Effect of business cycle

During festive season there is huge demand from retailers and stockers and high price fluctuations is observed. Weather plays an important role as a good monsoon helps in better yield per hectare.

Key Success Factor

Population growth Improving living standards Changing diets Growth of the economy, Emerging health consciousness Growing organized retail in India, Consumer taste and preferences Demographic profile Increase in minimum support price Organic & Inorganic Route Consumption from Unpacked to packed Mass to class market Backward and forward integration

Key Industry risks

gap between demand and supply of edible oils Prices linked to international market Oil industry highly fragmented Risk from weak harvest , commodity price volatility ,forex movements. pricing mismatch between rawmaterial and final product

Key Industry risks contd..

low trading operations at the expense of refining operations due to regulatory changes favouring direct imports of refined oil over crude palm oils the Government had raised import duty on crude oil in January, 2013 without raising duty on imported refined oil, resulting in cost pressures for the highly competitive domestic industry and promotion of refined products to India Fuel Prices Domestic Economy-Adverse changes in disposable income may impact consumption pattern. Changing weather patterns

Risk Mitigants

Government Policies The policies announced by the Government have been progressive and are expected to remain likewise in future, and have generally taken an equitable view towards various stake holders, including domestic farmers, industry, consumers, etc. Hedging to reduce the impact of volatility in the prices of the agricultural commodities.