Rajesh Agrawal-MD, Insecticide India

In last financial year we have been performing well as the sales is progressing well. Our manufac¬turing facility that was supposed to come on stream in the month of February has been delayed due to delay in license but we are confident that it will come in stream by the end of March or April and hence the full fledge benefit of that will be visible in the next fiscal only. First is in the state of Gujarat where we are planning for formulation manufacturing business to start with and second will be in Jammu. Moreover our second quarter is our best quarter and we are confident that we will achieve the milestone of Rs 500 crore set in terms of sales this year. 

Next year we plan to achieve sales growth 40-50 per cent. Though this will depend upon the time it will take for our new plants to get streamline and at what capacity do we operate, nevertheless even on the lower side we are estimating to achieve 40-50 per cent growth in sales. Therefore if we could achieve Rs 500 crore this year then by next year we can achieve the target sales of Rs 700-750 crore. 

Recognizing the importance of R&D, we do have plans to increase investment in R&D. We have even got the accreditation from NABL (National Accreditation Board for Testing and Calibration) for our centre situated at Gujarat. Our vision is to make it world class. Recently we have submitted a project to the R&D department for grant wherein we will be developing a product whose approval we have got. We are developing an intermediate jointly. We believe that there are various product and technologies that are present around the world and that need to be developed in India at reasonable price. This will not only help in import substitution but also we can sell that product to In¬dian farmers at very competitive price. We are progressing in our R&D centre with the same vision. We have got success in our attempt in last few years. For example some of the product that was launched by some multinational companies was available at much selected counters but we made it available at many counters at very affordable price to our common farmers. More important is that farmers are getting the same level of satisfaction in using our product that he was getting by using that MNC product. 

It is running successfully and we have got good recognition through Dr. Dada in our pesticide. Therefore we plan to aggressively pursue this in the coming years. 

This is our normal programme wherein we keep weekly campaign and where we are educating the farmers how to increase their in¬come. We have thought of a process for that. We have observed that there is some change in the atmospheric cycle and due to which our rainy season is delayed. This let the farm land vacant for about 1-2.5 months in different area. We are advising them to use this time for planting either some short duration pulses or vegetable both of which are profitable. So we are including this as our CSR programme. Ulti¬mately we are motivating them to maximize their profit from agriculture so that their interest remain in the farming and treat this as a business. 

We have development team for each state; there are some devel¬opments experts sitting at head office and then we have regional developmental teams. Each state has different atmospheric condi¬tion, different soil type there they need to be advised accordingly and more importantly they need to be talked in their dialect, which find more acceptance among them. Then only he will sit for your cam¬paign and will take interest in knowing something from you. Through this we focus on our brand especially new one. Recently we have closed a deal that will bring new brand and with collaboration also we are bring new patented fungicide in India and we will have exclusive right of that for India. 

If you see our past, we are growing at the rate of 40-50 per cent and we will continue to move at the same rate and will try to improve on that. For next two year that is by FY13 our vision is to make Insecticide India an Rs 1000 crore company. For that we are expanding our manu-facturing facility and now we have three hubs that is at Jammu, Rajast¬han and now at Gujarat. This along with our R&D, backward integration and increasing our reach of brand will help it achieve our target. 

I thank all my investors who have remained thick and thin with the company. We hope that we will give investors good return through our performance and I believe that our share prices are still quoting below our potential and therefore ask investors to remain invested in the stock.