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History of Raj Agro Mills Ltd.

The Comp. was incorporated as Pvt. limited Comp. on 18th June, 1990 under the Companies Act, 1956 in the name of Raj Agro Mills Pvt. limited & registered with the Registrar of Companies, NCT of Delhi and Haryana at New Delhi. The Comp. converted into a Public Limited Company, Vide special resolution dated 30th June, 1994 & a fresh certificate of incorporation obtained from the office of Registrar of Companies NCT of Delhi and Haryana, New Delhi on 6th September, 1994.

The Comp. set up a project for manufacturing of industrial hard oils in 1991 with an installed capacity of 7500 TPA at a cost of Rs. 166 lacs which was financed by way of Term Loan of Rs. 110 lacs from Punjab State Industrial Development Corporation limited [PSIDCs] & Promoters Equity/Unsecured Loan. The Comp. started earning profits from the very first year of its' working. The strength of the Comp. can be assessed by fact that it has exceeded all the projections of capacity utilisation, turnover or profitability made by PSIDC for purpose of granting a term loan from its very first year of actual working. [This can be seen from the table given belows] Encouraged by this spectacular success on all fronts & looking into the demand potential for its products, the management decided to double the capacity of its hard oil plant from existing 7500 MTPA to 15000 MTPA at an estimated additional cost of Rs. 110.70 lacs which is being financed by way of term loan of Rs. 5000 lacs from PSIDC, a State Capital Subsidy of Rs. 19.00 lacs & balance Rs. 41.70 lacs out of internal accruals itself. This expansion plan has already been implemented & has started commercial production. Realising the company position in the Industry, consumers faith in its quality products & wide gap in demand supply position of fatty acid, the Comp. has now decided to diversify its' activities by selling up a project to manufacture fatty acids & glycerine with a capacity of 9000 TPA [raw material inputs] as a backward integration for captive consumption to the extent of 60% of production of proposed units by its associate concern of National Soap Mills. Besides for Balance 40% of production the Comp. has firm marketing tie-up arrangements for first three year of production.