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Corporate Identity Serving Diverse Industries Purpose and Values Overview by the Chairman Operational Highlights Financial Analysis Research and Technology
Safety, HealthandEnvironment Serving the Society Directors’ Report
Management Discussion andAnalysis
Report on Corporate Governance Financial Statements
Aromatics
Products
p
-Cresol,
p
-Anisic Aldehyde,
p
-Anisic Alcohol and others
2009-10
2008-09
% change
Revenues (Rs Crores
284
302
-6
Share in total revenues (%)
24
25
-1
Specialty and Other Chemicals segment
The Division manufactures
p
-Cresol and its downstream
products such as
p
-Anisic Aldehyde,
p
-Anisic Alcohol,
p
-Cresidine, etc and by-products such as Sodium Sulphite,
Manganese Sulphate, etc. These products are used mainly
by Flavour and Fragrance, Personal Care andPharmaceutical
industries. In value, sales came down mainly on account
of price reduction that followed the reduction in the prices
of the raw materials. Exports accounted for 60% of the
total sales.
The world demand of
p
-Cresol,
p
-Anisic Aldehyde and
p
-Anisic Alcohol is about 63,000 mt, 13,000 mt and 2000
mt respectively. These products are mainly manufactured
in India and China; the UK and the USA had large
manufacturing facilities to manufacture
p
-Cresol which
have been closed over the last decade. The main users of
the products continue to be based in Europe and the USA
though some users are based in Africa and Australia.
The demand of
p
-Cresol,
p
-Anisic Aldehyde and
p
-Anisic
Alcohol is steadily increasingwith the growth in Flavour and
Fragrance, Personal Care and Pharmaceutical industries. It
is essential to profitably sell the main by-product, Sodium
Sulphite. China is the only other country which may install
new capacities in these products. Unexpected fluctuations
in foreign exchange will impact the realizations.
The Division will endeavour to maintain and further
strengthen its global leadership in
p
-Cresol,
p
-Anisic
Aldehyde and
p
-Anisic Alcohol by cost reduction,
expansion and by significantly widening and deepening
its customer base. It will also introduce new value added
products which have manufacturing | marketing synergy.
The Division is expected to sustain a healthy rate of growth
in the foreseeable future.