Dear Shareholders,
It is with a profound sense of pride and gratitude that I address you
today as we reflect on another year of accomplishments by your company as it has navigated
the volatility and uncertainty faced by the shipping and logistics industry in the past
year. As we present our annual report for the Financial Year ending March 31, 2024, it is
an opportune moment to celebrate our successes, acknowledge the challenges we have faced,
and chart your company's course for the future.
The logistics sector has always been the one of the prime drivers of
global commerce, and the past year has underscored this critical role. Despite a landscape
marked by continued disruptions and rapid changes, Navkar Corporation Limited has
navigated these waters with resilience and innovation.
Amidst challenging global events like the Russia-Ukraine conflict,
Israeli invasion of Gaza, and the subsequent Red
Sea crisis economies across the world are demonstrating remarkable
resilience in managing consequent supply chain disruptions and economic challenges. This
dynamic landscape also offers unique opportunities for strategic realignment and
innovative customer solutions. We have noted a significant shift in trade flows across
different geographies, which present unprecedented opportunity for Indian businesses.. The
economic outlook for India continues to be positive, amidst all the disturbances and
disruptions.
Government policy continues to be favourable for the logistics industry
in India. Government programs like the Sagarmala, the Bharatmala,, PM Gati-Shakti Scheme,
Logistics Efficiency Enhancement Program and development of Dedicated Freight
Corridors amongst others continue to provide impetus to the industry.
In addition, the expansion of the National Highway (NH) network by 60% from 91287 Km to
146,145 Km in the last 9 years has been instrumental in improving connectivity across the
length & breadth of the country.
The rapid evolution of the logistics landscape in the country is
centered on the National Logistics Policy. The NLP aims to promote seamless movement of
goods and enhance the competitiveness of Indian industries. It seeks to reduce the
logistics cost from 16 per cent of Gross Domestic Product (GDP) to the global benchmark of
8 per cent by 2030. capacity enhancement for
Your company has worked diligently to overcome the challenges posed by
a rapidly evolving strategic, regulatory and business landscape. From supply chain
disruptions to fluctuating fuel prices and ever changing regulations, we have worked
diligently to overcome hurdles in our pursuit for value creation.
? ?Our portion of the supply chain has been under significant
strain, impacting efficiencies, effectiveness, agility and responsiveness. We have
responded by streamlining our operations and aligning ourselves more closely with
aspiration of our customers. Our strong relationship with major industry participants has
helped us in this endeavor. We have therefore been able to shore up our market share and
also enabled favorable commercial terms to help protect revenue and margin.
? ?Our services to the customers are marked by the best in class
infrastructure we have positioned, customer centric approach in all our interactions with
the customers and the ability to provide innovative and customized solutions to meet
specific business needs.
? ?Our focus on pricing products competitively and with an
understanding of the customer aspirations, enabled by sound operational, financial and
human resources management helps us differentiate against our unorganized competitors.
? ?We have actively engaged with regulatory bodies and adapted our
processes to remain compliant with new regulations. Our commitment to regulatory adherence
has strengthened our operational integrity and credibility.
Your Company has made major investments for establishment of an Inland
Container Depot at Morbi, Gujarat with an aggregate installed capacity of 2,00,000 TEUs
per annum.
This expansion of our Inland Container Depot (ICD) operations is a
pivotal development that underscores our commitment to create customer value in new
markets. This expansion the encompasses a significant company, enabled by cutting-edge
technology, advanced cargo handling systems, and the thought leadership to bring
innovative solutions meeting customer requirements. We look to improve turnaround times,
and operational reliability with reduced overall cost for customers in this new market.
This investment strengthens our position in the market and contributes to regional trade
and commerce. The Company expects continued growth over the next financial year to cover
the entire range of different commodities and geographies within the Saurashtra region.
Your Company will maintain its focus on driving scale and delivering a
compelling value proposition to customers. Your Company will remain committed to cost
management, continuous improvement, innovation, and customer-centricity as we navigate the
dynamic and evolving landscape of the logistics industry.
Lastly, I take this opportunity to thank the shareholders, investors,
bankers, board members, senior executives, customers and our employees for their continued
faith and support.
| With sincere gratitude |
| Mr. Shantilal J Mehta |
| Chairman & Managing Director |
| Navkar Corporation Limited |