I am happy to present on behalf of the Board of Directors, the Annual
 Report of your Company and the audited statement of accounts for the
 year ended 31st March 2011.
 
 Financial Performance
 
 Key aspects of your Company''s Financial Performance for the financial
 years 2010-2011 and 2009-2010 are tabulated below:
 
                                                      (Rs. In Millions)
 
 ITEMS                                         YEAR             YEAR
                                              ENDED            ENDED
                                         31.03.2011       31.03.2010
 
 1 Net Sales                                5460.14          4589.77
 
 2 Other Income                               23.83             6.16
 
 3 Total Expenditure                        3596.86          2915.50
 
 4 Interest                                  168.48            50.20
 
 5 Gross Profit/Loss after Interest but     1718.63          1630.23
 before depreciation
 
 6 Depreciation                              407.46           303.64
 
 7 Net Profit/Loss before tax               1311.16          1326.59
 
 8 Tax Expenses                               88.88           127.07
 
 9 Deferred tax liability                     0.249              -
  
 10 Net Profit/Loss after tax               1222.28          1199.52
 
 11 Extra Ordinary Items                       -                 -
 
 12 Net Profit for the period               1222.28          1199.52
 
 13 Appropriations
 
 (a) Proposed/ Interim Dividend               34.36            68.72
 
 (b)   Corporate Tax on distributed            5.71            11.68
 dividend
 
 (c)   Transfer to General Reserve           122.23           250.00
 
 14 Reserves & Surplus                      9163.26          7981.05
 
 15 Book value/share                          67.67            59.65
 
 Operations
 
 During the current year under review your company has achieved a total
 turnover of Rs. 5460.14 millions as compared to that of Rs.  4589.77
 millions in the previous year. So, our sales for the current year grew
 by 18.96% over the previous year. During the year under review the
 company has earned a net profit of Rs 1222.28 millions as compared to
 net profit of Rs.1199.52 millions in previous year.  Therefore, our net
 profit for the current year grew by 1.86% over the previous year.
 Dividend
 
 Your Directors proposed final dividend of Rs. 0.25 per equity share of
 Rs. 1/- each for the financial year 2010-11 for your approval, if
 approved then the record date for the purpose of payment of dividend is
 fix as on 16th September, 2011 and payable to its shareholders who were
 on the register of members of our company as at the closing hours of
 record date.  Future prospects
 
 Guar gum polymers global market is expanding at a CAGR @ 15%.  Its main
 demand is increasing in the food and oil and gas segment.  Guar gum
 polymers demand in the food segment is increasing @ 7 to 8% in the
 developed countries whereas it is showing an increase of 12-15% in the
 developing countries. Demand of Guar polymers for oil and gas wells
 drilling and fracturing is increasing day by day as the global crude
 oil prices are on increase. Company''s R&D is constantly involved in
 developing newer guar products for food and other industrial
 applications for the effective control of processing problems and the
 same is conducive in expanding global guar polymers market.
 International market for certified organic guar polymer is also on
 increase at a robust rate of 25% per annum.  Taking all these prospects
 together, the demand for guar polymers is bound to increase in the
 years ahead. So the future prospects are expected to be even better.
 International Quality Standards and their certifications-
 
 (A) An ISO 9001:2000 - Certified Company-
 
 100% EOU units of the company have been certified as ISO 9001:2000 by
 DNV - a Norvagian Company. So the company is meeting all the quality
 control parameters as set out by DNV.
 
 (B) Hazards Analysis of Critical Control Points (HACCP)-
 
 The product manufactured by the company is also used in the food
 production as thickening and binding agent. The user customers are
 multinational (MNCs) food producers viz. Nestle (Friskies), Mars
 (Master Food), Heinz, Sara lee, Unilever, and CSM. To source their key
 raw materials, these MNCs prefer HACCP certified vendors. Employing
 HACCP in the production system one can check the following
 contaminations:
 
 - Physical
 
 - Chemical
 
 - Microbial
 
 (C) Good Manufacturing Practices (GMP)
 
 Company''s 100% EOU units are certified WHO Good Manufacturing Practices
 (WHO-GMP). Guar Polymers produced using GMP is included in the Food
 Chemical Codex (FCC) and approved for food use. Therefore, GMP ensures
 the customers that the products are manufactured in good and hygienic
 conditions.  Foreign Exchange Earning and Outgoings
 
 The detail of foreign exchange earnings and outgoings is provided in
 page no. 10 of the annual report.  Conservation of Energy
 
 The information on Conservation of Energy required under Section 217(1)
 (e) of the Companies Act, 1956 read with Rule 2 of the Companies
 (Disclosure of Particulars in the Report of Board of Directors) Rules,
 1988 is provided in page 10 of the annual report.  Directors''
 re-appointment
 
 Mrs. Bimla Devi Jindal retires by rotation and being eligible offer
 themselves for re-appointment at this Annual General Meeting.  The
 Board Governance Committee has recommended their re- appointment for
 consideration of the shareholders. A brief profile of Mrs Bimla Devi
 Jindal is given in the notice of Annual General Meeting.
 
 Mr. Kishan Lai retires by rotation and being eligible offer themselves
 for re-appointment at this Annual General Meeting. The Board Governance
 Committee has recommended their re-appointment for consideration of the
 shareholders. A brief profile of Mr Kishan Lai is given in the notice
 of Annual General Meeting.  Mr. R A Mittal retires by rotation and
 being eligible offer themselves for re-appointment at this Annual
 General Meeting. The Board Governance Committee has recommended their
 re-appointment for consideration of the shareholders. A brief profile
 of Mr R A Mittal is given in the notice of Annual General Meeting.  Mr.
 Vishnu Bhagwan retires by rotation and being eligible offer themselves
 for re-appointment at this Annual General Meeting.  The Board
 Governance Committee has recommended their re- appointment for
 consideration of the shareholders. A brief profile of Mr. Vishnu
 Bhagwan is given in the notice of Annual General Meeting.
 
 auditors'' Appointment
 
 M/ s B S R & Co., Chartered Accountants, Gurgaon, Statutory Auditor of
 the company, being eligible, offers himself for appointment.
 
 Fixed Deposits
 
 During the year under review, your Company has neither invited nor
 accepted any fixed deposits from the public or its employees within the
 meaning of section 58A of the Companies Act, 1956 and Rules made
 there under.
 
 Related Party Transactions
 
 Related party transactions have been disclosed in the notes to the
 accounts.
 
 Particulars of Employees
 
 There are no employees in the Company whose particulars are required to
 be given under Section 217(2A) of the Companies Act, 1956 read with the
 Companies (Particulars of Employees) Rules, 1975, as amended from time
 to time.
 
 Directors Responsibility Statement
 
 On behalf of the Directors I confirm that as required under Section 217
 (2AA) of the Companies Act, 1956:-
 
 (a) In the preparation of the Annual Accounts, the applicable
 accounting standards have been followed and that no material departures
 is made from the same;
 
 (b) we have selected such accounting policies and applied them
 consistently and made judgments and estimates that are reasonable and
 prudent so as to give true and fair view of the state of affairs of the
 Company at the end of the financial year and of the profits of the
 Company for the period;
 
 (c) we have taken proper and sufficient care for the maintenance of
 adequate accounting records in accordance with the provisions of the
 Companies Act, 1956 for safeguarding the assets of the Company and for
 preventing and detecting fraud and other irregularities; and
 
 (d) we have prepared the annual accounts on a going concern basis.
 
 Corporate Governance
 
 We believe Corporate Governance is at the heart of Shareholder value
 creation. Our governance practices are described separately at page 11
 of the Annual Report. We have obtained a certification from a
 practicing company secretary on compliance with clause 49 of the
 listing agreement with Indian Stock Exchanges. The certificate is given
 at page 14.
 
 Industrial Relations
 
 The relation with employees at all levels has been cordial throughout
 the year. The Company has no employee drawing remuneration above the
 limit mentioned 217(2A) of the Companies Act, 1956 and accordingly no
 statement is annexed.
 
 Observation by Auditors
 
 We explained in detail of all observation made by the Statutory
 Auditors on Financial Accounts in Notes on Accounts at page 30.
 
 Acknowledgments
 
 Your Directors take this opportunity to thank all stake holders,
 customers, vendors, banks, regulator and governmental authorities, and
 Stock Exchanges for their continued support. Your Directors also
 acknowledge with thanks, the support extended by Financial
 Institutions. The Board also place on record their appreciation for the
 wholehearted co-operation received from its employees.
 
                                     By Order of the Board of Directors 
                                                  For VIKAS WSP LIMITED
 
                                                                   Sd/-
 
 Date: 30.01.2012                                       (B. D. Agarwal)
 
 Place: Sri Ganganagar                                Managing Director