There were far reaching structural reforms implemented in the Indian economy in the last seventeen months starting from November 2016. In the process these measures have put the economy on sound growth path. The most significant reform was introduction of Goods and Service Tax w.e.f 1.7.2017. This single measure has integrated the Country''s economy. Overall, the incidence of indirect tax has come down on most of the products by this measure of merging several indirect taxes and cess charged on the products in different States prior to July 2017.
The several initiatives taken by Government to boost rural income and infrastructure are now fructifying to boost business in several segments which are catered by the Company. The Company, therefore, envisaged a faster growth in business from upcoming financial years.
The effect of Demonetization, GST and RERA looks to have settled down to a large extent. The economy is moving to formal sector slowly, but surely from informal sector. This augurs well to boost the economic activity in the Country. The Monsoon for this year is also normal. Company, therefore, expects business conditions to be favorable in the year to boost the demand for its products.
Pursuant to Companies (Indian Accounting Standards) Rules, 2015, IND-AS have become applicable to your Company with effect from 1st April, 2017, accordingly the Company has prepared all its financial statements in compliance with IND-AS. Figures of previous financial year 2016-17 have also been restated as per applicable IND-AS.
During the year, the Company has implemented SAP 9.2 a leading ERP solution with effect from 1st April, 2017 by switching over from existing ERP. The implementation of SAP 9.2 shall integrate all the business process across the organization. The new Regime of SAP shall bring discipline by transforming the work culture thereby bringing transparency and structured information system.
We continue to be committed towards creating value for all our stakeholders and adhering to the highest standards of corporate governance. I will take this opportunity to thank all our Shareholders, Bankers, suppliers, customers for their continued support.
With Best Wishes
Rashmi Devi Agrawal