To
 
 The Members,
 
 Your Directors hereby present the Thirty sixth Annual Report of the Company together with the Audited
Statement of Accounts for the year ended 31st March, 1995.
 
 PERFORMANCE
 
 During the year under review, sales amounted to Rs. 6375.66 lacs which were lower than last year's sales
figure of Rs. 6707.19 lacs.  However, the sales turnover in terms of quantity remained more or less unchanged
(1994-95 : 10,384 M.T., 1993-94 : 10,108 M.T.).  The pressure on the prices which was there throughout the
previous financial year, continued until first half of the year under consideration. The pressure on margins
resulting therefrom affected the liquidity and consequently the servicing of sales in the second half,
resulting into lesser sales than that normally achieved during the second half (normally 60% over the
 first half). 
 
 DIVIDEND
 
 In view of the losses, the Directors deem it prudent not to
 consider dividend for the year under review.
 
 PROSPECTS FOR THE YEAR 1995-96
 
 Since last several years, the company has been reconciling with the constraints it has to face due to the
type of business it has been in traditionally.  Additionally, the company's products faced an unfair
competition with imported products.  These products were imported at zero duty due to the opportunity
available under the value based incentive schemes to exporters from a different industry. 
 
 The Company does have resources to counter these newer forces, but will need time and re-structuring.  While
not ignoring the importance of the omnipoten time, the Company has planned a major restructuring in the
organisation, having focussed on an entirely different and diversified
 product range, which primarily will give a big leap in the price realisation.  With this substantial surge
in the price realisation, as also the volumes planned to be produced, it is expected that the performance
will show overall improvement.  The new product range will have on additional focus on exports, thus
effecting improvements in
 the net margins as well.  There are several products in this category which have gone beyond the pilot plant
stage and some beyond the drawing board stage.  It is worth noting that large export order have already been
received against the products developed and reasonable quantity has
 been despatched to the satisfaction of outstation customers.  With this, we expect to have substantial high
margin export business in this year.
 
 FINANCE
 
 During the year under review, due to the cash losses, there was pressure on the company's liquidity
position. Besides tight control on receivables and inventory, the, company opted for sale of some
non-production related assets, to reduce the pressure.  For the ensuing year, we expect the position to be
improved through financial restructuring.
 
 FIXED DEPOSITS
 
 Fixed Deposits at the end of the year under review amounted to Rs. 92.22 lacs from 1875 depositors. 
Deposits of Rs. 1.42 lacs from 30 depositors which fell due for repayment during the year under review,
remained unclaimed by the depositors as on 31st March,1995, in spite of communication to the depositors to
either claim the deposits or renew
 them. 
 
 SAFETY AND POLLUTION CONTROL
 
 The Company has taken certain measures to control pollution as per the directions of the Government
Authorities. Certain expenditure has already been committed in this respect which, in addition to controlling
pollution, will involve subtle changes in the process thereby improving on the overall cost and quality
performance.
 
 CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, RESEARCH &
 DEVELOPMENT AND FOREIGN EXCHANGE
 
 Information pursuant to Section 217(1)(e) of the Companies
 Act, 1956, read with Companies (Disclosure of Particulars
 in the Report of Board of Directors) Rules, 1988, is
 annexed hereto and forms a part of this Report.
 
 DIRECTORS
 
 In accordance with the provisions of the Companies Act, 1956 and the Company's Articles of Association, Dr. 
B.D. Tilak & Mr. D. M. Kothari retire from the Board by rotation and being eligible, offer themselves for
re-appointment. 
 
 AUDITORS
 
 M/s. B.K.Khare & Co., Chartered Accountants and M/s.  D.B. Ketkar & Co., Chartered Accountants, retire as
Auditors of the Company and being eligible, have expressed their willingness for reappointment.
 
 AUDITORS' REPORT
 
 In the opinion of the Board of Directors, the remarks made by the Auditors in their Report are self
explanatory and do not call for explanations under Section 217(3) of the Companies Act, 1956.
 
 PERSONNEL
 
 Industrial relations continued to remain cordial in all the
 units of the Company during the year under review.
 
 Particulars required under Section 217(2A) of the Companies
 Act, 1956, as amended, are given in the Annexure forming
 part of this Report.
 
 ACKNOWLEDGEMENTS
 
 Your Directors wish to thank the Customers and Suppliers of the Company, the Central Government, Government
of Maharashtra, Government Agencies, the Banks and Financial Institutions for their continued support.  Your
Directors also place on record their appreciation of the dedicated
 efforts of employees at all levels.
 
 Conservation of Energy, Technology Absorption, Foreign Exchange Earnings and Outgo - Companies (Disclosure
of Particulars in the Report of Board of Directors) Rules, 1988.
 
 (A) CONSERVATION OF ENERGY :
 
 a) Energy conservation measures taken :
 
 Energy conservation being an ongoing process, the Company
 has set standards for optimum conservation of energy and
 the same are continuously being monitored and adhered to.
 
 b) Additional investments and proposals, if any, being
 implemented for reduction of consumption of energy.
 
 The Company presently does not propose any additional
 investment of significant/specific nature for reduction of
 consumption of energy.
 
 c) Impact of measures of (a) and (b) for reduction of
 energy consumption and consequent impact on the cost of
 production of goods :
 
 The impact of optimisation of energy consumption and
 control of energy cost is felt, but it is not possible to
 quantify the same.
 
 (d) Total energy consumption and energy consumption per
 unit of production in prescribed Form 'A'.
 
 TECHNOLOGY ABSORPTION:
 
 (a) Research and Development (R&D)
 
 1. Specific areas in which R&D is carried out by the Company :
 
 Speciality Chemicals
 
 2. Benefits derived as a result of R&D :
 
 Cost reduction, import substitution and developing new
 markets, consistency in quality and reliability of products.
 
 3. Future plan of action :
 
 To augment efforts in the areas mentioned above.
 
 (b) Technology Absorption, Adaptation and Innovation
 
 1. Efforts, in brief, made towards technology absorption,
 adaptation and innovation.
 
 2. Benefits derived as a result of the above efforts. 
 
 3. In case of imparted technology (imported during the last
 5 years reckoned from beginning of the financial year),
 following informations are furnished : 
 
 (i) Technology imported
 
 (ii) Year of import
 
 (iii) Has technology been fully absorbed 
 
 (iv) If not fully absorbed, areas where this has not taken
 place, reasons therefore, and future plans of action
 
 FOREIGN EXCHANGE EARNINGS AND OUTGO
 
 1) Activities relating to exports, initiatives taken to
 increase exports, development of new export markets for
 products and services and export plans :
 
 The Company continues to lay emphasis an export of its products.  The Company has already initiated steps to
get ISO 9001 recognition and is proceeding in that direction to improve the quality of its products and
services to meet the standards of world markets.