Mangalam Global Enterprise Ltd Management Discussions

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? ECONOMIC OUTLOOK

• Global Economic Outlook

As per the International Monetary Fund ("IMF") World Economic Outlook growth projections released in April 2025, the global economic growth for 2025 projected to grow at 2.8%, down from 3.1% in 2024 due to series of new tariff measures by the United States and countermeasures by its trading partners. The unpredictability with which these measures have been unfolding also has a negative impact on economic activity and the outlook and, at the same time, makes it more difficult than usual to make assumptions that would constitute a basis for an internally consistent and timely set of projections.

The swift escalation of trade tensions and extremely high levels of policy uncertainty are expected to have a significant impact on global economic activity. Under the reference forecast that incorporates information as of April 4, global growth is projected to drop to 2.8 percent in 2025 and 3 percent in 2026—down from 3.3 percent for both years in the January 2025 WEO Update, corresponding to a cumulative downgrade of 0.8 percentage point, and much below the historical (2000-19) average of 3.7 percent. In emerging market and developing economies, growth is expected to slow down to 3.7 percent in 2025 and 3.9 percent in 2026, with significant downgrades for countries affected most by recent trade measures.

Global Growth Outlook Projections (Real GDP, year-on-year change in percentage)

GDP growth trend comparison - India versus Other Emerging and Developing Economies (Real GDP, year-on-year change in percentage)

Real GDP growth (Annual percent change)	2019	2020	2021	2022	2023	2024	2025	2026	2027	2028	2029	2030
India	3.9	-5.8	9.7	7.6	9.2	6.5	6.2	6.3	6.5	6.5	6.5	6.5
China	6.1	2.3	8.6	3.1	5.4	5	4	4	4.2	4.1	3.7	3.4
Brazil	1.2	-3.3	4.8	3	3.2	3.4	2	2	2.2	2.3	2.4	2.5
Indonesia	5	-2.1	3.7	5.3	5	5	4.7	4.7	4.9	5	5.1	5.1
Saudi Arabia	1.1	-3.6	5.1	7.5	-0.8	1.3	3	3.7	3.6	3.2	3.2	3.3
United States	2.6	-2.2	6.1	2.5	2.9	NJ oo	1.8	1.7	2	2.1	2.1	2.1
Euro area	1.6	-6	6.3	3.5	0.4	0.9	0.8	1.2	1.3	1.3	1.2	1.1

[Projections; Source: IMF- World Economic Outlook Database (April 2025]

? INDIAN ECONOMIC OUTLOOK

• GDP growth and Outlook:

India is projected to remain the fastest-growing large economy for 2025 and 2026, reaffirming its dominance in the global economic landscape. The countrys economy is expected to expand by 6.2 per cent in 2025 and 6.3 per cent in 2026,

outpacing many of its global counterparts. In contrast, the IMF projects global economic growth to be much lower, at 2.8 per cent in 2025 and 3.0 per cent in 2026, highlighting Indias exceptional outperformance.

The IMF has also revised its growth estimates for other major global economies. Chinas GDP growth forecast for 2025 has been downgraded to 4.0 per cent, down from 4.6 per cent in the January 2025 edition of the World Economic Outlook. Similarly, the United States is expected to see a slowdown, with its growth revised downward by 90 basis points to 1.8 per cent. Despite these revisions, Indias robust growth trajectory continues to set it apart on the global stage.

Indias economic outlook for 2025 and 2026 remains one of the brightest among major global economies, as highlighted by the IMF. Despite global uncertainties and downward revisions in growth forecasts for other large economies, India is set to maintain its leadership in global economic growth. Supported by strong fundamentals and strategic government initiatives, the country is well-positioned to navigate the challenges ahead. With reforms in infrastructure, innovation, and financial inclusion, India continues to enhance its role as a key driver of global economic activity. The IMFs projections reaffirm Indias resilience, further solidifying its importance in shaping the global economic future.

RBIs GDP Growth Outlook (Year-on-year, in percentage)

The Reserve Bank of India has projected real GDP growth at 6.5 per cent for 2025-26, maintaining the same rate as estimated for 2024-25, following a strong expansion of 9.2 per cent in the preceding year. The quarterly projections stand at 6.5 per cent in Q1, 6.7 per cent in Q2, 6.6 per cent in Q3, and 6.3 per cent in Q4. This marks a downward revision of 20 basis points from the February estimate, reflecting heightened global volatility. Agriculture remains on a positive footing, supported by healthy reservoir levels and robust crop production, which is expected to sustain rural demand. Manufacturing is showing early signs of revival amid improved business sentiment, and the services sector continues to demonstrate resilience.

On the investment side, activity is gaining pace on the back of higher capacity utilisation, continued government focus on infrastructure, and strong balance sheets of banks and corporates. Easing financial conditions have also aided this recovery. While services exports are likely to remain steady, merchandise exports could face headwinds from global uncertainties and trade disruptions. Looking ahead, the RBI has projected real GDP growth at 6.7 per cent for 2026-27, suggesting continued recovery momentum.

Headline inflation eased during January and February 2025, driven by a sharp decline in food prices. With uncertainties around the rabi crop largely resolved, and second advance estimates indicating record wheat output and higher pulse production than last year, food inflation is expected to soften further. This favourable trend is supported by robust kharif arrivals and a sharp fall in inflation expectations over the next three and twelve months, as reflected in recent surveys. The decline in crude oil prices has further strengthened the disinflationary outlook. Accordingly, Consumer Price Index (CPI) inflation for 2025-26 is projected at 4.0 per cent, with quarterly estimates at 3.6 per cent in Q1, 3.9 per cent in Q2, 3.8 per cent in Q3, and 4.4 per cent in Q4.

While the inflation outlook appears stable, global uncertainties and the possibility of weather-related supply shocks continue to pose upside risks to the inflation path. The Reserve Bank of India has assumed a normal monsoon in framing its projections, and it considers the risks to be evenly balanced at this stage.

(REF: Reserve Bank of India)

? INDUSTRY OVERVIEW OF THE PRODUCTS, WE DEAL IN:

? CASTOR OIL:

Castor is one of the oldest cultivated crops; however, it contributes to only 0.15% of the vegetable oil produced in the world. Castor oil is widely used in the manufacture of various products, including soaps, cosmetics, lubricants, and biofuels. Castor oil is widely used in commercial segments, including the manufacturing of paints, cosmetics, resins, fluids and lubricating greases, among others. Castor oil & its derivatives have the ability to replace synthetic feedstock with biobased products.

The oil which is extracted from the different plant and castor seeds identify as the castor oil. Castor oil is colorless to pale yellow liquid with mild or no taste. Castor oil is used in various industries includes Biopolymers, Personal care, Food, Lubricants, Plastic & Rubber, Paper, pharmaceuticals, paint, inks, and additives. Owing to the various usages of castor oil in different industries and pharmaceutical applications, the market demand for this unique chemical structure is escalated in past few years. All chemical derivatives of castor oil provide numerous use in industrial applications, and their sustainability domains are increasing rapidly. Castor oil key derivatives comprise of hydrogenated, dehydrated, ethylated, sulfonated, heptaldehyde, sebacic acid, polyols, undecylenic acid, zinc ricinoleate, methyl ricinoleate, zinc undecylenate, calcium undecylenate, and commercial grade castor oil.

The global castor oil market size reached 103.1 Kilo Tons in 2024. Looking forward, IMARC Group expects the market to reach 109 Kilo Tons by 2033, exhibiting a growth rate (CAGR) of 1.1% during 2024-2032. The market is experiencing stable growth driven by growing demand for sustainable and natural products, expanding industrial applications, rising demand in the cosmetic and personal care industry, increasing health benefits and pharmaceutical applications, and biofuel production and renewable energy initiatives.

The versatility of castor oil is a key factor driving its market growth. It is not limited to a single industry but finds applications in diverse sectors. One of the significant drivers is its use in industrial applications, particularly as a feedstock for the production of high-performance chemicals and materials. Castor oil is a source of 12-hydroxystearic acid (12-HSA), which is a crucial raw material in the manufacturing of specialty chemicals, plastics, and polymers. These chemicals are used in various industries, including automotive, aviation, and electronics, where high-performance materials are essential. Additionally, the low pour point and viscosity of castor oil make it an ideal candidate for manufacturing bio-based lubricants. The lubricant industry has been transitioning toward sustainable alternatives to reduce environmental impact, and castor oil fits this requirement perfectly.

China plays a prominent role in the global castor oil market, both as a producer and consumer. The country has seen significant growth in castor oil production in recent years. Chinese castor oil producers have capitalized on the adaptability of the plant to various climatic conditions, leading to increased cultivation and higher yields. In addition to domestic consumption, China exports a substantial portion of its castor oil to international markets. Chinese castor oil is known for its competitive pricing, making it a preferred choice for industries looking for cost-effective alternatives.

India holds a dominant position in the global castor oil market, being the largest producer and exporter of castor seeds and castor oil. The tropical climate of the region is ideal for castor cultivation, and the rich agricultural heritage of India has contributed to the growth of this industry. Castor oil production in India is driven by domestic demand and also by exports to various international markets. In India, castor oil finds applications in a wide range of industries, including pharmaceuticals, cosmetics, lubricants, and biodiesel. Its use in traditional medicine further strengthens its presence in the domestic market. Indian castor oil is known for its high quality and purity, making it a preferred choice for industries demanding premium-grade castor oil.

Castor Oil Market Trends:

• Growing Demand for Sustainable and Natural Products

• Expanding Industrial Applications

• Rising Product Demand in the Cosmetic and Personal Care Industry

• Health Benefits and Pharmaceutical Applications

• Biofuel Production and Renewable Energy Initiatives Source: https://www. imarcgroup.com/

KEY MARKET DRIVERS AND CONSTRAINTS OF CASTOR:

Castor oil is becoming an essential bio-based raw material which makes it ideal for various industrial applications. As a result, its demand is rising as a potential alternative to petroleum-based chemicals.

On account of its distinctive chemical structure, castor oil acts as a major raw material which is used in the production of various end products such as biodiesel, polyurethane adhesives, machining oils, refrigeration lubricants, etc. This versatile nature of castor oil has been contributing towards the propelling growth of the market. As compared to other vegetable oils, castor oil is a healthier and less expensive alternative. Owing to this, food grade castor oil has gained a momentum in the food industry in the form of flavourings, mould inhibitor, food additives and packaging.

The castor oil market is being hindered by the unstable prices of castor beans which is the result of their fluctuating supply. This supply highly depends upon the weather conditions of the region and a long harvesting process of castor beans.

? COTTON:

The Cotton Market size is estimated at USD 45.15 billion in 2025, and is expected to reach USD 51.58 billion by 2030, at a CAGR of 2.7% during the forecast period (2025-2030). Source: https://www.mordorintelligence.com/industry-reports/ cotton-market. Cotton grows in nearly all tropical and subtropical regions worldwide and primarily supports the global textile mills and apparel manufacturing markets. The highly competitive prices of cotton fibers in the global market, coupled with the increasing export demand for cotton yarn and textile products, are expected to increase the global demand for cotton.

For instance, according to the Reserve Bank of India, in the fiscal year 2022, the value of cotton and cotton products exported from India was over INR 1140 billion (USD 13.94 billion). This increased by almost INR 586 billion (USD 5.1 billion) compared to the previous financial year, which accounted for INR 726 billion (USD 8.8 billion). Also, a greater crop yield in Brazil, Australia, and Pakistan is predicted to increase global cotton production and consumption during the forecast period.

The increasing applications and usage of cotton in various industries, including apparel manufacturing, home furnishings, and manufacturing of Industrial products, are driving the markets growth. Medical gauze, cotton swabs and rounds, and traditional diapers are all made using cotton. In addition, cottonseed oil is derived from cotton plants and can be used for cooking, soap making, or cosmetics.

The United States plays a vital role in the global cotton market, acting as a key producer and exporter of fiber. The United States textile mills presently consume approximately 7.6 million bales of cotton annually. Eventually, about 57% of it is converted into apparel, more than a third into home furnishings, and the remainder into industrial products.

Source: https://www.mordorintelligence.com/industry-reports/cotton-market

Cotton is one of the most important fiber and cash crop of India and plays a dominant role in the industrial and agricultural economy of the country. It provides the basic raw material (cotton fibre) to cotton textile industry. Cotton comprises of 40% fibre and 60% seed by weight. Cotton in India provides direct livelihood to 6 million farmers and about 40 -50 million people are employed in cotton trade and its processing. Among all the countries in the world, India has the largest area i.e. 37% of the worlds total area under cotton cultivation. Gujarat is the largest producer of cotton in India. In India, there are ten major cotton growing states which are divided into three zones, viz. north zone, central zone and south zone. North zone consists of Punjab, Haryana, and Rajasthan. Central zone includes Madhya Pradesh, Maharashtra and Gujarat. South zone comprises Andhra Pradesh, Telangana, Karnataka and Tamil Nadu.

KEY MARKET DRIVERS AND CONSTRAINTS OF COTTON:

The emerging textile markets worldwide rely on the cotton processing market for raw materials, which is driving the market, globally. The increasing awareness about the benefits associated with cotton will enhance the markets growth rate. The rising usage of cotton across the medical sector is the primary factor driving the growth of the market. Cotton can be an important food source for humans and animal. Cottonseed is obtained from cotton which is rich in oil and high protein and is also a common ingredient in various food items. The rising regulations regarding the use of pesticides on cotton have increased the sales and demands for the organic cotton which have boosted the growth of the market.

The lowered export rates of cotton across the globe, majorly U.S. is the major factor obstructing the growth of the market over the forecasted period. Further, the high costs of investments and manufacturing plants along with the equipment related to the infrastructures will act as market restraint and further challenge the market growth rate.

? RICE:

The Rice Market size is estimated to reach $356 billion by 2030, growing at a CAGR of 2.6% during the forecast period 2023-2030. Rice is a staple food with around 800 million metric tons produced annually at the global level. There are different types of rice available, including brown rice, Indica rice, black rice, red rice, bomba rice, arborio rice, parboiled rice, sushi rice, glutinous rice and others. Indica rice includes basmati rice and jasmine rice. Currently, vegan diets are becoming increasingly recognized due to ethical reasons. The potential of rice to provide solutions for malnutrition and chronic ailments has been examined.

The rising intake of basmati rice owing to its superior taste and aroma is set to drive the Rice Market growth. Basmati rice is the most recognized speciality rice in the UK, contributing special flavor and delicacy to curries, pilafs and kedgerees. Almost three-quarters of the global basmati is made in India with the UK purchasing 3% of it. Improved production capacities of rice in India and the provision of non-basmati rice from India to the Middle East and Africa are the major rice market trends. This represents the Rice Industry Outlook.

Source: https://www.industryarc.com/Research/Rice-Market-Research-509581

Rice is the most common staple food in many Asian countries including India. Rice is Indias most significant food crop. India the second-largest rice producer in the world after China.The leading states of India producing rice are West Bengal, Uttar Pradesh, Andhra Pradesh, Punjab, Tamil Nadu, Bihar, Chhattisgarh, and Odisha. Rice production in the country has increased by 3.5 times in the last 60 years. India is the worlds largest rice exporter, followed by Thailand and Vietnam. India had the highest export volume of rice worldwide. More than half of the population of India consume rice.

KEY MARKET DRIVERS AND CONSTRAINTS OF RICE:

The growing utilization of rice in the food and beverage (F&B) industry to prepare various cuisines is driving the global market. The increasing shift of consumers towards healthy eating habits is propelling the growth of the rice market.

Numerous major companies are focusing on introducing new varieties and developing innovative packaging solutions that provide flexibility and convenience to consumers, which are acting as other growth-inducing factors.

Lack of technical knowledge of crop cultivation, scarcity of Labour, insufficient funds to purchase inputs, unavailability of sufficient farm machineries and low yield of the crop causes constraints in the rice market.

Climate change poses a serious risk to rice production. Uneven weather cycles, droughts, and floods can result in lower yields of crops or total crop failure - and these issues present a real challenge for the entire rice market. Rice market research indicates that the rice industry faces difficult decisions concerning the limited availability of water and land, as cultivating rice requires vast amounts of water. It is paramount that sustainable management practices are adopted to surmount these issues and guarantee long-term success for this sector.

? WHEAT:

Global Wheat Market Outlook:

The global wheat market size reached a consumption value of around USD 161.32 billion in 2024. The consumption is expected to grow at a CAGR of 5.3% in the forecast period of 2025-2034.

Wheat is an essential type of cereal cultivated in temperate regions, the grain of which is crushed to produce flour for making products like bread, pasta, and pastry, among others. Wheat is cultivated in a larger area when compared to other crops and is also a major source of carbohydrates. In addition, it is rich in major nutrients like protein, dietary fibre, manganese, phosphorus, and vitamin B.

Wheat belongs to the genus Triticum and includes several species, the most commonly cultivated being common wheat (Triticum aestivum). It is an annual plant, typically harvested in the temperate regions of the world. Wheat has been cultivated for over 10,000 years and was one of the first crops to be domesticated in the Near Easts Fertile Crescent. It played a key role in the development of ancient civilisations.

Wheat is rich in carbohydrates, making it an important energy source. It also contains protein, dietary fibre, and various vitamins and minerals like B vitamins, iron, and magnesium. As a major food crop, wheat is crucial to the global food supply. It is traded internationally and has a significant impact on the worlds economy. The price and availability of wheat can affect food prices and security worldwide.

China, India, and Russia are Leading the Market in Terms of Wheat Production:

The major wheat-producing regions include the European Union, China, India, Russia, and the United States, with the European Union accounting for a fifth of the total global wheat output. Russia, along with the European Union, the United States, Canada, and Australia exports large volumes of the crop to other regions. Russia is the leading exporter of the crop, accounting for nearly 18.5% of the total global exports of the crop. The output level especially in Russia and the European Union is rising owing to consumption growth and low harvest in the United States. The growing end-use sectors in Southeast Asia and potential export growth in Russia are providing a push to production growth and boosting the supply share globally.

The major consuming regions for wheat include the European Union, accounting for nearly 45% of the global consumption. Other major consumers of wheat include China, India, Russia, and the United States. The European Union also imports wheat to meet the regional wheat demand. Egypt, Indonesia, Brazil, and Algeria are among the major importing regions.

The Global Wheat Market size is estimated at USD 52.52 billion in 2025, and is expected to reach USD 65.76 billion by 2030, at a CAGR of 4.6% during the forecast period (2025-2030).

Source: The starch market is likely to witness steady growth in the coming years, which is expected to further propel the demand for wheat. The major wheat starch-producing regions are France, the United States, the Netherlands, the United Kingdom, Australia, Belgium, Canada, China, and Japan.

Global Wheat Market Segmentation:

The market for wheat, based on type, is divided into:

• Whole/Raw

• Flour

• Others

Flour occupies a substantial portion of the wheat market share. As the global population increases, the demand for basic food items like wheat flour typically rises. This is because wheat flour is a staple ingredient in many diets around the world. Changes in dietary trends can significantly impact wheat flour demand. For instance, a rise in the popularity of baking or an increased preference for wheat-based products can drive up demand.

The supply of wheat is heavily dependent on agricultural conditions, such as weather patterns, climate change, and farming practices. A good harvest can lead to increased supply and potentially lower prices, boosting demand. Government decisions regarding agriculture can also increase the overall wheat flour demand.

Global Wheat Market Analysis:

The wheat market is a critical segment of the global agricultural economy, influenced by a range of factors. Wheat is one of the worlds most produced cereals, alongside rice and maize. The top wheat-producing countries typically include China, India, Russia, the United States, and France. These countries production levels significantly influence global supply.

Wheat is a staple food for over a third of the worlds population, making its consumption patterns crucial to global food security. It is primarily used for human consumption, in forms like bread, pasta, noodles, and other processed foods. A smaller proportion is used for animal feed and industrial purposes.

Major exporters of wheat typically include Russia, the United States, Canada, France, and Ukraine. Many countries, especially in the Middle East and Africa, rely heavily on wheat imports to meet their consumption needs.

Source: https://www.expertmarketresearch.com/

The global wheat market is being driven by the demand from the food sector, which is proliferating with increasing disposable income of the population across all regions, especially in developing countries such as India and China. Due to globalization, the prevalence of processed food has increased rapidly, and thus the demand for wheat has increased.

In other Asian countries, especially India, the crop is the main food crop in many areas. The increasing import and export of wheat are accelerating the markets growth. Also, the market is expanding due to government initiatives to boost wheat production to make the country self-reliant and improve food security. Efforts to provide new and improved crop production technologies and distribution of high-yielding varieties/hybrid seeds are expected to drive market growth over the forecast period.

? MUSTARD:

Mustard oil refers to a type of vegetable oil that is naturally extracted from the seeds of black, brown, and white mustard. In India, it is widely available in different forms, including refined mustard oil, Grade I (Kachchi Ghani) mustard oil, and Grade II (non-edible) mustard oil. Some of the key factors driving the demand of mustard oil in India include rising disposable incomes, health benefits, strong demand from both urban and rural regions and diversified applications in both food and non-food applications.

India is among the biggest consumers of mustard oil based on its high consumption in various culinary practices, such as cooking, frying, poaching, dressing, etc. Additionally, the expanding agriculture sector contributes to the increasing availability of high yielding mustard seeds, thereby catalyzing the mustard oil production. Furthermore, the Indian government has launched several initiatives for enhancing the production of oilseeds in the country to reduce imports and achieve selfsufficiency in edible oil production. Moreover, the wide presence of brick-and-mortar retail centers, including convenience stores, grocery stores, supermarkets, hypermarkets, etc., is also propelling the demand for mustard oil in the country. In line with this, the increasing sales of mustard oil over e-commerce platforms supported by several discounted offers, cashback, doorstep delivery options, etc., are also catalyzing the market for mustard oil in India. Moreover, the market is further driven by the growing demand for mustard oil in the personal care sector in India.

The India mustard oil market size is expected to exhibit a growth rate (CAGR) of 4.2% during 2025-2033.

Report Attribute	Key Statistic
Base Year	2024
Forecast Years	2025-2033
Historical Years	2019-2024
Market Growth Rate 2024-2032	4.2%

Mustard oil Market Segment Analysis - By Application:

Based on Application, Mustard Oil Market is segmented in to food, personal care, pharmaceuticals, aromatherapy, and other. Food segment is accounted for the largest revenue market share in 2020. When compared to sunflower and other oils, mustard oil, which is high in alpha-linolenic acid (an important fatty acid that has been demonstrated to decrease cholesterol levels and reduce the risk of heart disease), was associated to a two-fold decreased risk. Moreover, monounsaturated fatty acids, that is found in foods like nuts, seeds, and plant-based oils, are plentiful in mustard oil. Monounsaturated fatty acids have been related to a number of health advantages, including heart health. In fact, research suggests that they may help decrease triglyceride, blood pressure, and blood sugar levels, all of which are heart disease risk factors.. This is majorly attributed to the Mustard oil is used in both cooking and personal care. It is high in Linolic Acid or omega-3 and Alpha Linolenic Acid or omega-6 fatty acids, as well as low in saturated fats. Although the use of pure mustard oil as a vegetable oil is prohibited in the United States, Canada, and Europe, it is frequently used topically as a massage oil, skin serum, and hair treatment. Pure mustard oil is frequently used topically to improve the health of hair and skin. Its also often used to provide oil massages on babies in places like Bangladesh, which is supposed to strengthen the skin barrier.

Mustard oil Market Segment Analysis - By Product Type:

Based on Product Type, Mustard Oil Market is segmented into, White Mustard, Black Mustard and Brown Mustard. Black Mustard Oil segment is accounted for the largest revenue market share in 2020. This is mainly attributed to the rising client demand for the product and its health advantages on the market. As Mustard oil also contains alpha-linolenic acid (ALA), an omega-3 fatty acid that may aid in the reduction of inflammation and discomfort associated with rheumatoid arthritis. Colds, aching knees, muscular (rheumatism), and arthritis are all treated with black mustard oil. White mustard seed is used to season traditional American yellow mustard, but it is also used to treat stomach congestion, joint discomfort, sore throat, and other ailments. Rapeseed oil and Canola oils are frequently mistaken with mustard seed oil (low erucic acid rapeseed oil). Those oils come from the same plant (Brassica napus), however they are not the same. Rapeseed oil is not utilized in cooking oil until Canola Oil was developed.

Mustard oil Market Segment Analysis-Drivers:

Rising Demand for Mustard Oil in Cooking

Owing to the growing consumption of food in Asia-Pacific countries such as India, Thailand, and China, consumer demand for mustard oil is increasing. Mustard oil has long been used as a cooking oil and as a substitute for other seed oils that have better skin advantages. The majority of mustard oil is used for frying, with the remainder being used for pickling and directly on the fruit as raw oil. In rural locations, food is cooked at low temperatures to preserve oil sourness, however in urban areas, pungency is less desirable and food is cooked at higher degrees. The amount of vitamin A produced depends on the length and temperature of the cooking process; lower temperatures and one or n minutes of cooking time produce more vitamin A. Mustard oil is abundant in monounsaturated fatty acids and is therefore highly recommended. Our bodies require oil in a 3:1 ratio, with three parts polyunsaturated and one part saturated fatty acids. Polyunsaturated fatty acids (PUFA) include monounsaturated fatty acids (MUFA). Mustard oil is high in MUFAs, which are important for human health. Because it is high in MUFA, it decreases bad cholesterol in the body, lowering blood fat levels and improving circulation. The usage of mustard oil, which is high in alpha-linolenic acid, was linked to a decreased incidence of IHD (Ischemic Heart Disease) than sunflower oil.

Source: https://www.industryarc.com/Research/

KEY MARKET DRIVERS AND CONSTRAINTS OF MUSTARD:

Owing to the growing consumption of food in Asia-Pacific countries such as India, Thailand, and China, consumer demand for mustard oil is increasing. Mustard oil has long been used as a cooking oil and as a substitute for other seed oils that have better skin advantages. The wide presence of brick-and-mortar retail centers, including convenience stores, grocery stores, supermarkets, hypermarkets, etc., is propelling the demand for mustard oil in the country. In line with this, the increasing sales of mustard oil over e-commerce platforms supported by several discounted offers, cashback, doorstep delivery options, etc., are also catalyzing the market for mustard oil in India. Mustard oil and organic mustard seeds are the current trends that further boost the global mustard market. In addition, having therapeutic benefits, mustard herb & oil has been in rising demand.

However, complying with stringent regulations and varying standards around the world, growing competition, inflation estimated to remain above the upper band during the short term in key nations, and fluctuating raw material prices are some of the Mustard Oil market restraints over the forecast period. Mustard oil is prohibited for human consumption in the European Union, the United States, and Canada, owing to its high erucic acid level.

SOYABEAN:

The global soybean oil market size was valued at 62.29 Million Tons in 2024. Looking forward, IMARC Group estimates the market to reach 72.3 Million Tons by 2033, exhibiting a CAGR of 1.7% during 2025-2033. China currently dominates

the market, holding a significant market share of over 32.0% in 2024. The increasing preference for plant-based and transfat-free oils, rising health consciousness and awareness among the masses and growing product utilization in various industrial applications are strengthening soybean oil market share in the global edible oil industry.

An expansive yet growing Indian populace, a burgeoning middle class, and rising consumption of processed foods have created a demand for soybean oil both home and abroad. According to an industrial report, by August 2023, India had brought in 357,890 tonnes of crude soybean oil, which represented 48 percent of the countrys overall vegetable oil imports. Thus, soybean oil remains the most imported edible oil in India, with Brazil and Argentina as the major suppliers. The demand for soybean oil comes primarily from cooking and food processing and packaged foods. The government supports local oilseed production to lessen import dependence, alongside policies to control oil prices. Healthy oil consumption awareness leads to pressure on the market for new opportunities and innovation.

Key players in the industry are investing in research and development (R&D) activities to improve production processes, develop new product formulations, and enhance the quality and functionality of soybean oil. They are also exploring new extraction techniques, optimizing refining processes, and developing specialty variants of soybean oil to cater to specific customer needs. In line with this, major manufacturers are offering organic or non-genetically modified organism (GMO) variants of soybean oil, introducing specialty blends, and diversifying into value-added products, such as flavored or infused soybean oils. Apart from this, companies are opening soybean oil production facilities across the globe, which is positively influencing the market.

Driving Factors:

• Increasing Utilization in Production of Biofuel to Drive Market Growth

• Expanding Application Scope in Food Sector to Fuel Market Growth RESTRAINING FACTORS:

The market is highly affected by the availability of various other oilseeds that can be used as an alternative or a substitute for soy oil. Palm oil, olive oil, rapeseed oil, sunflower oil, and canola oil are major competitors of this oil. Palm oil is the only vegetable oil in the world that is regularly priced at a discounted price, which significantly hampers the growth of the market. Palm oil has higher saturated fat content than soybean, rapeseed, sunflower, and other oils and tends to be solid at room temperature. Palm oil is preferred for making baked goods with a flaky texture, such as biscuits and pies. Furthermore, the growing awareness regarding nutritional and healthy oils such oliveoil among consumers has considerably affected the utilization of this oil across retail aisles.

Source: https://www.fortunebusinessinsights.com/ and https://www.imarcgroup.com/soybean-oil-processing-plant Indian Market:

The India soybean oil market is expected to exhibit a growth rate (CAGR) of 5.6% during 2023-2028.

Soybean oil refers to a yellowish vegetable oil that is naturally extracted from the seeds of soybean. Soybean oil currently represents the second most consumed edible in India after palm oil. Some of the key factors driving the demand of soybean oil in India includes its large population, rising disposable incomes, growth of the food services sector and increasing demand in non-food applications.

In India, the changing consumer dietary habits are primarily augmenting the demand for soybean oil based on its neutral taste, high smoke point, and low saturated fat content. Moreover, rising consumer health concerns have led to the introduction of healthy product variants for managing heart health and lowering blood cholesterol levels. Additionally, the high penetration of international food trends in India has led to the increasing utilization of soybean oil in preparing condiments, dressings, mayonnaise, non-dairy creamers, margarine, shortenings, whipped toppings, etc. Besides this, the rising consumer sedentary lifestyles and their hectic work schedules are also augmenting the demand for soybean oil in processed food items. Moreover, soybean oil also finds several applications in the personal care industry based on its high content of vitamin E that prevents skin inflammation and helps in retaining skin moisture. Western and Central India currently represent the biggest markets for soybean oil in the country as they also represent the key regions where the domestic soybean crop is grown. Additionally, there is also a strong household demand for soybean oil in Western and Central India.

KEY MARKET DRIVERS AND CONSTRAINTS OF SOYABEAN:

Soyabeans contain hormone-like substances called phyto estrogens which are associated with beneficial health effects. Eating soybean-based food items reduce the risk of health problems, including cardiovascular disease, stroke, coronary heart disease (CHD) and cancer and improves bone health. The rising awareness about all these advantages is encouraging consumers to opt for low-fat, low-cholesterol soybean feeds. In emerging economies like China and India, the government is introducing initiatives to promote soy-based protein consumption among consumers and its importance for healthy body growth.

The important problem faced by soyabean production was severe drought condition or long dry spell during crop season, high cost of chemical fertilizers and plant protection, shattering of pods after maturity, non-availability of credit facility in time, infestation of pests, high labour wages, poor availability of quality seed materials. In soyabean marketing the major constraint was commission agents or merchants take unauthorized deduction in produce, high transportation rate, instability in prices.

BUSINESS MODEL OF THE COMPANY The Company is mainly engaged into:

Manufacturing, trading and import of Edible Oil/ Non-edible oil and Agricultural Products i.e. Soya Oil, Soya Meal, Soya De Oiled Cake, Mustard Oil, Mustard Meal, Mustard De Oiled Cake, Refined Soyabean Oil, Refined Vegetable Oil, Pungent Mustard Oil, Refined Castor Oil First Special Grade (FSG), Castor De- Oiled Cake and High Protein Castor De-Oiled Cake, Cotton Bales, Cotton Cake Cattle Feed, Cotton Wash Oil, processing of wheat and rice. Also, the Company is engaged in Trading including domestic and export of Agricultural Products i.e. Wheat, Rice etc.

The soya & mustard products manufactured by the Company have a wide application in confectionery, baking, pharmaceuticals and cattle feed, poultry, fisheries etc.

The Company has entered into B2C domestic market by launching new products in Edible Oil i.e. Refined Soyabean Oil, Refined Vegetable Oil and Pungent Mustard Oil under the Brand Name "LAGNAM".

For last several years, MGEL has been involved in manufacturing of Edible Oil, Non-Edible Oil and agricultural products such as Soya Oil, Soya Meal, Soya High Protein De Oiled Cake, Mustard Oil, Mustard refined oil, Mustard Meal, Mustard De-Oiled Cake, Refined Soya bean Oil, Pungent Mustard Oil, Refined Castor Oil First Special Grade (FSG), Castor Oil low grade, Castor Oil low moisture grade, Castor De-oiled Cake and High Protein Castor De-Oiled Cake, Cotton Bales, Cotton Cake Cattle Feed, Cotton Wash Oil and processing of wheat and rice.

Company Purchased Plant & Machinery and Buildings from Shree Gurukrupa Oil and Foods ("Partnership Firm") and lands admeasuring 19833 square yards bearing Survey Nos. 186, 188 & 189 (collectively known as "Assets") from the individual land owners at Taluka: Jotana, Mehasana, Gujarat. By Purchasing these Assets viz. land, plant & machinery and building, Company can produce Edible Oil Refinery & Packing Unit with capacity of approx. 200 metric tonne per day and Oil Seed crushing plant with a capacity of 20 metric tonne per day.

Company also operates three plants located at: (i) Unit Bavla, Sanand- Gujarat - Wheat & Rice Processing; (ii) Unit Kapadvanj, Kheda- Gujarat - Castor oil; and (iii) Unit Kapadvanj, Kheda- Gujarat- Cotton Unit.

Company has launched the two new products namely 1) Ayurvedic Classical Medicine has started sales/Marketing & distribution with effect from October 12, 2024 under the Product name "TEJPRAKASH CASTOR OIL".2) Company has entered into Business to Consumer (B to C) segment with launching of 100 ml. Neat Castor Oil Bottles packing for personal care under the name "NEAT CASTOR OIL".

Company has launched 31 Stock Keeping Units (SKU) in addition to the existing Stock Keeping Units in business to Consumer (B to C) segment which will help improve the sales & revenue in future.

The Cold-pressed pharma grade Castor oil will be available to both business-to-business (B2B) and business-to-consumer (B2C) segments. Execution of activities related to project plan are started.

RISK & Its MITIGATION FRAMEWORK

Compliance to growing regulatory norms is a continuing requirement which can lead to delays in obtaining necessary approvals. Changes in guidelines or policies in various geographies may also lead to sudden disruption of business in specified products. Many Agricultural Industries have foreign exchange exposure either in the form of forex loans or exports and imports. For Companies which operate largely in the domestic arena, any major forex movement may affect profitability due to fluctuating import costs.

While on the one side input cost could increase, on the other side weak monsoon could reduce pricing flexibility, thereby affecting margins. To minimize the risk, a comprehensive and integrated risk management framework is followed by the Company.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company maintains an adequate and effective Internal Control System, equivalent with its size and complexity. It believes that these systems provide, among other things, a reasonable assurance that transactions are executed with management authorization. It also ensures that they are recorded in all material respects to permit preparation of financial statements in conformity with established accounting principles, along with the assets of the Company being adequately safeguarded against significant misuse or loss. This is supplemented through an internal audit programme and periodic review by the management and the Audit Committee. In terms of corporate governance, there are various Board and Committees in place, comprising majority of Independent Directors, for monitoring and governance over efficiency and effective internal controls. Details of these Committees are given in the Corporate Governance Report, which forms part of this Annual Report.

ENVIRONMENT SAFETY, HEALTH AND ENERGY CONSERVATION

Safety at work places is of paramount importance to the Company. The aim is to maintain the higher standards of safety across factories and workplaces; and ensure the latest best practices are implemented across the business to bring operational efficiencies and save energy. The Company emphasis on placing safety as a pre-requisite across all its operations.

DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

The Companys financial performance for the year ended March 31, 2024 is summarized below: (Rs in lakhs)

PARTICULARS	STANDALONE-YEAR ENDED		CONSOLIDATED-YEAR ENDED
	31/J3/2025	31/03/2024	31/J3/2025	31/03/2024
I. Revenue from Operations	2,09,253.49	1,66,914.13	2,28,147.62	1,83,880.32
II. Other Income	20,52.89	1,168.28	2,143.66	1,388.69
III. Total Revenue (I+II)	211,306.38	1,68,082.41	2,30,291.28	1,85,269.01
IV. Earnings Before Interest, Taxes, Depreciation and Amortization Expense	6,114.71	4,620.43	65,76.06	4,929.93
V. Finance Cost	2,670.78	2,385.28	2,971.32	2,540.55
VI. Depreciation and Amortization Expense	210.92	279.73	229.38	297.55
VII. Profit Before Tax (IV-V-VI)	3,233.01	1,955.42	3,375.36	2,091.83
VIII. Tax Expense:
a) Current Tax (Adjusted)	2.50	2.48	9.80	8.71
b) Deferred Tax (Asset)/Liabilities	827.08	233.74	826.92	233.74
c) Income Tax (Prior Period)	-2.48	NIL	(2.48)	NIL
Total Tax Expense	827.10	236.22	834.24	242.45
Profit After Tax (VII-VIII)	2,174.93	1,890.66	2,310.13	2,020.84

During the year under review, Revenue from Operations of the Company is Rs. 2,09,253.49 Lakhs as compared to Rs. 1,66,914.13 Lakhs in the previous financial year.

During the year under review, the Company has earned a Profit Before Tax (PBT) of Rs. 3233.01 Lakhs and Profit After Tax (PAT) of Rs. 2174.93 Lakhs as compared to Profit Before Tax (PBT) of Rs. 1955.42 Lakhs and Profit After Tax (PAT) of Rs. 1890.66 Lakhs, respectively, in the previous financial year.

SEGMENT PERFORMANCE

Details of segment performance (geographical wise) of the Company is as under: (Rs. in Lakhs)

Segments Revenue	F.Y. 2024-25	F.Y. 2023-24
Indian Operations	1,97,782.13	1,55,494.00
Foreign Operations	10,187.47	9,350.60

KEY FINANCIAL RATIOS

S. N.	Ratio	Numerator	Denominator	As at 31 March, 2025	As at 31 March, 2024	% change	Reason for Variance
A	Current Ratio (In times)	Current Assets	Current Liabilities	1.50	1.51	(0.66%)	-
B	Debt- Equity Ratio (In times)	Total Debt	Shareholders Equity	0.87	1.20	(27.50%)	Refer (i) below
C	Debt Service Coverage Ratio (In times)	Earnings Available for Debt Service = PAT + Depreciation + Interest	Total Debt Service = Principal Repayments	2.03	1.88	7.98%
D	Return on Equity ratio (in %)	Net Profit After Tax	Average Shareholders Equity	13.19%	15.40%	(14.36%)	-
E	Inventory Turnover Ratio (In times)	Cost of Goods Sold	Average Inventory	19.44	18.61	4.46%	-
F	Trade Receivables turnover ratio (In times)	Revenue from Operations	Average Trade Receivable	11.05	11.13	(0.72%)	-
G	Trade Payables Turnover Ratio (In times)	Purchase	Average Trade Payable	61.11	70.29	(13.06%)	-
H	Net capital turnover Ratio (In times)	Revenue from Operations	Net Working Capital = Current Assets-Current Liabilities	14.96	16.77	(10.79%)	-
I	Net Profit Ratio (in %)	Net Profit	Revenue form Operation	1.04%	1.13%	(7.96%)	-
J	Return on Capital Employed (in %)	Earnings Before Interest and Taxes	Capital Employed = Tangible Net worth + Debt + Lease Liability	15.58%	14.17%	9.95%	-
K	Return on Investment (in %)	Income Generated from Investment Funds	Average Invested funds	0.00%	14.11%	(100.00%)	Refer (ii) below

Reason for Variance

(i) Debt Equity Ratio is improved due to increase in share holders funds.

(ii) Return on Investment Ratio has declined due to no any income generated from investment fund during the year.

The Key Financial Ratios has not witnessed a significant change i.e. a change of 25% or more as compared to Financial Year 2024- 25 except Debt Service Coverage Ratio and Return on Investment.

Explanations related to change of 25% or more as compared to Financial Year 2024-25, in Key Financial Ratios are given as under:

Return on Investment Ratio: The Ratio was declined due to no income generated from investment fund.

Explanations related to change in Return on Networth as compared to Financial Year 2024-25:

Due to swift decision making and utilizing available opportunities in the market, Return on Networth has increased despite capital infusion in the Company by way of Rights Issue. Achieving higher topline and better fund management has helped us to provide better Return on Networth.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS

The Companys relations with the employees continued to be cordial and harmonious. Your Company considers manpower as its assets and understands that people have been driving force for growth and expansion of the Company. The Company acknowledge that its principal assets is its employees. The Company has continued its efforts in building a diverse and inclusive workforce. Mangalam Global Enterprise Limited is committed to provide a robust learning platform and at the same time building the capability of its employees. The Company is into process of continuous improvements based on feedback and inputs from multiple stakeholders, past experiences and industrys best practices (Recruitment and

Selection, Leave & Attendance Management) for giving better employee experiences. The Company believes that the quality of the employees is the key to its success and is committed to equip them with skills, enabling them to seamlessly evolve with ongoing technological advancements.

As on March 31, 2025, there were 68 permanent employees employed by the Company. The Company will continue to create opportunity and ensure recruitment of diverse candidates without compromising on meritocracy.

STAKEHOLDER ENGAGEMENT

The Companys endeavour is to maintain regular engagement with all its stakeholders to ensure that their concerns are addressed and expectations are met. Dynamic processes are in place within the Company to ensure integration of feedback from various stakeholders such as suppliers, customers, employees, and investors on a routine basis. By trusting employees, partnering with suppliers and dealers, and engaging with local communities, we work towards serving and delighting our customers.

CAUTIONARY STATEMENT

Statements in this Management Discussion and Analysis contains "Forward Looking Statements" including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Companys future business developments and economic performance. While these forward-looking statements indicate our assessment and future expectations concerning the development of our business, several risks, uncertainties, and other unknown factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macroeconomic, governmental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance. The Company undertakes no obligation to publicly revise any forward- looking statements to reflect future/ likely events or circumstances.

Registered office:	For and on behalf of Board of Directors
101, Mangalam Corporate House,	Mangalam Global Enterprise Limited
42, Shrimali Society, Netaji Marg,	CIN: L24224GJ2010PLC062434
Mithakhali, Navrangpura,
Ahmedabad- 380 009, Gujarat.
	Chanakya Prakash Mangal
Date: June 23, 2025	Managing Director
Place: Ahmedabad	DIN: 06714256