We would like to continue our growth journey through strengthening the quality of
customer engagement, enhancing safety and sustainability efforts and nurturing a
progressive work culture, leading to happy and satisfied stakeholders.
DEAR SHAREHOLDERS,
I am delighted to write to you at the end of what has been an eventful year. It
redefined the way we looked at people and business in a holistic manner. Throughout this
period, we observed the power of our dedication to strategic growth and sustainability.
Supported by our values, at I G Petrochemicals we are constantly looking for new ways to
innovate in the way we generate value for our stakeholders.
During the year, we commissioned the PA-5 plant at our existing facility at Taloja. The
new capacity has the potential to generate incremental revenue from next financial year.
More than 50% of the capacity of the new plant will be used inhouse for downstream
products post commencement of the plasticizer plant.
As a part of Company's de-risk and diversification strategy, we are expanding our
downstream derivative products and expect to enhance our footprint in Indian domestic
market, which will further improve our operating leverage and boost our profitability.
Given the growing demand for downstream derivative products, the Company added DEP to the
product portfolio in FY22. Further, to cater to the downstream demand we are setting up
Plasticizer plant with capacity upto 100,000 TPA.
With a strong focus on innovation, quality, and sustainability, IGPL has established
itself as a leading player in the Indian petrochemical industry.
We intend to generate 30% revenue from other than PAN and also to expand into various
downstream derivatives and specialty chemicals.
PROMISING INDIAN MARKET
Over the last decade, the chemical industry in India has demonstrated remarkable
growth, surpassed expectations and generated substantial wealth. This impressive
foundation has positioned India as a promising contender to become a leading global hub
for chemical manufacturing. The industry is a crucial contributor to India's 'Make in
India' and Atmanirbhar Bharat Abhiyaan initiatives and the recent budget policies are
expected to generate demand for various chemicals. The Indian chemical sector is now seen
as a reliable supplier for global companies pursuing a China+1 strategy to de-risk their
operations.
PERFORMANCE
During the year, the total revenue for IGPL stood at Rs. 2,130 crores. Profitability
was primarily impacted by lower spreads for PAN-OX, with price and spread volatility
affecting the entire financial year. The revenue contribution from the non-phthalic
business was Rs. 156 crores for 2023-24, and the export market contributed nearly 10% to
the total revenue for 2023-24. The Board recommended dividend of Rs. 7.50 per equity share
of Rs. 10 each for the financial year ended 31st March, 2024.
RESPONSIBILITY TOWARDS PLANET
At IGPL, we believe in the power of responsible business practices to drive sustainable
growth and create value for all stakeholders. During the year, we won the prestigious ESG
Champions Award 2024 from Dun and Bradstreet. We are also working towards making our
Company water positive through CSR projects such as Watershed Development in remote
villages. We strive to reduce water usage by 5% in the next three years. In tandem with
our resource goals, we are committed to responsible waste management.
We dispose off all waste as per regulatory permissions.
INVESTING IN PEOPLE AND COMMUNITIES
Our business success thrives on shared achievements in a safe and inclusive workplace.
We prioritise diversity, equity, and inclusion, fostering a culture of continuous learning
and development. We believe in making a meaningful impact beyond business, and this
recognition reaffirms our dedication to empowering communities through skill development
initiatives. We have implemented innovative programmes that bridge skill gaps and foster
sustainable development, thereby transforming lives and communities.
OUTLOOK
We believe, we have laid a solid foundation for the future by focusing on long-term
growth, in the end-user application market. To reiterate, our long-term goal is to become
a well- diversified chemicals company with a leadership position in our core business and
cater to increasing diverse end-user industries of PAN globally. Looking ahead, we would
like to continue our growth journey through strengthening the quality of customer
engagement, enhancing safety and sustainability efforts and nurturing a progressive work
culture, leading to happy and satisfied stakeholders.
We are growing the business in a sustainable way so that the benefit reaches all our
shareholders earning their trust over the long term by returning capital in a consistent
and transparent way. With the support from our internal and external stakeholders, we will
continue to strive towards building a more sustainable business and enhancing
shareholders' value in the near and long-term.
I would like to extend my heartfelt gratitude to all our stakeholders and shareholders
for their support that helped us meet industry standards and set new benchmarks. I look
forward to a bright future in the years to come.
Best regards,
NIKUNJ DHANUKA
Managing Director & CEO.