Chairperson View

In the face of ongoing trials and tribulations, there are moments when we feel as though the tough times are persisting indefinitely. However, it is during these periods that one undergoes profound growth, emerging stronger and more resilient than ever before. At Aksharchem (India), we embrace this reality. Rather than being intimidated by challenges, we harness them for personal and collective development. It is through navigating the depths of adversity, that we unveil our true strength, realising that the duration of these difficult moments is precisely what propels us towards greatness.

Over the last couple of years, we have been using the tough times to become more efficient, fortify customer relationships, and build new businesses. We have taken proactive steps for cost control, enhancing productivity and efficiency, and pursuing expansion. All of these have helped enhance our competitiveness.

IThe progress in our Precipitated Silica venture has been gratifying. In just a year since its operationalisation, we have made breakthroughs securing orders from customers globally as well as new approvals from customers in the tyre and rubber industry across India and abroad. Our ability to offer Silica grades with diverse physical and chemical properties, customised to customer’s requirements has positioned us as a frontrunner in the industry. We continue to increase engagements with overseas customers to build awareness.

In the existing portfolio of Vinyl Sulphone and CPC green, measures have been taken to improve efficiencies and market competitiveness. CPC Green production line has been successfully shifted to new buildings and operationalised. The new facility is equipped with better technologies and will help improve productivity. We also entered the newer markets of Turkey, Vietnam and Sri Lanka. The focus now will be to build those markets and strengthen our presence.

Headed into FY 2023-24, the global economy is likely to remain weak, especially in the first half of the year. We anticipate lower demand in the global markets, which have been our primary revenue area.

To compensate for the export setbacks, we are strategically shifting focus to the domestic market, where a booming economy with growing industrialisation and infrastructure development stands to benefit the chemical industry. We are therefore committed to growing our sales and market share in India.

We continue to make commendable progress on the sustainability front. Our operations are compliant with all pollution control standards.

Going beyond the regulatory requirement, we have implemented the latest environmental technologies and installed solar panels to lower our carbon footprint. Effective management of effluent is ensured through treatment at the common ETP of GIDC, enabling us to achieve zero discharge status. We have also greatly minimised fresh water consumption by sourcing water from GIDC. For solid waste management, a tie-up with government-approved sites is under process. These efforts are contributing to a positive impact on the environment.

The health and safety of people is key to us. Through the implementation of best safety practices and periodic training and awareness, we continue to maintain accident-free operations.

I extend my sincerest gratitude to all our stakeholders who have been with us in these difficult times, giving us strength to remain resilient. Ensuring this, would not have been possible without our dynamic, productive and committed team. They have been instrumental in capturing new opportunities and strengthening our reputation through value delivery to our esteemed customers. A special thanks to my colleagues on the Board for their contribution and sustained guidance through various challenges.

We firmly believe in the long-term potential of our industry as well as our fundamentals. I assure all stakeholders that we are leaving no stone unturned and are confident of a rebound as soon as the market revives. We seek your continued support on the path ahead for longterm growth and value creation.

Warm regards,
Paru M. Jaykrishna