Milton Industries Ltd Management Discussions

ANNEXURE-D

Forward - Looking Statements:

This report contains forward-looking statements based on certain assumptions and expectations of future events. The Company, therefore, cannot, guarantee that these assumptions and expectations are accurate or will be realized. The Companys actual results, performance or achievements can thus differ materially from those projected in any such forward-looking statements. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statements, on the basis of any subsequent developments, information or events.

Structure and Development:

The Global Economy was estimated to have grown at slower 3.2% in 2022 compared to 6% in 2021.TheRelatively slow global growth of 2022 was marked by the Russian invasion of Ukraine, unprecedented inflation, Pandemic included slowdown in China, higher interest rate, global liquidity squeeze and quantitively tightening by the US federal Reserve.

Milton always prefer innovations in industry since its inception. We introduce many new derivatives of Laminates, Artificial leather(To Go Green Artificial leather is replacement to natural leather to save mother earth) special light weight panels of composite materials including Aluminium honeycomb panels supplying to India railways for passenger coaches, resulting in saving of dead weight of Coach hence saving the fuel/energy and planning to introduce more new products to line. We also developed fully furnished coach for Indian Railway.

Opportunity:

We are into complete furnishing of Indian Railways coaches. We have received many coaches developments order from RCF and Northern Railway.

After completion of these orders, we hope we will be regular source for supply and apply for furnishing coaches from all the railway and production unit of India. (Like RCF, ICF, NCF)

Risk and Concern:

Our Units and Department have faced some technical issues regarding infrastructure (like Boilers, impregnation line) and company technical department is looking for finding solution and approached many manufacturers to upgrade and revive our unit with latest technology and infrastructure to improve the quality and streamline the production. We are under planning to streamline the Units and Department with latest technology.

Having entered into furnishing of coaches of Indian Railways and also lot of funds have been invested in Security Deposits with Indian Railway and also lot of advances have been given by company to procurement of material other than what company is producing. Companies is further under consideration of manufacturing further item what currently they are procuring from outside particulars like Air dust system, Public Address and Passenger Information System(PAPIS) and CCTV.

Threats:

The only problem faced by the industry is shortage of Manufacturers of our raw material like Base paper, Melamine, Phenol. The future of this industry is quite bright & the skilled workforce available in India for this product better than other countries, despite the fact that there is no institutions/ universities around the globe which give degree or diploma for Laminate Industry which is irreversible process, on the contrary industry has to pay for its proper disposal.

Material Development & Industries Relations:

We have very good relations with all our competitors & proud to be founding member of ILMA (Indian Laminate manufacturing Association). Our director is on the Board of ILMA & also legal Advisor to them.

Internal Controls and their Adequacies:

The internal control system is intended to increase transparency and accountability in an organizations process of designing and implementing a system of internal control. They have been designed to provide reasonable assurance with regard to recording and providing reliable financial and operational information, complying with applicable statute, safeguarding assets from unauthorized use, executing transaction with proper authorization and ensuring compliance of corporate policies. We have one of the only and best Fire testing lab with us for 3 stage quality checks i.e. Raw materials, Intermediate products, and Final products and we have some unique testing equipment within the lab.

Human Resources / Industrial Relations:

The Company believes and recognizes that its employees are a vital resource in its growth and to give competitive edge in the present business scenario. The companies have been consistently investing in employees across all levels, in various ways. The Company takes pride in the commitment, competence and dedication shown by its employees in all the areas.

For and on behalf of the Board

Milton Industries Limited

Vijay Pal Jain

Chairman cum Managing Director

(DIN:00343712)