
producer of fruit purees and concentrates. the Company is a strategic supplier
to Coca Cola system worldwide for supplying Mango Pulp/Puree and concentrates.
The Maaza brand of Coca Cola Company is a brand leader in
the fruit beverages category and continues to clock compounded annual
growth rate of more than 30%. Recently the Company had bagged large orders
worth Rs. 2430.000 millions from various Coca Cola bottlers in
iii)
PVC Sheets
i) Industry
Major markets for Company’s products are Europe and
ii) Performance
This business has seen some de-growth in last few years due to global
slowdown. Revenue mix of this business has come down substantially. In Fy 2010
it accounted for around 5% of the revenue. Improved 2nd half helped achieving
the same level of revenue at Rs. 1143 Millons compared to Rs. 1142 Millions in
the previous year.
iii)
The economic downturn has resulted into some players exiting the market
and others redefining their basket of offerings. This consolidation in the
industry will benefit both the manufacturer and the end user.
Contingent
Liabilities not provided in respect of:
|
Particulars |
31.03.2010 Rs.
In Millions |
|
Claims not acknowledged as debts in respect of: |
|
|
- Customs and Excise duty |
271.350 |
|
- Other taxes and levies |
110.900 |
|
- Others (Legal) |
49.740 |
|
Guarantees given by the company bankers in the normal course of
business |
932.560 |
|
Bills discounted with the bank |
244.280 |
|
Export obligations towards duty saved amount under EPCG scheme |
5851.260 |
|
Corporate Guarantee given for repayment of indebtedness of overseas
subsidiaries |
1379.490 |
In respect of (i) above, the company has taken necessary legal steps to protect its position in respect of these claims, which, in its opinion, based on legal advice, are not expected to devolve. It is not possible to make any further determination of the liabilities which may arise or the amounts which may be refundable in respect of these claims.
Trade Reference:
·
Mahanagar Gas
Fixed
Assets
- Goodwill
- Trademark and
Development
- Buildings and
Godowns
- Green/Poly/
Shed Houses
- Plant and
Machinery
- Office
Equipments
- Electrical Installations,
- Research and
Development
- Computer and
Accessories
- Furniture,
Fixtures
- Vehicles
- Live Stock.
PROFILE OF DIRECTORS:
Mr. Bhavarlal H. Jain
Chariman,
B.Com, LLB
Founder of the Jain group of Companies and Chairman of the Company. He
began his business in 1963 by trading in agricultural inputs and equipments. In
1978, he acquired a sick unit which he used to manufacture Papain. In 1980, he
commenced PVC Pipe manufacturing operations. Post 1986, he pioneered the
concept of micro irrigation in
Mr. Anirudha R. Barwe
Director,
M.Sc.(Mathematics)
He is a Director and Chairman of the Audit Committee. He holds a post
graduate degree in Mathematics and is an
associate of the Indian Institute of Bankers in Mumbai. He started his
career as a lecturer in
Mr. Devendra R. Mehta
Director
Mr. D. R. Mehta was appointed on 26.12.2007. He joined Indian
Administrative Service in 1961 and held important positions in the Govt. of
Rajasthan and later in Govt. of India. He was the Chairman of Securities and
Exchange Board of India (SEBI), an apex regulatory body that deals with the
regulation and development of the capital market in
Mr. Ghanshyam Dass
Director
Bachelor’s degree with Honours in
Economics, Master in Linguistics.
He has had an outstanding career in domestic, international banking and
Capital Markets for over 32 years, during which he developed a firm understanding
of the complexities of international markets. He is thoroughly familiar with
the regulatory and business environment in
Mr. Ramesh C. A. Jain
Director
B.A., LLB
He holds a Bachelor of Arts Degree from the
Ms. Radhika Pereira
Director
B.Sc., LLB, LLM(
LLM(Harvard)
She is a graduate of
Mr. Vasant V. Warty
Director Nominee
SBI B.A., LLB
He was appointed on May 13, 2004 by State Bank of
Mr. Ashok B. Jain
Vice Chairman,
B. Com.
Joined the management team in 1982 and was in charge of marketing and
extension services in
Mr. Anil B. Jain
Managing Director,
B.Com., LLB
Managing Director of the Company since 1992. He joined management team
in 1984 and was in charge of US based marketing operations. He has an extensive
background and experience in Finance, Banking, Mergers and Acquisitions,
Strategic Planning, Restructuring Operations. Export Marketing, International
Business Relations, Collaborations and Joint Ventures.
Mr. Ajit B. Jain
Joint Managing Director,
BE.(Mech.)
Joint Managing Director of the Company since 1994 and is responsible for
the pipe division as well as marketing all plastic products, including drip
irrigation, guidance for extension service and development of new applications
and products. He joined in 1984 and started his training in production and
maintenance in the pipe division. During the period from 1985-1990, he was in
charge of establishing our new pipe production plant at Sendhwa (in the state
of Madhya Pradesh in
Mr. Atul B. Jain
Director - Marketing,
B.Com
He is a Commerce Graduate. He joined the management team in 1992. He was
posted in
Mr. R. Swaminathan
Director – Technical,
B.Tech. (Chemical)
He is Chemical Engineer responsible for manufacturing operations in our
Poly-tube, Sprinkler, PVC and PC Sheets and PVC and PE Pipe units. He has 32
years of experience in operation and maintenance activities of plants handling
such things as Solvent Extraction, Plastics Extrusion and Injection Moulding.
He joined the Jain Group in 1982 and was appointed a full-time Director in
1996.
AS PER WEBSITE
History:
The Beginning of
the Road to Success
The Roots
The journey began in 1887 when the forefathers left the deserts of
Rajasthan, their home state, in search of water and food and reached Wakod, at
the foothills of the famous
In 1963 selling kerosene in pushcart, the young law graduate, Bhavarlal
Jain, founded the family business in trading. The family partnership with a
meager Rs. 7,000, accumulated savings of three generations, as capital. Soon, agencies
for two wheelers, auto vehicles and automobile accessories were established in
quick succession.
Story of Success
Trading : Inspired by a quote, "Agriculture : a
profession with future" young Jain added dealership of tractors, sprinkler
systems, PVC pipes and other farm equipment. In order to broad base the
agri-business, agencies for farm inputs such as Fertilizers, Seeds, Pesticides
were also added. Sales grew from Rs. 1 million in 1963 to Rs. 110 millions in
1978, a phenomenal increase of 110 times. These formative years helped them
build a unique and lasting enterprise. This was achieved through consistent
high standards of performance and personal behavior on the one hand and a
strong sense of commitment for meeting targeted volumes and for payment of
debts in time, on the other. Dealings with national and international
principals was a contributing factor towards building these attitudes. In time,
they came to be recognized as a reputable, trustworthy and prestigious house.
This background augured well for an entry into industrial ventures.
Refined Papain : They took over a 14 year-old sick Banana Powder
Plant in April 1978 at a high auction price of Rs. 3 million while they only
had Rs. 0.200 million as inevitable surplus. The plant was quickly modified for
the production of Papain from Papaya latex. In December 1978, the founder
traveled to
PVC Pipes : In 1980, manufacturing of PVC Pipes commenced with
a small annual capacity of 300 MT's which was increased to over 35,600 MT's per
annum by 1997, making them the largest single producer of PVC Pipes in the
country. A close-knit dealer distribution network in the rural areas coupled
with continuous automation and up gradation of product facilities and in-house
RandD for maximum capacity utilization has kept them at the forefront. This
further helped them to expand the range to Casing and Screen Piping Systems
thereby continuing to contribute to the growing export volumes.
Micro - Irrigation Systems : Beginning in 1989, they toiled and
struggled to pioneer Water-management through Micro Irrigation in
Food Processing : In 1994 they set-up world class food processing
facilities for dehydration of onion, vegetable and production of fruit purees,
concentrates and pulp. These plants are ISO 9001 and HACCP certified and Meet
International FDA statute requirements. Combining the modern technologies of
the west with the vast, mostly untapped agriculture resources of
Today with over 3000 committed employees strength worldwide, they have
established the Leadership in diverse products like Micro and Sprinkler
Irrigation, Agricultural Inputs, Agro-Processed Products, Plastic Pipes and
Sheets.
Profile:
Each of the products is an outcome of an effort to conserve nature's
precious resources through substitution or value addition. This is the legacy
of a deliberate and conscious endeavor that stems from a deep-rooted concern
for nature.
There is more to Jain Irrigation than irrigation. The Corporation has
multi product industrial profile and manufacturers of Drip and Sprinkler
Irrigation Systems and Components; PVC, Polyethylene (HDPE, MDPE) and
Polypropylene Piping Systems; Plastic Sheets (PVC and PC sheets); Dehydrated
Onions and Vegetables; Processed Fruits; Tissue Culture, Hybrid and Grafted
Plants; Greenhouses, Poly and Shade Houses; Bio-fertilizers; Solar Water
Heating Systems and Solar Photovoltaic Appliances (Solar lighting systems) and
Bio-Energy sources. They render consultancy for complete or partial project
planning and implementation e.g. Watershed or Wasteland and / or Crop Selection
and Rotation.
Rewards
·
Millions of satisfied farmers / customers.
·
Scores of the major customers –
·
·
Overseas: Alcatel, Amari Plastics Plc.,
Cargill, Coca-Cola, Friesland Foods, GE, General Mills, Heinz, Innocent, Kerry,
Langers Juices Company Inc, Larsen and Toubro, Mars Incorporated, McCormik,
Mitsui and Company Limited, Nestle, Polytrim, Saarioinen, Schumacher, Sleaford,
SVZ Industrial Fruit and Vegetable, Taiyo, Unidelta, Vink, Worlee etc.
Achievements
Agriculture and
Irrigation Division
·
Pioneers of Micro Irrigation Systems in
·
The only manufacturer of complete drip irrigation
systems in the world.
·
Globally second and the largest irrigation Company
in
·
One-stop high-tech agricultural shop.
·
Nurtures a sprawling 2000 acre Hi-Tech Agri
Institute.
·
The largest manufacturer of Tissue culture Banana
Plants in
·
Largest pool of Agricultural Scientists, Engineers
and Technicians in Private Sector.
NEWS:
News @ Jains -
Jain Irrigation inks MoU with International Rice Research Institute (IRRI) for
collaborative research and adaptive field trials on paddy using micro
irrigation
New Delhi, Feb 18, 2010 : Jain Irrigation Systems Limited (JISL), one
of the world’s largest Micro-Irrigation manufacturers, today signed a
Memorandum of Understanding (MoU) with the International Rice Research
Institute (IRRI). Jain Irrigation will closely work with IRRI’s scientists to
determine optimal irrigation and fertigation systems for irrigated rice and
wheat.
Under this MoU, JISL and IRRI will study the relevance of different
irrigation and fertilizer delivery systems for paddy cultivation in
The signing ceremony took place in the presence of Dr. Robert Zeigler,
Director General, IRRI , Dr. J.K. Ladha, Principal Scientist and IRRI
Representative for
The MoU will also ensure IRRI, a non-profit organization, can continue
to widely deliver its research, including news ways to improve water-use
efficiency, to its partners. The MoU will not include any agreements on
exclusive access to IRRI’s research or research outcomes.
Atul Jain, Director Marketing, Jain Irrigation Systems Limited said, "It brings
great honour to them to work with IRRI for providing drip irrigation to enhance
the cultivation of rice, our staple food. We have consistently developed micro
irrigation systems for multiple crops and have been successful in providing
customized drip irrigation solutions across
Dr. Robert Ziegler, Director General, IRRI, said at the occasion, “IRRI has always
strived to reduce poverty and hunger, improve the health of rice farmers and
consumers, and ensure that rice production is environmentally sustainable. Our
extensive partnerships with the national agricultural research and extension
systems (NARES) of the rice producing developing countries, advanced research
institutions, governments, the farming communities etc has enabled them to
achieve our mission. 70% of the world’s poverty stricken people live in Asia
and depend on rice as their staple food, this being the driving force for our
research. In 50 years, IRRI’s high-yielding rice varieties and other
technologies, plus extensive training, have contributed to the doubling of
average world rice yields. JISL came forward to them with the idea of Drip technology
for paddy cultivation. First I should commend JISL for coming up with the idea
and IRRI is glad to associate with JISL and also acknowledges JISL’s interest
in fundamental research. IRRI also identified a partner for reasearch in the
specific area of water management and irrigation optimization in rice
cultivation".
Dr J.K. Ladha said that, "Rice requires a large amount of water
and any technology that reduces water application will be very attractive for
farmers. Drip irrigation is one promising technology and, together with Jain
Irrigation, we will evaluate the potential of it and other promising
technologies, including IRRI’s alternate wetting and drying technique. IRRI
will collect all the crop and input-use data to compare efficiencies of various
technologies including current farmer practice".
Mr. M Srinivas Rao, CEO, Cereal Systems Initiative for South Asia
(CSISA), said, "Rice cultivation requires large quantity of water and for
producing one kg rice, about 3000 - 5000 litres of water is consumed depending
on the different rice cultivation methods. Given the persistence of massive
poverty in
About Jain Irrigation
Jain Irrigation is a diversified Company with more than 5,000 employees and a
product portfolio encompassing Irrigation Products, Piping Products, Plastic
Sheets, Dehydrated Fruit Puree and Juice concentrate. Jain Irrigation has
pioneered drip irrigation for small farmers in
About IRRI
IRRI, the International Rice Research Institute (IRRI) is a nonprofit
independent organization that, through rice research aims to reduce poverty and
hunger, improve the health of rice farmers and consumers, and ensure that rice
production is environmentally sustainable. IRRI is a global leader in rice
science with offices in 15 countries across Asia and Africa, including our
headquarters in the
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other official
proceeding for making any prohibited payments or other improper payments to
government officials for engaging in prohibited transactions or with designated
parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or investigation
registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
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information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.38 |
|
|
1 |
Rs.73.08 |
|
Euro |
1 |
Rs.61.60 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
62 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.