To,The Members of GALAXY AGRICO EXPORTS LTD.,
 
 The Directors have pleasure in presenting the Eighteenth Annual Report
 along with the Audited Accounts of your company for the Financial Year
 ended on 31st March, 2012.
 
                                                      [Rs. In Lakhs]
 
 FINANCIAL RESULTS                               2011-12       2010-11 
 
 Revenue From Operations (Net)                   584.61        464.82
 
 Other Income                                     19.87         17.01
 
 Total Income                                    604.48        481.83
 
 Profit Before Finance Costs and Depreciation     92.97         74.53
 
 Less : Finance Costs                             32.86         15.48
 
 Depreciation                                     36.80         34.36
 
 Profit Before Tax [PBT]                          23.31         24.69
 
 Less : Provision for Tax:
 
 Net Current Tax                                   0.19          4.60
 
 Deferred Tax                                     10.38         12.72
 
 Short provision for tax of previous year          0.02           --
 
 Profit After Tax [PAT]                           12.73          7.37
 
 Add : Profit brought forward from previous years193.27        185.90
 
 Surplus Carried Forward                         206.00        193.27
 
 DIVIDEND:
 
 Your directors do not recommend any dividend for the F.Y. 2011-12.
 
 OPERATIONS:
 
 The Company recorded a total income of Rs.604.48 Lakhs as compared to
 Rs.481.83 Lakhs in the previous year, thus showing an increase of 25%. It
 made Profit after tax of Rs. 12.73 Lakhs as compared to Rs.7.37 Lakhs in
 the previous year.
 
 The company continues to focus on manufacturing of forged rings and has
 sold off major portion of its Plant and Machinery pertaining to
 manufacturing of Agricultural implements. The company is in the process
 of expanding its capacities in the manufacturing of forged rings which
 would be completed in the upcoming financial year.
 
 DIRECTORS:
 
 Shri Ajay R. Patel and Shri Manoj H. Shah retire by rotation and being
 eligible, offer themselves for re- appointment.
 
 Shri Jayantibhai Patel is re-appointed as a Managing Director w.e.f
 01st April 2012 in Extra Ordinary General Meeting held on 31st March
 2012.
 
 DIRECTORS'' RESPONSIBILITY STATEMENT:
 
 In compliance of Section 217 (2AA) of the Companies Act, 1956 as
 amended by the Companies (Amendment) Act, 2000, the directors of your
 company confirm that:
 
 the Annual Accounts for the year ended 31st March 2012 have been
 prepared in accordance with the Revised Schedule VI applicable to the
 Company with all the applicable Accounting Standards;
 
 such Accounting Policies have been selected and applied consistently
 supported by management judgments and estimates, that are reasonable
 and prudent, so as to give a true and fair view of the state of affairs
 of the Company at the end of the financial year and of the Profit of
 the Company for that period;
 
 proper and sufficient care had been taken for the maintenance of
 adequate Accounting Records, in accordance with the provisions of this
 Act for safeguarding the assets of the Company and for preventing and
 detecting fraud and other irregularities;
 
 the Accounts for the year ended 31st March 2012 have been prepared on a
 going concern basis;
 
 CORPORATE GOVERNANCE:
 
 The Company has been pro-active in following the principles and
 practices of good Corporate Governance. The Company has taken adequate
 steps to ensure that the conditions of Corporate Governance as
 stipulated in Clause 49 of the Listing Agreements with the Stock
 Exchanges are complied within letter and spirit. A certificate
 regarding compliance of conditions of corporate governance is appended
 to this report.
 
 AUDIT COMMITTEE:
 
 Pursuant to the provisions of Section 292A of the Companies Act, 1956
 and Clause 49 of the Listing Agreement the Audit Committee comprises of
 the following Directors:
 
 Mr. Bharat T. Shah Mr. Ajay R. Patel Mr. Manoj H. Shah
 
 The Audit Committee of the Board of Directors reviews, acts and reports
 to the Board with respect to various auditing and accounting matters.
 
 AUDITORS:
 
 ARUN M. KOTHARI, auditor of the Company will retire at the ensuing
 Annual General Meeting and is eligible for re-appointment for F.Y.
 2012-13. ARUN M. KOTHARI has indicated his willingness to act as such
 and has confirmed that his re-appointment, if made, would be within the
 limits specified under Section 224(1-B) of the Companies Act, 1956.
 
 B.  Consumption per unit of Production:
 
 Your company manufactures variety of products. The products, before
 reaching the finishing stage, passes through various operations. It is,
 therefore, not feasible to furnish the information in respect of
 consumption of power and fuel per unit of production.
 
 ENVIRONMENT:
 
 Your company has taken due care not to disturb the ecological balance
 of the region. The company has also planted number of trees in the
 surrounding area to keep the environment pollution free.
 
 PARTICULARS OF EMPLOYEES:
 
 There are no employees whose details are required to be mentioned as
 per Section 217(2A) of the Companies Act, 1956.
 
 ACKNOWLEDGEMENT:
 
 Your directors wish to express their appreciation to all the employees
 of the Company for their excellent support and co-operation in
 achieving the Organizational Goals during the period under review. The
 Board wishes to thank the Government, Company''s Bankers and all other
 Institutions connected with the company who have extended their support
 to the company during its operations.
 
 For and on behalf of the Board,
 
 JAYANTILAL D. PATEL               MANOJ H. SHAH
 
 Chairman & Managing Director           Director
 
 Rajkot, 4th August, 2012