Mayur Floorings Ltd Management Discussions

Factors effecting demand and supply of mineral processing and stone industry:

As the members are already aware of, the company has discontinued its old Granite and Marble processing business due the lack of demand, falling prices and increasing cost of production day by day. Thereafter the company has shifted its product dynamics from Granite and marble processing to mineral based industries by installing mineral processing machines. Now the entire revenue will come from mineral processing unit except sale of closing stock. During the year the company has recorded reasonable demand. Demand of material is directly related with the sales of such products where mineral powers are used as a raw material. Our products are mainly used in paint, soap, steel, varnish and other related industry. The company remained more or less immune from COVID-19 except last 10 days lockdown of March 2020. Due to COVID- 19 the soap industry has experienced the reasonable demand to offset the lower demand from other industries. The exaggerated short demand from soap industry is now cool down and back to pre COVID-19 level. But the excess or extra exaggerated demand could not be capitalized due to supply chain effect. Supply of raw material is also affected. Thereafter for the first quarter normal operations of the company were affected to manpower issues. Company is still facing manpower issues. Now, the company is experiencing improvement, but things are not normal till the moment. In line with COVID-19 scenario and expectations the future demand and supply at moment is not predictable. Supply of manpower is an issue at moment and it is now linked with the COVID-19. The manpower supply, demand, supply of raw material, power supply and other production and sales related items is not predictable. Sometime the unit is getting excess of manpower and some time the unit is running short of manpower. In light of above mentioned uncertain business scenario, the company is not planning anything beyond its normal and routine business activity. At moment the company is concentrating and focusing to keep its existing business activity so as to pass through from present and uncertain business cycle.