The world that we know of is undergoing a rapid transformation, suddenly disrupted by the COVID-19 pandemic. It is really in these times that the true resilience of an organisation can be understood by responding with flexibility and agility. The way AksharChem responded to the situation with relative ease is an example of this. We immediately deployed business continuity plan, implemented safety protocols and facilitated work from home for employees during the lockdown. This has helped us ensure minimal productivity loss and at the same time ensured the long-term of our company.
The way our senior leadership and employees reacted to the pandemic and other challenges during the year is noteworthy and boosts our confidence of the long-term.
That said, the pandemic has unleashed a social and economic crisis like no other. Its impact is going to be felt for some. We will likely see a period of weak domestic demand and decrease in purchasing power which shall impact economic activity.
Though on the positive side, the country’s fundamentals remain strong and it will revive again, as done across many such crises in the past. The fiscal measures by government of FDI liberalization, rolling out of a massive 1.7 lakh crore economic stimulus package and the announcement of ‘Aatmanirbhar Bharat’ to support domestic companies will help stimulate economic activity. RBI’s measures to enhance liquidity in the system by reducing repo rates will also help revival.
My heartfelt sympathies are with all those who have been impacted by it. At the same time, it gives us hope to see how the humanity has left aside the differences to fight it together.
I am sure that together we will come out of it faster and stronger. I express my gratitude to all the frontline warriors who have selflessly come forward to do their duty and also to our employees who have ensured the Company quickly resumes operations.
Speaking of the chemical industry, it has witnessed a period of lull due to weak macro-economic scenario. There was lower demand from most end user industries. However, it was weakness in the textile industry which is our primary customer base hurt the most. This along with an increase in supply from China led to a steady decline in realizations of dyes and intermediates.
Environment sustainability continues to be an important focus area for us as we undertake initiatives to minimise waste, emissions and resource consumption. We have been making significant investments towards this since our inception, and committed Rs. 13.67 Crores in FY 2019-20. Our ultimate aim is to be the most environment-friendly chemical companies in the world. This will also enable us to the meet the stringent regulatory requirements, thereby ensuring the long-term of our company.
Looking back at how the Company has transformed in the past decade, I feel satisfied. But there is more to achieve, and we are ready to become bigger, better and stronger. I thank all our stakeholders – our shareholders, customers, suppliers, employees and the bankers for being with in this journey. We shall continue to grow together.