1 jvl agro industries ltd. a strategic growth option
TRANSCRIPT
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JVL Agro Industries Ltd.
A strategic growth option
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CONTENTS
Company Overview
Vision and Mission
Brief Profile of the Company
Leadership Profile
Our Product
Company Overview
Milestones and Achievements
Haldia Port
JVL Oil Refinery, Haldia (A unit of JVL Agro Industries Ltd)
Thank You
VISION & MISSION
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Vision
To delight the consumer through a complete vegetable oils solution, through continuous
research and development in healthier oil varieties, leading to a single-stop convenience.
Mission
To extend leadership from saturated fats to the entire vegetable oil segment in the first
stage and then to agro-based premium food products thereafter, from a single region in
India to a global manufacturing and marketing presence.
BRIEF PROFILE OF THE COMPANY
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The Company JVL Agro Industries Limited (Formerly known as Jhunjhunwala Vanaspati Ltd) has been promoted by Mr. D. N. Jhunjhunwala (Father) & Mr. S. N. Jhunjhunwala (Son) and incorporated under the Companies Act, 1956 as on November 17, 1989 with the Registrar of Companies, Kanpur, U. P. & Uttaranchal.
Our Locations1. Manufacturing unit at Jaunpur (U.P.)2 Refinery / Vanaspati unit at Pahleja (Bihar)3. Mustard Oil Manufacturing at Alwar (Rajasthan)4. Refinery at Haldia (West Bengal)5. Proposed SEZ at Sahupuri (U.P.)6. Head Office at Varanasi7. Commercial Office - Mumbai8. Commercial Office - Delhi9. Commercial Office - Kolkata10. Commercial Office - Singapore11. Joint Venture Project at Sri Lanka12. Plantation Project at Indonesia
The Company JVL Agro Industries Limited (Formerly known as Jhunjhunwala Vanaspati Ltd) has been promoted by Mr. D. N. Jhunjhunwala (Father) & Mr. S. N. Jhunjhunwala (Son) and incorporated under the Companies Act, 1956 as on November 17, 1989 with the Registrar of Companies, Kanpur, U. P. & Uttaranchal.
Our Locations1. Manufacturing unit at Jaunpur (U.P.)2 Refinery / Vanaspati unit at Pahleja (Bihar)3. Mustard Oil Manufacturing at Alwar (Rajasthan)4. Refinery at Haldia (West Bengal)5. Proposed SEZ at Sahupuri (U.P.)6. Head Office at Varanasi7. Commercial Office - Mumbai8. Commercial Office - Delhi9. Commercial Office - Kolkata10. Commercial Office - Singapore11. Joint Venture Project at Sri Lanka12. Plantation Project at Indonesia
LEADERSHIP PROFILE
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Mr. S.N. Jhunjhunwala, 57, is the co-promoter of Jhunjhunwala Oil Mills Ltd., a solvent extraction plant set up in 1974. He is the promoter of JVL Agro Industries Limited, established in 1989. His sectoral experience spans over 30 years in solvent extraction, oil refining and saturated fats manufacture.
Mr. S.N. Jhunjhunwala, Managing Director
Mr. D. N. Jhunjhunwala, Chairman
Mr. D.N. Jhunjhunwala, 78, has more than 50 years of industry experience, of which 33 years have been spent in the oil industry. An engineering graduate in industrial chemistry from Banaras Hindu University, he has held prestigious industry positions including that of the President of Uttar Pradesh Solvent Extractors Association. He is also associated with various philanthropic and religious activities.
Mr. Adarsh Jhunjhunwala, a Chartered Account and MBA (Finance), brings more than 5 years of commerce and financial accounting experience to the company. Under his guidance the company is diversifying into various avenues.
Mr. Adarsh Jhunjhunwala, Wholetime Director
OUR PRODUCT
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OUR BRAND - JHOOLA
COMPANY OVERVIEW
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Revenues ( in USD’ Million)
FY 11 485FY 12 580FY 13 707FY 14 735
To resize chart data range, drag lower right corner of range.
EBIDTA ( in USD’ Million)
10 14 19 20 21 21
FY 09 FY 10 FY 11 FY 12 FY 13 FY 14
PAT ( in USD’ Million)
5.80 6.5011.12 11.15 11.12 10.22
FY 09 FY 10 FY 11 FY 12 FY 13 FY 14
Provides a complete vegetable oil solution: Palm Oil, Soybean Oil, Mustard Oil and Saturated fats
Largest crude edible oil importer in Northern and Central India
Available in 18 Indian states, 2 Union territories and more than lakhs of retail outlets in India
Owns the single largest manufacturing unit for saturated fats in India
ISO 9001-2008 certified
Trusted 2-decade relationship with credible plantation owners in Indonesia, Malaysia, Argentina & Brazil
Listed on the National Stock Exchange, Bombay Stock Exchange, Delhi Stock Exchange and Uttar Pradesh Stock Exchange.
On 30.09.2010 the stock price reached its highest ever price i.e. Rs. 45.80 (share of face value Re 1/- each)
MILESTONES AND ACHIEVEMENTS
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Commenced production with a 25-TPD capacity
Achieved 100-TPD production at Varanasi
Switched Vanaspati processing technology from chemical processing to modern mechanical technique
Started importing Crude Palmolein Oil (CPO), the basic raw material in edible oil manufacture
Installed a 60-tpd unit for refined oil at Jaunpur, introducing crude soybean and Palmolein oil to the product mix
Increased Vanaspati production capacity to 200 TPD
Introduced a fractionation unit of 200 TPD capacity
Acquired a Rajasthan-based mustard seed-crushing and refining plant, Invested in Adamjee Extraction, Sri Lanka, for import of saturated fats under the Jhoola brand and Product sales in the states of UP, Bihar, Jharkhand, Madhya Pradesh, Uttaranchal and Chhattisgarh.
MILESTONES AND ACHIEVEMENTS contd……
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Emerged as the first Vanaspati manufacturer in Uttar Pradesh to commission a 3-MW turbine; formed a wholly-owned subsidiary in Singapore under the name of JVL Overseas Pte. Ltd., Introduced products in the North-eastern states.
Commissioned an edible oil refinery/ Vanaspati unit at Pahleja, Bihar. Commenced production of a new refinery in Uttar Pradesh, plant supplied by Alfa Laval with the latest technology. Started the export of de-oiled cakes. Received government notification for a multi-utility SEZ at Chandauli, Varanasi.
Commercial production from the Bihar unit and Introduced products in Jammu and Kashmir, Himachal Pradesh and West Bengal
Commenced development of the Haldia Unit with 1200 MTPD refining capacity and captive power plant.
Company became listed on the National Stock Exchange of India Ltd.
Capacity of mustard seed crushing increased from 200 to 400 MTPD, solvent extraction plant capacity increased from 250 to 450 MTPD and storage capacity of mustard seed increased (by 6400 MT) at Alwar unit.
Commencement of production from the biggest unit (1200 MTPD) of the Company at Haldia. Introduction of refined oil in the mustard oil market of Eastern India of the Company.
MILESTONES AND ACHIEVEMENTS contd……
Source: 10
Achieved its topline target of Rs.3500.00 crores. Company set to establish rice mill and cement unit in Rohtas, Bihar..
•Garnered all time high revenues of Rs.4400.00 crores. •Earned a record high profit after tax of Rs.61.26 crores. •Marked its growth in other food product by starting to establish a rice mill in Bihar of 60,000 tonnes per annum capacity. The unit is expected to start production by the end of this calendar year.•Spent the year in consolidating its growth so far and focusing on optimum utilization of assets and curtailing its interest cost; laid the foundation for the next round of growth in other food segments.
AWARDS
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Fastest Growing Vanaspati Brand', which entitles “Jhoola”
to the GLOBOIL GOLD AWARD in the year 2006.
'Emerging Company of the Year 2007'.
The leading forum of oil industry Globoil India has conferred
the highest recognition “Man of the Year" to Mr. S. N.
Jhunjhunwala in the year 2008. This itself shows the value
of the contribution by Mr. S.N. Jhunjhunwala for Edible Oil
Industry towards all round growth.
Globoil legend Award 2011 to Sri D. N. Jhunjhunwala,
Chairman of the Company.
ADDRESSING WIDER MARKET THROUGH AN INTELLIGENT PRODUCT MIX
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Product MixIn India Palm, Soybean and Mustard constitutes 75% of total edible oil consumption
One of the leading brands in Central, Northern and Eastern India
• Refined Palm Oil
• Refined Soybean Oil
• Refined Sunflower Oil
• Refined Cotton seed Oil
• Mustard Oil
• Bakery Products
• Vanaspati
Customised Packaging From 200 ml to 5 kg to 15 kgAddressing the varied quantity needs of consumers
Leveraging its established Brand power to sell all its products
• Jhoola
FEEDING THE STATES ACCOUNT FOR >60% OF INDIA’S POPULATION
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Transformed from a Regional player to a Zonal entity
De-oiled cake exported to Vietnam, Bangladesh, Thailand, China, Indonesia and South Korea
Available in 18 Indian states and 2 union territories, accounting for around 70% of the total population
International Markets
UP and Bihar are the largest saturated fats and refined oil consuming market in India
Pan North, Central, East and North-East India
Available in more than Lakhs of retail outlets in India
Network of over 35 depots and 12 sales pointsDistribution Network
Sales agreement with large retail formats like Big Bazaar in UP
COST EFFICIENT PRODUCTION FACILITIES
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Single largest Saturated fats manufacturing unit
in India
One of the lowest per ton production cost
Better bargaining power and logistical competitiveness
Northern and Central India’s largest crude oil
importer
In-house facility for packaging material production
A 3-MW captive plant in the Varanasi facility,
fulfilling most of unit’s power requirement
Reduced power cost compared with the prevailing grid tariff
Reduced packaging cost
Informed decision making Invested in ERP for transparency,
enhanced scalability and accuracy
Uninterrupted raw material supply
Trusted 2-decade relationship with suppliers
locally and internationally
Over 80% capacity utilisation in Varanasi, Bihar and Alwar units Enhanced capacity utilisation
CURRENT PRODUCTION CAPACITY
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• 9 Million HDPE jars per annum
• 12 Millions tins per annum
• Also manufactures the handles and caps required for the containers
Plant Location Product Capacity (TPA)
UP and Bihar Saturated Fats 198,000
UP and Bihar Refined Palm Oil 183,000
UP Refined Soybean Oil 33,000
Rajasthan Mustard Seed Crushing 81,000
Rajasthan Solvent Extraction 90,000
Packaging material production capacity
Saturated fats and Edible oil production capacity
TPA – Tonnes Per Annum; TPD – Tonnes Per Day
Haldia Oil Refinery 3,00,000
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JVL’S PRESENCE IN INDIA
Ludhiana
Delhi
Varanasi
Bihar
Guwahati
Krishnapatnam
Feeding point
Marketing area
Manufacturing location
Proposed location
Haldia
Alwar
Mumbai
HALDIA PORT
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Only port on the East coast of India (along with Kakinada in South-Eastern part of India) which has edible oil refineries and receipt of imported edible oil
Location advantage – being the only port having access to the entire Central, Eastern and North-Eastern states of India (over 12 states and at least 40% to 50% of the Indian population)
Being on the east coast, it has better proximity to Indonesia/ Malaysia, the hub of palm oil in the world
Facility to unload the crude palm oil directly in the factory from the vessel through pipeline
Facility to load finished product in the railway wagons from outward transportation
Proximity to National/ State roadways, waterways etc for outward transportation through trucks
Availability of quality manpower, power, industrial water and other infrastructure for industrial operation
Eligible incentive for refund of 70% of the VAT deposited, restricted up to 100% of the fixed capital investment in plant & machinery
JVL OIL REFINERY, HALDIA (A UNIT OF JVL AGRO INDUSTRIES LTD)
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• Physical refining capacity of 800 metric tonnes per day of crude palm oil.
• Fractination plant of 600 metric tonnes per day (expandable upto 750 metric tonnes per day).
• Inter-esterification plant of 200 metric tonnes per day.
• Soybean oil de-gumming and refining facility of 400 metric tonnes per day.
• Commercial Production Started since September 2012
• Finished products sold in 12 states account for around 40% to 50% of the Indian population
• Existing sales and marketing network in these states either through refined oil, saturated fats or rapeseed oil sold under the brand ‘Jhoola’
• Oleo-chemical section for fatty acid splitting and distillation and production of soap noodles and hydrogenation of 300 metric tonnes per day as advised by Lurgi (India)
• No problem of feed for the oleo-chemical plant because of the availability of many refineries in the proximity
• Finished product sold to FMCG companies such as Hindustan Lever, ITC, Godrej etc already operating in that area
• Captive Power plant of 3 Megawatts
• Associate plant in the state of Assam in North-Eastern part of India because of fiscal benefits and 30% of the total output sold there.
EXPANSION PLANS
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There is huge opportunity in the Western market of country and for taking the advantage of this opportunity company is looking for land in the Western coast for setting up a refinery. Further, most of the Western Indian states are near the port, this is an advantage because setting up of an unit at the port will reduce the logistics cost of the Company, and this will make us more competitive in the market. Our Haldia unit is a strong example of it.
There is huge opportunity in the Western market of country and for taking the advantage of this opportunity company is looking for land in the Western coast for setting up a refinery. Further, most of the Western Indian states are near the port, this is an advantage because setting up of an unit at the port will reduce the logistics cost of the Company, and this will make us more competitive in the market. Our Haldia unit is a strong example of it.
For better and cheap procurement of raw material the Company is planning to set up a supply chain network in Indonesia and for this purpose a step down subsidiary of the Company is incorporated in Indonesia. Further the Company has also signed an agreement to acquire 12500 acres land in Ethiopia (with the option to acquire 62,000 acres) for the agro-related activities and this will diversify the business.
For better and cheap procurement of raw material the Company is planning to set up a supply chain network in Indonesia and for this purpose a step down subsidiary of the Company is incorporated in Indonesia. Further the Company has also signed an agreement to acquire 12500 acres land in Ethiopia (with the option to acquire 62,000 acres) for the agro-related activities and this will diversify the business.
The Company has acquired 500 acres of land in Bihar to commission an agro-based complex, as part of its plan to enter into other commodities in which the Company can leverage its existing sales and distribution network.
The Company has acquired 500 acres of land in Bihar to commission an agro-based complex, as part of its plan to enter into other commodities in which the Company can leverage its existing sales and distribution network.
SOCIAL CONTRIBUTION
Source: 20
MEDICAL CAMPS IN LOCAL AND REMOTE AREAS PLANTATION ACTIVITIES NEAR THE PLANT & MANY OTHER ACTIVITIES
MEDICAL CAMPS IN LOCAL AND REMOTE AREAS PLANTATION ACTIVITIES NEAR THE PLANT & MANY OTHER ACTIVITIES
SOCIAL CONTRIBUTION
Source: 21
SERVING SOCIETY
SERVING NATION
Source: 22
REGISTERED OFFICE:JHUNJHUNWALA BHAWAN, NATI IMLI,
VARANASI – 221001 (U.P.)PH. NO. : 0542- 2211312/13
FAX: 0542-2210480EMAIL: [email protected]
WEBSITE: www.jvlagro.com
REGISTERED OFFICE:JHUNJHUNWALA BHAWAN, NATI IMLI,
VARANASI – 221001 (U.P.)PH. NO. : 0542- 2211312/13
FAX: 0542-2210480EMAIL: [email protected]
WEBSITE: www.jvlagro.com