MIRA
INFORM REPORT
|
Report Date : |
08.11.2011 |
IDENTIFICATION DETAILS
|
Name : |
ANDHRA PRADESH FOODS |
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Registered
Office : |
Road No. 14, I.D.A. Necharam Hyderabad-500076, Andhra Pradesh |
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Country : |
India |
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Year of
Establishment : |
1976 |
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Capital
Investment/Paid up Capital: |
Not Available |
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Legal Form : |
A Government of Andhra Pradesh Enterprises. |
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Line of Business
: |
Manufacturer of Ready to eat, Ready to cook and hot food mixes. |
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No. of
Employees: |
100 Approximately |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
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|
|
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established organization managed under the control of State
Government of Andhra Pradesh. The organization engaged in manufacturing and
supplying fortified relations are reported as fair. Payments are reported to
be usually correct and as per commitments. Subject being a Government owned enterprises 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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office/ Factory : |
Road No. 14, I.D.A. Necharam Hyderabad-500076, Andhra Pradesh, India |
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Tel. No.: |
91-40-27152207/ 08/09 |
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Fax No.: |
91-40-27171596 |
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E-Mail : |
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Website : |
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Area : |
Approximately 10000 sq.ft. |
|
Location : |
Owned |
MANAGEMENT
|
Name : |
Mr. P Satyanarayana Reddy |
|
Designation : |
Managing Director |
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Tel No. : |
91-40-27170208 |
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Email: |
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|
Name : |
Mr. O Rajkumar |
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Designation : |
Deputy General Manager (Tech0 |
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Tel No. : |
91-40-27175607 |
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Email: |
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|
Name : |
Mr. M Mallaiah |
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Designation : |
Manager (HRD) |
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Tel No. : |
91-40-27152207 Ext. 205 |
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Email: |
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|
Name : |
Mr. U Rajender Kumar |
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Designation : |
Executive Engineer (Civil) |
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Tel No. : |
91-40-27152207 Ext. 226 |
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Email: |
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|
Name : |
Mr. Chandramouli |
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Designation : |
Works Manager |
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Tel No. : |
91-40-27152207 Ext. 211 |
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Email: |
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|
Name : |
Mrs. S Lalitha |
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Designation : |
Manager (Finance) FAC |
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Tel No. : |
91-40-27150843 |
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Email: |
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|
Name : |
Mr. S Yellamanda |
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Designation : |
Deputy Manager (Q.C.) |
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Tel No. : |
91-40-27155501 |
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Email: |
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Name : |
Mr. R Venugopal |
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Designation : |
Deputy Manager (Costing) |
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Tel No. : |
91-40-27152207 Ext. 246 |
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Email: |
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|
Name : |
Mr. L Srinivas Naik |
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Designation : |
Deputy Manager (Electrical) |
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Tel No. : |
91-40-27150844 |
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Email: |
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|
Name : |
Mr. K Janaradhan Reddy |
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Designation : |
Dy. Manager (HRD) |
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Tel No. : |
91-40-27152207 Ext 207 |
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Email: |
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|
Name : |
Mr. B. Jeeva Putra Kumar |
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Designation : |
Dy. Manager (D and P) |
|
Tel No. : |
91-40-27152207 Ext. 206 |
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Email: |
|
|
|
|
|
Name : |
Mr. M Venkataiah |
|
Designation : |
Dy. Manager (Production) |
|
Tel No. : |
91-20-27152207 Ext. 210 |
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Email: |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Ready to eat, Ready to cook and hot food mixes. |
|
|
|
|
Products : |
·
Ready To Eat
Foods: o
Modified Therapeutic Food o
Extruded Snack Food ·
Ready to Cook/
Hot Food Mixes o
Upma Mix o
Halwa Mix o
Sweet Porridge o
Kichidi Mix with Dal Analogue (3 mm) o
Aasha Food |
GENERAL INFORMATION
|
No. of Employees : |
100 Approximately |
|
|
|
|
Bankers : |
Not Available |
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Banking
Relations : |
-- |
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|
|
|
Auditors : |
|
|
Name : |
Not Available |
CAPITAL STRUCTURE
Not Available
FINANCIAL DATA
[all figures are
in Rupees Millions]
Not Available
LOCAL AGENCY FURTHER INFORMATION
PROFILE
Subject
is a Government of A.P. Enterprise established in 1974 and functioning under
the auspices of A.P. Nutrition Council, a Society which was set up in the year
1976 with the assistance of CARE
and UNICEF and GOI for producing
and supply of Nutritious Foods to Malnourished School going, pre-school
children, Pregnant women and Lactating mothers. Subject is covered under ESMA
Act and runs in “3” shifts round the clock throughout year.
The main activity of M/s. AP Foods is manufacturing and supplying fortified
nutritious food to 229 ICDS projects benefiting 30.46 lakhs of children and
women beneficiaries throughout the state. Subject is an ISO 22000:2005
certified company.
·
To manufacture and supply nutritious food to school
and pre-school children, expectant & lactating mothers for improving the
nutritional status.
·
To build capacity in raw-material
preprocessing and food processing capacity with the assistance
from State/Central Government and International Agencies.
·
To promote
and assist Institutions for the
study of food and nutritional problems and requirements.
FUTURE
STRATEGIES
ACTION PLAN FOR NEXT 2 YEARS
·
Expansion of production capacity by
addition of new machinery.
·
Replacement of old machinery by new
machinery wherever necessary.
·
Development of nutritious food with
extrusion based technology and Commercialization.
·
Erection of new plant with a capacity
of 10 MT/Hour with latest technology and construction of a new building with
all modern facilities.
Proposed
GAIN project of 10 MT / Hr capacity Plant in A.P. Foods:
GLOBAL ALLIANCE FOR IMPROVED NUTRITION (GAIN) is a SWISS
foundation that mobilizes public private partnership and provides financial and
technical support to deliver nutritious foods to those people most at risk of
mal-nutrition. GAIN has been created in 2002 at a Special Session of UN
General Assembly on children. GAINs goal is to reach more number of
people with fortified foods that has sustainable nutritional impact.
GAIN is headquartered in Geneva, Switzerland and has
Regional Offices in Cairo, Johannesburg, New Delhi and Washington DC.
GAIN has appointed a Consultant to study the performance of
A.P. Foods in terms of manufacturing and supplying of quality, hygienically
prepared nutritious food and feasibility of expansion of the capacity of
production and based on the report of the Consultant, GAIN provided a grant of
US Dollars 1.828 Million towards expansion for purchase of machinery and
equipment.
Grant Agreement with GAIN has been signed on 30.06.2009
after clearance from the Principal Secretary to Government, WD, CW and DW
Department, Honble Minister of Women
and Child Welfare and the Honble
Chief Minister of Andhra Pradesh State.
Status
of GAIN Project
·
Internal Kachha Roads formation in
progress
·
New Gate opened in Northern side of the
proposed Site
·
Clearances from Forest Department
obtained
·
Clearances from Andhra Pradesh
Pollution Control Board is under progress
·
PMC has been entrusted with the job of
obtaining all other clearances from various Departments under Single
Window Scheme through the Industries Department.
·
Global Tenders floated on 06-07-2010
·
Global Re - Tenders floated on
13.09.2010
·
Government accorded permission to
obtain direct quotes from the Original Equipment Manufacturers (OEMs) on
Turn-Key Basis.
·
4 OEMs for supply of machinery have
been qualified and the same is under process.
·
New Plant is expected to be
commissioned by October2012.
Civil Works
·
Construction of
GAIN Building
·
Construction of
Administrative Building
·
Construction of
Quality Control Lab
·
Construction of
Godowns
Installation of Double Fortified ( Iodine and
Iron) Salt Plant
·
It is proposed to set up a Double
Fortified Salt (DFS) Plant in A.P. Foods with an installed capacity
of 30,000 MTs per Annum. NIN is offering the technical guidance.
·
The State Government, has accorded
Permission and the MOU entered with NIN is under renewal.
·
It is proposed to purchase refined salt
and double fortification with Iron and Iodine will be undertaken at A.P. Foods.
·
Tests for Production of DFS for
in-house consumption has been conducted in the month of July
2011.
·
Construction of DFS Plant Building in
A.P. Foods is in progress.
Capacity Building of Extruder Plant :
·
The purchase of two lines of each 2
MT/Hr capacity Extruder Plant is in process to meet production requirement of
36000 MTs. per annum.
·
Quotes have been invited from the
Original Equipment Manufacturers (OEMs) as per the resolution of the Executive
Committee meeting held on 10.06.2011.
·
Quotes received from OEMs is under
evaluation and PMC for Documentation work for the project are being identified.
CADRE STRENGTH
|
Cadre |
Sanctioned Strength |
Regular Employees |
On Deputation |
|
General Manager |
1 |
0 |
0 |
|
Deputy General Manager |
2 |
0 |
1 |
|
Managers |
5 |
2 |
1 |
|
Deputy Managers |
10 |
5 |
3 |
|
Assistant Managers |
10 |
9 |
0 |
|
Supervisors ( Gr -II / I) |
35 |
31 |
0 |
|
Lab Chemist ( D / C / B / A ) |
6 |
6 |
0 |
|
Assistants/Stenos (D/C/B/A) |
33 |
24 |
1 |
|
Telephone Operator, W.I. |
1 |
0 |
0 |
|
Driver ( Gr II / I
), Sr. and Jr. |
18 |
17 |
0 |
|
Time Keeper |
1 |
1 |
0 |
|
Trades Men ( D / C / B / A ), Mali, Mason |
224 |
211 |
0 |
|
M . M . W |
59 |
11 |
0 |
|
Jamedar / Office Subordinate/ Spl. Msgr/ Watchman |
7 |
2 |
0 |
|
Total |
412 |
319 |
6 |
GOVERNING BODY
I. A.P. NUTRITION COUNCIL
Six members nominated by
the Government of A.P.
|
The Chief Secretary to Govt, Ex-Officio |
Chairman |
|
The Spl.Chief Secy/ Secy. to Government WD, CW and DW
Department |
Vice-President |
|
The Prl. Secy/ Secy to Government, Social Welfare
Department, |
Member |
|
The Prl Secy to Government, Finance Department |
Member |
|
The Prl Secy to Government, MA and UD Department |
Member |
|
The Prl Secy to Government, PR and RD Department |
Member |
Three
members nominated by the Government of India
|
The Jt. Secy., Department of Women and Child Devp,
Ministry of Human Resource Development, GOI |
Member |
|
The Director, National Institute of Nutrition |
Member |
|
The Technical Advisor, Department of Women and
Child Development, Food
and Nutrition Board, GOI |
Member |
|
The M.D., A.P. Foods is the Member Secretary of the
A.P.Nutrition Council |
|
II.
EXECUTIVE COMMITTEE
|
The Spl.Chief Secy/ Secy to Govt, WD, CW and DW Department |
President |
|
The Prl. Secy/ Secy to Government, Social Welfare
Department, |
Member |
|
The Prl Secy to Government, MA and UD Department |
Member |
|
The Jt. Secy., Department of Women and Child Devp,
Ministry of Human Resource Development, GOI |
Member |
|
The Director, WD and CW |
Member |
|
The Prl Secy to Government, Finance Department |
Member |
|
The Technical Advisor, Department of Women and Child
Devp, Food and Nutrition Board, GOI |
Member |
|
The M.D., A.P. Foods is the Member Secretary of the EC of
A.P.Nutrtion Council |
|
FINANCE
1. A.P. Foods is Registered under Section
12A(a) of Income Tax Act 1961 and exempted from Income
Tax.
2. A.P. Foods is following
accrual method of Accounting. Being
service oriented organization A.P. Foods is
preparing Income and
Expenditure account and Balance Sheet.
3. The Income Over Expenditure
i.e. Surplus is being accumulated towards
capital Expenditure i.e., for replacement of
machinery expansion, modernization and diversification
etc.,
4.
CAPITAL FUND:
The Capital Fund means
the value of Assets donated by CARE,
UNICEF, Capital grant received from Government of
A.P. and the Value of Plant and
Machinery, Buildings erected with accumulated
surplus amount.
(a) A.P. Industrial Infrastructure
Corporation donated 15.46
acres of land at Nacharam IDA to A.P.
Foods during the year 1973. During the
year 1985 A.P. foods purchased 3.29 acres
of land valuing Rs. 0.933 Million at
Gazuwaka Industrial Estate, Vizag. Subsequently,
during the year 1987, land admeasuring 4.407 acres,
which is adjacent to A.P. Foods
was also purchased at cost a of Rs.0.598
Million.
(b) During period 1974-1978 CARE
an International Organization has donated
Plant and Machinery,
Buildings, Lab equipments and Vehicles
valuing Rs. 7.495 Millions.
(c) During 1980-81 UNICEF an
International Organization has donated
Buildings, Plant and
Machinery and Spares.
Subsequently, some more spares are received from UNICEF during
the period 1982-84. The total value of Assets
donated by UNICEF works out to Rs. 13.590
Millions.
(d) Government of A.P. has
provided a capital grant of Rs. 2.515
Millions during the period 1977-1981.
(e) Subsequently, A.P.
Foods has erected and commissioned Automatic
Energy Food Plant, Soya Plant,
Computerized Extrusion Plant, and Effluent
Treatment Plant and Hot Food Plant with its
own funds i.e. from the accumulated surplus.
5) NO EQUITY:
6) Depreciation
is provided on Fixed
Assets on written down value method at
the rates provided in the Income Tax
Act 1961.
7) Inventories are valued
at cost by following FIFO Method.
8) A.P. Foods does not receive
Budget from State/ Central Govts
directly. A.P. Foods manufacture and supply
Ready-To-Eat Nutritious food under Government
feeding programmes to Government departments such
as Director of Women
and Child Welfare
and Director of Municipal Administration.
The costs of supplies are reimbursed
by those departments from their budgetary
allocation.
9) A.P. Foods prepares budget
estimates every year for the activities
to be under taken. Accordingly,
Budgetary Control System is followed.
SURPLUS and
TURNOVER FOR LAST 10 YEARS
|
Year |
Surplus Rs. In Millions |
Turnover Rs. In Millions |
|
2001-2002 |
43.236 |
479.044 |
|
2002-03 |
46.544 |
659.284 |
|
2003-04 |
45.306 |
711.676 |
|
2004-05 |
43.743 |
678.926 |
|
2005-06 |
48.351 |
612.525 |
|
2006-07 |
119.920 |
941.741 |
|
2007-08 |
106.352 |
1343.378 |
|
2008-09 |
220.075 |
1676.669 |
|
2009-10 |
233.732 |
2010.805 |
|
2010-11 (Provisional) |
384.638 |
2414.789 |
NEWS and EVENTS
·
Smt. V. Sunitha Laxma Reddy , Hon'ble Minister for IKP, WD,CW and
DW, Pensions, Senior Citizens visited the APFoods on 06-01-2011.
Expressed satisfaction over functioning of APFoods and appreciated the
nutritious value of products of APFoods. She also launched Two new products
viz. Sweet Porridge and Kichidi Mix with Dal Analogue.
ACHIEVEMENTS
·
All India Achievers Foundation, New Delhi awarded Bhartiya Samman
Puraskar For Food Industry on 6.3.2009 to M.D.
·
Citizens Integration Peace Society, Bangalore awarded
Rashtriya Rattan Award on 22.3.09 to M.D at New Delhi.
·
Bhartiya Vikas Rattan Award by the Association of Industrial
Development, New Delhi, dt.06.06.09.
·
Glory of India Award by the Institute of Economic Studies, New Delhi on
10.8.2009, Hyderabad.
·
Mother Teresa Award by Health Care International, Hyderabad on
26.8.09, Hyderabad.
·
International Achievers Award by Indian Achievers Forum, New Delhi on
31.10.09 at Bangkok..
·
Indira Priyadarshini Award 2009 by Health Care International, Hyderabad
on 22.11.09.
·
Best Public Choice Award for reducing child mortality for the projects
MFoods at a world forum on 2.8.2011.
·
Best Jury Award for reducing child mortality for the projects
MFoods at a world forum on 2.8.2011
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 records 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
No
available 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.49.08 |
|
|
1 |
Rs.78.65 |
|
Euro |
1 |
Rs.67.79 |
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.