Orissa Bengal Carrier Ltd Management Discussions.

Industry Structure and Developments:


Global Logistics Industry includes all activities of the supply chain such as transportation, customer service, inventory management, flow of information and order processing. Other activities of the supply chain are warehousing, material handling, purchasing, packaging, information dissemination and maintenance among others. The logistics market in terms of revenue was valued at US$ 8185.46 billion in 2015 and is expected to reach US$15522.02 billion by 2023, growing at a CAGR of 7.5% from 2015 to 2024.The market in terms of volume was valued at 54.69 billion tons in 2015 and is expected to reach 92.10 billion tons by 2024 growing at a CAGR of 6% from 2016 to 2024. Source https://lsc-


Impact of Covid-19 on Logistics:

Supply chain disruptions have become a major challenge for the global economy since the start of the pandemic. Shutdowns of factories in China in early 2020, lockdowns in several countries across the world, labor shortages, robust demand for tradable goods, disruptions to logistics networks, and capacity constraints have resulted in big increases in freight costs and delivery times.

Chart here shows suppliers’ delivery times in the United States and the European Union have hit record highs since late 2020 (the data goes back to 2007). IHS Markit’s suppliers’ delivery times index is constructed from Purchasing Managers Index business surveys and reflects the extent of supply chain delays. To calculate the index, purchasing managers are asked if their suppliers’ delivery times are, on average, slower, faster, or unchanged compared to the previous month.

Readings above 50 indicate faster delivery times, readings at 50 signal no change, and readings below 50 indicate slower delivery times compared with those of the prior month.

The recent sharp drop in the delivery times index reflects surging demand, widespread supply constraints, or a combination of both. During such times, suppliers usually have greater pricing power, causing a rise in prices. Moreover, these supply chain delays can reduce the availability of intermediate goods which, combined with labor shortages, can slow down production and output growth.


India is worlds fifth largest economy by nominal GDP and is one of the fastest- growing economies globally. Efficient logistics is the bed rock for a growing economy like India. The reduction in logistics cost could be a key enabler in enhancing the competitiveness of all sectors of the economy. Improving supply chain efficiencies and reducing logistics costs are fundamental to India capitalizing on this strategic shift and meeting the well-defined aspiration to become a USD 5 trillion economy as set by the Hon’ble Prime Minister.

Indias logistics cost is estimated to be about 14 percent of its GDP. For most of the developing countries the cost is in the same range. However, the logistics cost is considerably low for developed countries and it lies within the range of 8-10 percent.

As India march on the economic development path, it needs to focus on addressing issues inhibiting reduction in logistics cost including sub optimal modal mix, fragmented regulatory/Institutional regime, warehousing and packaging losses, shortage of skilled manpower, sub optimal fleet size and lack of inter-modal terminals.

Improvement in Logistics is the cornerstone of the Government’s push towards achieving Aatmanirbhar Bharat. Various initiatives are being taken by the Central and State/UT governments to improve logistics ecosystem across the Country. Infrastructure development initiatives like Sagarmala, Bharatmala, Dedicated Freight Corridors (DFCs) amongst others are under different stages of implementation. Besides, regulatory and process related reforms like paperless EXIM trade process through E- Sanchit, faceless assessment through Turant Customs and introduction of mandatory electronic toll collection system (FASTag) have contributed to increasing the efficiency of the logistics sector.

It has been felt necessary to develop a comprehensive plan to integrate all the existing and proposed development initiatives by way of a National Master Plan wherein various economic zones will be the fulcrum of economic development interconnected with a network of multimodal connectivity infrastructure up to the last mile. With this vision, Hon’ble Prime Minister in his Independence Day speech highlighted that the Government has been targeting an investment of more than INR 100 Lakh Crore on infrastructure over the next five years through ‘Gati-Shakti’ program.

Given our federal structure, Centre and States have to play a complimentary role in integrated development of the logistics ecosystem. States have an essential role to play in bringing down overall logistics costs by having an enabling policy, regulatory and institutional mechanism in place for the logistics sector. Moreover, States can gain advantage by undertaking measures to increase logistics efficiency and making the States’ industry products more competitive globally, increasing its share in India’s trade basket. Source: https://commerce.gov.in/wp-content/uploads/2021/11/LEADS-2021-Report_Final.pdf

Initiatives Undertaken by Chhattisgarh Government

Chhattisgarh is ranked 11th in 2021 index compared to 14th in 2019 index i.e., an increase of three places. The State has formulated a dedicated logistics park policy along with Chhattisgarh Industrial Policy 2019-2024 for facilitating logistics infrastructure in the State. The policy includes various incentives for setting up logistics hubs, warehouse and cold storage facilities thereby encouraging logistics infrastructure development in the State. Reasonableness of Road Freight Rates and Prices of Terminal Services are low-scoring aspects of the State’s performance. Industry interactions have highlighted the presence of trucking unions and rail connectivity issues as key challenges faced by the trade.

A few positive initiatives taken by the State include providing regulatory clearances under single window mechanism and presence of a grievances redressal mechanism for the sector.

State policy for logistics:

The logistics sector in the State is facilitated by Chhattisgarh Logistics Park Policy 2018-2023

Institutional mechanism for logistics implementation:

The State has initiated the institutional setup for logistics by appointing a nodal officer for logistics.

Investment in logistic infrastructure -facilitation and incentivization:

Chhattisgarh Logistics Park Policy 2018-2023 provides the enabling policy and regulatory facilitation for the development of logistics in the State. The policy grants special financial assistance for setting up logistics parks.


Unified Logistics Interface Platform (ULIP)

Logistics has been given special focus in the last few years, and many measures in terms of hard and soft infrastructure have been taken to improve the logistics scenario of India. However, an integrated view of the Indian logistics value chain is necessary and a unified system by the interconnection of the IT systems of various union ministries, state departments, governing bodies, and private service providers is required.

Additionally, for stakeholders to receive logistics-related services, visibility, authorizations, and certifications of the cargo seamlessly, all IT systems need to be interconnected. Unified Logistics Interface Platform (ULIP) is designed to enhance efficiency and reduce the cost of logistics in India by creating a transparent, one window platform that can provide real-time information to all stakeholders. It was also emphasized that the solution should have the visibility of multi-modal transport, and all the existing systems of various ministries, governing bodies, and private stakeholders should be integrated with the ULIP system.

There are three key components which are defining the ULIP platform:

(1) Integration with existing data sources of ministries:

As authorization, compliance and clearance are some of the critical activities of Logistics; the integration with data points of ministries shall enable a holistic view and interlink the handshaking points.

(2) Data exchange with private players:

To enable the private players, logistics service providers, and industries to utilize the data available with ULIP and at the same time share their data (transportation, dispatch, delivery, etc.) with ULIP, thereby streamlining the processes to bring better efficiency through data exchange.

(3) Unified document reference in the supply chain:

To enable a single digitized document reference number for all the documentation processes in a single platform.



Our Company was originally incorporated on October 18,1994 as Orissa Bengal Carrier Private Limited under the provisions of Companies Act, 1956 with Registrar of Companies, Madhya Pradesh, Gwalior. Our Company was converted into a Public Limited Company on November 05, 2009 and the name of our Company was changed to "Orissa Bengal Carrier Limited" vide a fresh Certificate of Incorporation dated December 09, 2009, issued by the Registrar of Companies, Madhya Pradesh and Chhattisgarh, Raipur. The Company listed its Equity Shares on SME Platform of BSE Limited in the year 2018. The Company received its Listing Approval on April 04, 2018. Further the Company has migrated the Listing/Trading of Equity Shares of the Company from SME Platform of BSE Limited to Main Board of BSE Limited and National Stock Exchange of India Limited (NSE) with effect from April 07, 2022. Our Company is engaged in Transportation & Logistics Business and has completed more than 25 years since incorporation.

We are one of the largest logistics Company headquartered at Raipur, Chhattisgarh, serving a broad range of industries, including the steel, coal, aluminum, cement, petrochemicals, paper, marble, tiles, infra, textile, FMCG.

The various types of services provided by us include: Full Truck Load Transport Services, Parcel and Part Truck Load Services/ less than Truck Load (LTL). The main business activity of our Company is Full Truck Load Transport service wherein we do transport the consignment by road all over India.

We are one of the IBA approved transporter having ISO 9001:2015 certification for provision of Quality Management System Service. Our registered office is located at Jiwan Bima Marg, Pandri, Raipur, Chhattisgarh, India. Pin code - 492001. Our Corporate Office situated at A1, 3rd Floor C.G. Elite complex, Opposite Mandi Gate, Vidhan Sabha Road, Pandri, Raipur- 492001.

Our Promoter, Late Mr. Ratan Kumar Agrawal had always played a crucial role in the Administration & Fleet Management of our Company and operated from our Head office. He had experience of around 25 years in transport and logistics industry. He had been Director of our Company since incorporation. Our Company is also promoted by Mrs. Shakuntala Devi Agrawal, wife of Late Mr. Ratan Kumar Agrawal. She joined our Company since incorporation. Later on Mr. Manoj Kumar Agrawal joined our Company.

He has an experience of more than 22 years in transport and logistics industry. He has been instrumental in the growth and strategy of our business. He currently looks after the operation of Western Region of India from our office at Nagpur. He is an expert in human resources and human relations. He has been on the board since April 7, 1997. Recently Mr. Ravi Agrawal also joined the Company as a Wholetime Director and is now the Managing Director of the Company. He is a Master in International Business and a commerce graduate Candidate and having more than 12 years experience in the field of Accounts, Finance & Marketing.

We also provide services by vehicles hired by us to provide timely and quality services to our clients. The variety of goods transportation vehicles in our fleet and vehicles hired by us also enables us to serve a diverse mix of consignments. Our management believes that the operations with market fleet are more covenants to operate which improve the efficiency and also reduces the operational cost of the Company.

We believe that our management team’s experience and their understanding of our business and industry will enable us to continue to take advantage of both current and future market opportunities. Our experience together with our consistent and successful track record of timely delivery and customer satisfaction provides us a competitive edge.


Branch Distribution Network

Our Distribution Network having Forty branches spread in various parts of India and providing services across all cities of India. It enables us to cater to a diverse mix of customers including corporate, small and other enterprises, distributors and traders. Our Registered Office is located in Raipur, Chhattisgarh. Our large geographic coverage and operational network enable us to further integrate our operations, increase cost efficiencies and increase freight volumes.

Registered Office: We have our own premises for our registered Office located at Jiwan Bima Marg, Pandri, Raipur- 492001, Chhattisgarh, India.

Corporate Office: Our Corporate Office is functioning from our premises located at A- 1, 3rd Floor, C.G. Elite Building, Pandri, Raipur - 492001, Chhattisgarh, India.

Our Business Model

Our Company is maintaining its own fleet containing 117 commercial vehicles which includes trucks and trailers. In addition to this we hire around 5000 vehicles from local market in the area from where service is to be provided which ensures timely arrangement of vehicle at our customer place. The specification of vehicle depends on the type of service required by our customer. Therefore, the mix of our own fleet and vehicle hired by us for providing transportation services enables us to provide effective and exceptional services to our customer. The fleet operates across the country ensuring nation-wide services to our corporate and government customers.

Our truck load delivery services operate through a hub-and-spoke model which enables us to transport goods and provide our customers access to multiple destinations for booking and delivery of goods.

Our routes of operation for the transportation of goods connect various regions in India i.e. western and eastern regions and also southern and northern parts of India. We believe that our differentiated service offerings, large integrated hub-and-spoke transportation network, commitment towards prompt and safe delivery of the goods and time bound services will enable us to develop our brand across India.

We work with clients to develop logistics solutions that meet their requirements. For transportation services, we typically enter into time bound service contracts with our clients, which are renewed on regular basis as and when required. We offer flexibility in our contracts as our transportation contracts are usually customized according to certain terms, which may vary depending on whether we quote our prices on the basis of per truck (dedicated vehicles), per trip, per tonne, per tonne-per kilometer, per kilogram, overall project-based

(optimization based, or cost savings based), cost-plus management fees or per unit transported, among others.


The goods transportation industry is unorganized, competitive and highly fragmented in India. We believe that the principal competitive factors include service quality, reliability, price and the availability and configuration of vehicles that are able to comprehensively address varying requirements of different customer segments and specific customer needs. Being IBA Approved, we get an edge over other unorganized and Non IBA Approved transporters. We believe that our ability to compete effectively is primarily dependent on ensuring consistent service quality and timely services at competitive prices, thereby strengthening our brand over the years.

In the goods transportation industry, we compete with a variety of local, regional, and national goods transportation service providers of varying sizes and operations and, to a lesser extent, with railroads carriers

Business Opportunities & Strength:

Pan-India surface logistics services provider

We are a pan-India surface logistics service provider and we believe that we are one of the reliable transporters in and across India. We are an established entity in the transportation industry in India with over 25 years of operations. We believe that our dedication towards quality, reliability and timeliness of services offered compete effectively with our competitors in the organized as well as unorganized sector, thereby strengthening our name over the years.

Experienced and motivated management team

Our Promoters are engaged in the business of Transport and Logistics for more than 25 years which gives us the advantage of developing our presence, relationship with our customers, and cordial relationship with our drivers and other employees. We also have a dedicated and experienced management team who are in charge of operation, quality management and delivery to each of our customers and functions well as a team along with the expertise and vision to expand our business. We believe that our management team’s experience and their understanding of our business and industry will enable us to continue to take advantage of both current and future market opportunities.

Our experience together with our consistent and successful track record of timely delivery and customer satisfaction provides us a competitive edge. For details regarding the education and experience of our promoters please refer to title "Core Team" forming part of this Annual Report.

Diversified Customer Base

We serve customers across several industry sectors viz. Metal, Steel, coal, aluminum, cement, petrochemicals, paper, marble, tiles, infra, textile, FMCG etc.

Established Marketing Setup

Marketing is an important function of our organization. We provide our service throughout India, based on strength of relationship with our customers who have been associated with our Company for a long period. Our promoters along with the marketing team plays an important role for timely and quality delivery of services. To retain our customers, our marketing team regularly interact with them and focus on gaining an insight into the services and other additional needs of such customers.

Quality of Services

We adhere to quality standards as per industry standards; hence we get repetitive work order from our customers, as we believe we are capable of meeting their quality standards at competitive costs, which enables us to maintain our brand image in the market.

Strategic location

We are headquartered in Chhattisgarh which contributes approximately 30.00% to India’s steel/sponge iron production, 15.00% cement in India’s production, so there are large number of steel and cement industry in our belt providing us a benefit to easily cater them the services they need to transport goods to other required location.



Augment our fund-based capacities in order to scale up business operation

Our business operations are working capital intensive. In order to effectively expand our business arenas/ services and also diversify the operating routes in various geographical locations, along with the existing facilities we need to have access tc a larger amount of liquid funds and sufficient working capital.

We expect to increase our volumes, revenues and scale of operations and we will require substantial working capital for the same. It is hence our strategy to raise funds from this issue and augment our fund based working capital capabilities.

Increase our goods transportation network

We continue to expand our pan-India presence for our goods transportation business. We intend to add a significant number of goods transportation network in northern, central and eastern regions of India as well as increase the depth of our existing network.

Threats & Risks:

? Changes in Government or Regulatory Policies.

? Changes in Economic Growth.

? Changes in Physical Infrastructure.

? Changing laws, rules and regulations and legal uncertainties.

? Probability of downgrading of India’s debt rating.

Risks and concerns :

> Our performance is linked to the stability of policies and the political situation in India.

The Central and State Governments serve multiple roles in the Indian economy, including as producers, consumers and regulators, which have significant influence on the logistics industry and us. The Government of India has traditionally exercised, and continues to exercise, a significant influence over many aspects of the economy. Our business, and the market price and liquidity of our Equity Shares, may be affected by interest rates, changes in government policy, taxation, social and civil unrest and other political, economic or other developments in or affecting India. Since 1991, successive Indian governments have pursued policies of economic liberalization and financial sector reforms. The current Government has announced its general intention to continue India’s current economic and financial sector liberalization and deregulation policies. However, there can be no assurance that such policies will be continued and a significant change in the government’s policies in the future could affect business and economic conditions in India and could also adversely affect our business, prospects, financial condition and results of operations.

Any political instability in India may adversely affect the Indian securities markets in general, which could also adversely affect the trading price of our Equity Shares. Any political instability could delay the reform of the Indian economy and could have a material adverse effect on the market for our Equity Shares. There can be no assurance to the investors that these liberalization policies will continue under the newly elected Government. Protests against privatization could slow down the pace of liberalization and deregulation.

> Our business is dependent on the Economic Growth in India.

The development of the logistics industry is parallel to the economic growth of the country as it comprises of inbound as well as outbound movement of the agricultural, manufacturing and service supply chains. Our performance is thus dependent on the health of the overall Indian economy. India’s economic growth is affected by various factors including domestic consumption and savings, balance of trade movements primarily resulting from export demand and movements in key imports, such as oil and oil products, and annual rainfall, which affect agricultural production. In the past, economic slowdowns have harmed industries and industrial development in the country. Any future slow down in the Indian economy could harm our business, financial condition and results of operations.

> The operations and performance of our Industry and Company are heavily dependent on the physical infrastructure. Any deterioration in the quality of the same could adversely affect our results of operations and financial condition.

The quality of the operations of our Company are linked to the India‘s physical infrastructure, i.e. road, rail and port network, electricity grid and communication systems. Any deterioration of India’s physical infrastructure would harm the national economy, disrupt the transportation of goods and supplies, and add costs to doing business in India. These problems could interrupt our business operations, which could have an adverse effect on our results of operations and financial condition.

> Factors like civil unrest, terrorist attacks, communal disturbance or natural calamities can affect our business performance and financial condition and would affect the price of our equity share.

Factors like civil unrest, terrorist attacks, communal disturbance or natural calamities can effect/prevent us from timely delivery of our consignments and discharging our obligations towards the contracts entered with our customers, thereby affecting our business performance and financial condition and profitability. Although we control the damage by entering into Force Majeure clause in the contracts with some of our customers, the risk of loss of revenue due to these external factors is there.

> Factors like war at international borders, civil unrest, terrorist attacks or communal disturbance could adversely affect the financial markets domestically as well as globally, affecting the price of our equity share.

Any major hostilities at international borders involving India or other prominent world countries, or other act of violence, including civil unrest or similar events that are beyond our control, could have a material adverse effect on India’s economy and national as well as international equity markets. These may induce high volatility on share prices and could adversely impact the price of our equity share.

> Changing laws, rules and regulations and legal uncertainties, including adverse application of corporate and tax laws, may adversely affect our business, financial condition, results of operations and prospects.

Our Company is subject to various regulations and policies. The Government of India or state governments may introduce new laws, regulations and policies applicable to us, our business and industry. These may require us to obtain additional approvals and licenses or impose onerous requirements on our business. These changes may be unfavorable to us and may have negative impact on our business and financial performance.

The Government of India has enacted the Central Goods and Services Tax Act, 2017 to lay a framework for a comprehensive national goods and services tax ("GST") regime that has combined taxes and levies by the Central and State Governments into a unified rate structure. The said legislation was notified and made effective from July 1, 2017. As per the Reverse Charge Mechanism for GST supply of GTA Services would be covered under 100% Reverse Charge Mechanism for Entity holding the GST Registration Certificate and the entity availing this service has to pay the GST on the service. We cannot assure you that our cash flows and results of operations will not be affected by the new tax regime.

The impact of any future changes to Indian legislation on our business cannot be fully determined at this time. Additionally, our business and financial performance could be adversely affected by unfavorable changes in or interpretations of existing, or the promulgation of new laws, rules taxation policies and regulations applicable to us and our business. Such unfavorable changes could decrease demand for our services and products, increase costs and/or subject us to additional liabilities. Any such changes could have an adverse effect on our business and financial results.

> The transition to IndAS and the ICDS in India is very recent. Although we have transitioned to IndAS, there is insufficient clarity on the impact of such transition on our Company in future financial periods.

The transition to IndAS from GAAP and IFRS in India is very recent. There is not yet a significant body of established practice such as interpretations of the new accounting standards on which to draw in forming judgments regarding the new system’s implementation and application. As a result, although we have transitioned to IndAS, there is insufficient clarity on the impact that such transition will have on us and our financial reporting policies and practices. We cannot assure you that there will not be further changes in the manner in which we apply our accounting policies or in the preparation and presentation of our financial statements in the future. Moreover, there is increasing competition for the small number of IndAS experienced accounting personnel available as more Indian companies begin to prepare IndAS financial statements. We may encounter further difficulties in the ongoing process of implementing and enhancing our management information systems under Ind AS reporting.

> Any probable downgrading of India’s debt rating by a domestic or international rating agency could adversely affect our Company’s share price.

Any probable adverse revisions to Indias credit ratings for domestic and international debt by domestic or international rating agencies may adversely affect the Indian Economy and could have a material adverse impact on the Indian securities market including our Equity Shares.

> Foreign investors are subject to foreign investment restrictions under Indian law that limits our ability to attract foreign investors, which may adversely impact the market price of the Equity Shares.

Under the foreign exchange regulations currently in force in India, transfers of shares between non-residents and residents are freely permitted (subject to certain exceptions) if they comply with the pricing guidelines and reporting requirements specified by the RBI. If the transfer of shares, which are sought to be transferred, is not in compliance with such pricing guidelines or reporting requirements or fall under any of the exceptions referred to above, then the prior approval of the RBI will be required. Additionally, shareholders who seek to convert the Rupee proceeds from a sale of shares in India into foreign currency and repatriate that foreign currency from India will require no objection/tax clearance certificate from the income tax authority. There can be no assurance that any approval required from the RBI or any other government agency can be obtained on any particular terms or at all.

Internal Control Systems and their adequacy:

There is an adequate internal control procedures commensurate with the size of the Company and nature of the business for inventory, fixed assets and for the sale of goods or services. The Company has implemented proper and adequate systems of internal control to ensure that all assets are safeguarded and protected against loss from any authorized use or disposition and all transactions are authorized, recorded and reported correctly. The system ensures appropriate information flow to facilitate effective monitoring. The internal audit system also ensures formation and implementation of corporate policies for financial, reporting, accounting and information security.

The Company has constituted Audit Committee to overlook the internal control systems and their adequacy. Audit Committee regularly reviews and gives recommendations on proper and adequate internal control systems.

The Company has adopted the policy of One Company One Software and to comply that New software namely "lozics" has been instantly purchased by the Company for more security of the Company’s financial transactions. Some of the Key features of the software is that Except the authorized person, no one can alter any entry/ amount once it is inserted in the software. Further the process of verifying and scrutiny will be hassle free. Employees are being regularly trained on the functioning of the new software. Further, this software is already being used by more than 100 Companies having similar logistics business.

Financial performance with respect to operational performance:

During the Year under review, your Company has recorded Revenue from Operation of Rs. 30,644.66 Lacs and Net Profit after Tax of Rs. 783.59 Lacs as compared to previous year of Rs. 33992.94 Lacs and Rs. 584.34 Lacs respectively. The percentage of profit before tax on the basis of revenue from operations for the year 2021-22 is 3.50 as compared to the last year 2.32 which highlights the intention and focus of the Company on maximization of profit.

Keeping in mind the situation of Covid-19 pandemic and disturbed transport industry, the Company is looking forward to get itself registered with some untouched sectors of transport industry in order to get the transport opportunities to improve its revenue. Further the Company is under the development of software intending to make an online platform to get more than 10,000 commercial transport vehicles to get itself registered with the Company which will result into the boost in the operations of the Company and to be more competent in the transport industry.

Your directors are in the view that the Company has signaled good business after lockdown in the transport industry in the long run and look forward to access the path of success in succeeding financial years and are hopeful for the bright future prospects. It is also assured that the Management will leave no efforts untouched to increase the profitability in the forth coming years also.

Events occurring after the balance sheet date.

There are no transactions of material nature that have occurred after March 31, 2022, which could have any impact on the financial performance of the Company for the FY 2021-22.

Our Employees

We believe that a motivated and empowered employee base is key to our operations and business strategy, and have developed a large pool of skilled and experienced personnel. As of March 31, 2022, we have 182 employees, who are based at different locations across the Country. Our administrative employees play an important role in our centralized support services such as load planning, accounting, information technology, marketing and human resource functions. We have developed a decentralized senior management structure in order to ensure timely decision making which is key to our operations. The recruitment, training and retention of qualified drivers are essential to our growth and to meet the service requirements of our customers.

We also provide our drivers with comfortable equipment, effective training, direct communication channels with senior management, competitive incentives based on distance travelled, fuel efficiencies and timely delivery and / or route schedules. Drivers also receive awards for providing superior service and developing satisfactory safety records.

Financial Ratios and Change in Return on Net Worth:

During the FY 2021-22, there were no significant changes (i.e. change of 25% or more as compared to the immediately previous financial year) in key financial ratios or change in Return on Net Worth as compared to the immediately previous financial year of the Company.

Cautionary Statements:

All statements made in Management and Discussion Analysis has been made in good faith. Many unforeseen factors may come into play and affect the actual results, which may be different from what the management envisages in terms of performance and outlook. Factors such as economic conditions affecting demand/supply and priced conditions in domestic markets in which the Company operates, and changes in government regulations, tax laws, other statutes and other incidental factors, may affect the final results and performance of the Company.