tricom fruit products ltd share price Management discussions

Industry structure and developments

The Company operates primarily in the leading exporter of processed fruits in the form of puree, puree concentrate and frozen clear juice concentrate. Presently there is no production in the factory due to discontinued operation.

Opportunities and Threats

Agricultural Sector is a backbone of Indias economy. It provides major employment opportunities to the rural population and consequently it provides a large domestic market for manufactured goods. However Stockpiling canned and frozen fruit and vegetables Supply chain issue, labour force shortage are threat to the Agro industries.

Segment-wise or product-wise performance

As there is no production in the factory due to discontinued operation there is no discussion on segment wise or product wise performance.

Outlook

Edelweiss Asset Reconstruction Company Limited {(EARC) who is in the possession of all the Assets of the Company has sold the Assets. During the year under review Company has applied with NCLT Mumbai voluntarily for Corporate Insolvency Resolution Process.

Risks and concerns

The company has laid down a well-defined risk management mechanism covering the risk mapping and trend analysis, risk exposure, potential impact and risk mitigation process. A detailed exercise is being carried out to identify, evaluate, manage and monitor and non-business risks. The Audit Committee and the Board periodically review the risks and suggest steps to be taken to manage/ mitigate the same through a properly defined framework. During the year, a risk analysis and assessment was conducted and no major risks were noticed, which may threaten the existence of the company. Due to discontinued operation company is facing cash crunch difficulties in the company.

Internal control systems and their adequacy

The Company has put in place an adequate system of internal controls commensurate with the size and nature of operations to ensure that the transactions are properly recorded, authorized and the assets are continuously monitored and safeguarded. The internal control system is backed up by well documented policies, guidelines and procedures. The adequacy and effectiveness of the Internal Control Department is reviewed by the Audit Committee of the Board which recommends control measures from time to time.

Discussion on financial performance with respect to operational performance

The financial statements have been prepared in compliance with the requirement of the Companies Act, 2013 and Indian Accounting Standards in India. During the year under review, your company reported loss during the year.

Material developments in Human Resources / Industrial Relations front, including number of people employed. As operation of company is closed for last few years due to possession of assets taken over by Edelweiss Assets Reconstruction Company and it is sold by it in May 2021, there is no material development in number of employees of the company as compared to previous year.

Details of significant changes (i.e. change of 25% or more as compared to the immediately previous financial year) in key financial ratios - Nil

Details of any change in Return on Net Worth as compared to the immediately previous financial year- There was no revenue in current year as well as last year.

Property, plant and equipment of the Company has been sold by Edelweiss Asset Reconstruction Company. As there are no assets available in the Company.