Servoteach Industries Ltd Management Discussions

Industry Structure and Development

Agribusiness is changing into a modernised, climate-smart and digitalised field. Practitioners need new means of support to adapt to disruptive forces, such as the effects of climate change. At the same time, they need to produce more with less to grow and contribute to food security. Also the jewellery market is anticipated to grow more in the near future. The gold industry is integral to the Indian economy, contributing 1.3% to Indian GDP.

The long-term growth prospects of Industry continue to remain grim. The threats to the Companys products include severe competition both in domestic market through increased Inflation, labour cost, Interest rates, etc.

Risks and Concern

The risk management function is integral to the Company and its objectives include ensuring that critical risk is identified continuously, monitored, and managed effectively in order to protect the companys business. Top management of the company is well acquainted with risk inherent to the business and strategic decision taken by the Board.

Directors and officers liability are risks arising out of their commitment, statement and decision, which may result in legal liability.

The Company has a proper adequate internal control system to ensure that all the assets are safe guarded and protected against the loss from unauthorized used or disposition and that transactions are authorized, recorded and reported correctly.

The internal control is supplemented by an extensive internal audit, periodical review by the management and documented policies, guidelines and procedures. The internal control is designed to ensure that the financial and other records are reliable for preparing financial statements and other data and for maintaining accountability of assets.

Your company is committed to offer the most competitive price with the overall parameters set by the general market conditions. Your director perceives that the business of the company stands on a normal ground & hope to improve in the coming years.

The Company continues to lay emphasis on developing and facilitating optimum human performance. Performance management was the key word for the Company this year. Recruitment process has been strengthened to ensure higher competence levels.