Godrej Industries Limited

Head office

Godrej Industries Limited

Pirojsha Nagar

Eastern Express Highway

Vikhroli (East)Mumbai – 79,INDIA

ORGANISATION

GODREJ INDUSTRIES LIMITED CONSISTS OF:

The company is now called Godrej Industries Limited, and has the

following units:-

1) Godrej Sara Lee Ltd

2) Godrej Hershey Ltd

3) Godrej Consumer products Ltd

4) Godrej Agro Vat Ltd

5) Godrej Properties Ltd

The Godrej Group has been in existence for almost

a century closely held 100 year old company which was the first to be

mechanized. Godrej Industries Limited believes in leveraging

technology to help it gain a competitive edge in the market place.

 One of the most outstanding features of Godrej’s

achievements has been a consistent performance of our brands across

all segments. Over a period of time our portfolio of brands has thrived

successfully over the competitors in the market. Due to the diverse

nature of the market, every effort is taken to train employees to

improve its core competencies with all possible efforts.

Godrej Group is expected to increase its market share in

various products by increasing capacity, introducing new products

and entering new markets. Our FMCG business is expected to

grow by 50% in the current financial year. Bulk soaps and

property will grow by 15%. The group is actively tapping the

export market with its varied and good quality beverage. Finally,

we are looking for a strategic alliance to import and market

products related to our activities using our vast and experienced

sales and distribution infrastructure.

Godrej Industries Limited has become a large-size company

having major presence in the FMCG & Property Industry,

employing over 5000 people and servicing more than 500

distributors. It is estimated that Godrej products touch about 10

million customers annually across different markets. These could

be in the Properties, FMCG or Chemicals as raw material.

The Godrej Group is most committed to the community from

which it derives its sustainence. The Godrej’s Memorial

Hospitals initiative is yet another program on our part to repay

the trust that the community places on us. Under the aegis of this
 initiative we govern a number of Hospitals that cater to health

needs to the peoples in the local area. According to us, life is not

mere existence – it is the growing of relationships, the fulfilment

of desires, the achievement of goals and much more. At Godrej

Group, we salute life and commit ourselves to its enhancement.

Companies grow, either organically or inorganically or both, their

potential to contribute to society around them increases.

Godrej Industries Limited believes in leveraging technology

to help it gain a competitive edge in the market place. Godrej has

been one of the first companies in the FMCG / Chemical industry

to implement SAP R/3 (Enterprise Resource Planning-ERP) to

streamline and monitor its manufacturing processes, optimize

workflow management, manage inventories & financial

management to reduce its costs. With information available

online, it has facilitated more efficient decision-making and

improved customer management.

GODREJ CHEMICALS

Godrej Industries Limited is India's leading manufacturer of oleochemicals and

makes more than a hundred chemicals for use in over two dozen industries. It also

manufactures edible oils, vanaspati and bakery fats. Besides, it operates real estate.

GIL is a member of the Godrej Group, which was established in 1897 and has since

grown into a US$1.875 billion conglomerate. The company was called Godrej Soaps

Limited until March 31, 2001. Thereafter, the consumer products division got de-

merged into Godrej Consumer Products Limited, and the residual Godrej Soaps
became Godrej Industries Limited. This led to the formation of two separate corporate

entities: Godrej Consumer Products and Godrej Industries.

Besides its three businesses, Godrej Industries also runs four divisions — Corporate

Finance, Corporate HR, Corporate Audit and Asurance and Research and

Development — which operate on behalf of the entire Godrej Group. GIL has built a

strong manufacturing base capable of delivering international quality products at

competitive prices. It operates two plants, one at Valia in the Indian state of Gujarat

and a second at Vikhroli in suburban Mumbai. The company's products are exported

to 40 countries in North and South America, Asia, Europe, Australia and Africa, and

it leads the Indian market in the production of fatty acids, fatty alcohols and AOS.

Godrej Industries Ltd. (GIL) largely operates in the business of oleo-

chemicals, edible oils, fats, processed foods, finance & investments and estate

management. It has substantial interest in several industries including animal feeds

and agro-products, poultry, rural retailing, property development, personal care,

household insecticides, pest management services, branded tea, etc., through its

subsidiaries, associate companies and joint ventures.The Chemicals Division of

Godrej Industries Ltd. is a leading manufacturer of oleochemicals like fatty acids,

glycerin, fatty alcohols and surfactants. The Chemicals Division has manufacturing

facilities at Vikhroli, Mumbai and Valia, Gujarat.

The Veg Oils division of Godrej Industries manufactures edible oils, vanaspati

and bakery fats. The division has a state-of-the-art manufacturing facility at Wadala in

Mumbai. The plant is equipped with the best of modern equipment for the processing

and packaging of a wide variety of food products.The chemicals division is the market

leader in India in Oleo – Chemicals and Surfactants. GIL exports to over 65 countries

and supplies to a wide range of industries including cosmetics, rubber, PVC,

pharmaceuticals, etc.
 9M FY2009 revenue increased by 23% to Rs. 616 crore from Rs. 503 crore

and exports increased by 25%. Export revenues now account for 44% of the division’s

total revenues.The performance of the business was significantly affected both on cost

and margin front by unforeseen fluctuations in the commodity prices and rupee-dollar

exchange rate, curtailment in the supplies of natural gas to the factories, and

depressed demand owing to global recession and economic downturn

Godrej Chemical Products

• Oleochemicals

• Edible oil

• Vanaspati

• Bakery oils

• Fly Ash

GODREJ FAST MOVING CONSUMER PRODUCTS

Godrej FMCG is located in Vikhroli, Mumbai in the Western

part of Maharashtra. Its has the latest technology to produce high

quality potable products. One of the largest and most modern

consumer product manufacturing company in the country making a

soaps, deodorant etc. It also includes bulk manufacturing of deo

talcs, toilet cleaner and mosquito and insects killer products. At

present Godrej Industries produces the following products:

 Chocolate Syrup Godrej Hersheys Limited

Kiwi Shoe Polish Godrej Sara Lee Limited

Frozen foods veg/non veg Godrej Tyson Limited

Soya milk Flavoured Godrej Sara Lee Limited

Xs Fruit Juice Godrej Sara Lee Limited

Renew Hair Colour Godrej Sara Lee Limited

From high tech engineering solutions to world-class consumer

products, we are an integral part of the lives of millions of Indians. Setting quality

benchmarks and redefining customer satisfaction, as we enrich lives across

boundaries.We are today one of the largest engineering and consumer products

company in the country having varied interests from engineering to personal care

products. We are also one of the most respected corporate houses known for our

philanthropy and initiation of labour reforms besides being recognized for our values

of fair, transparent and ethical dealings.

Some of Godrej Industries key clients are:

• Shri Ram Chemicals

• Hindustan Zinc Limited

• Ranbaxy Pharmaceuticals

• Micro Pharmaceuticals
 GODREJ PROPERTIES AND INVESTMENT LIMITED

The spirit of entrepreneurship, the vision of a dynamic

t o m o r r o w , a n d t h e capacity to build and realize dreams! This is the essence of

the G o d r e j group. No wonder then, Godrej has become the symbol of a vibrant

m u l t i -business enterprise touching the lives of millions and at the same time an icon

of enduring ideals in a changing world.

Godrej Properties Limited (GPL)

GPL is one of the leading real estate development companies in India. The Company focuses

on residential, commercial and township developments.

GPL employs a three pronged business strategy as follows:

• Joint ventures with land owners. These are either on a developable area, profit or

revenue sharing basis.

• Selective buying of land, developing and selling property.

Joint ventures with group companies. GPL has signed MOUs with other group

companies under which GPL shall develop their lands situated in various parts of

India

This business model enables GPL to undertake more projects without having

to invest large amounts of money towards purchasing land.

Godrej Industries Limited currently holds 80.3% in GPL.

 Note:“GPL is proposing, subject to market conditions and other considerations, a

public issue of its equity shares and has filed a Draft Red Herring Prospectus with

SEBI. The Draft Red Herring Prospectus is available on the website

SEBI at www.sebi.gov.in and the respective websites of the BRLMs at

www.icicisecurities.com and www.kotak.com.

Investors should note that investment in equity shares involves a high degree of risk

and for details relating to the same, see the section titled “Risk Factors” of the

aforementioned Draft Red Herring Prospectus.”

Godrej Consumer Products Limited (GCPL)

GCPL is a leading manufacturer of soaps and hair colour categories, and owns various well

known brands, such as “Cinthol”, “Fairglow”,“No. 1”,“Ezee”,“Colour Soft”and

“Renew”.GCPL continues to be the second largest toilet soap player. Soap sales grew by

22% to Rs. 164 crore from Rs. 134 crore during the quarter. GCPL has launched a new

variant of soap “Godrej No. 1 – Strawberry and Walnut” for the first time with a

combination of strawberry, walnut and milk cream.Hair colorants sales increased by 14% to

Rs. 57 crore from Rs. 50 crore during the quarter. Third Interim dividend declared – 100%

taking the total to 250% for 9M FY2009.

GCPL has been ranked 6th in the ‘Best Companies to Work for in India’ survey

conducted by Mercer Consulting and Business Today.Consolidated 9M 2008-09 revenue

grew by 26% to Rs. 1050 crore from Rs. 833 crore. GIL has a 20.1% equity stake in GCPL.

Godrej Sara Lee Limited (GSLL)

GSLL is the market leader is household insecticides. It markets it products

under brands – Goodknight, Jet and Hit. It is also in the Hair care, Air care, shoe care &

surface care segment and markets its products under Ambi Pur, Brylcreem, Kiwi & Kiwi
kleen brands. Q3 FY2009 revenue grew by 17% and 9M FY2009 registered revenue growth

of 21%. The Aerosols and Coils segment grew by 16% and 21% in Q3 FY 2009.

GIL has a 20% equity stake in GSLL.

Godrej Hershey Limited (GHL)

GHL has a diverse portfolio of foods and beverages. Confectionery is

marketed under Brand Nutrine with MahaLacto being the flagship product. Juices

and fruit drinks are marketed under Godrej brands - Jumpin, Xs, Sofit (soyamilk

based health drink), edible oil under the brand of Cooklite, packaged tea under brand

Godrej Tea. Milk Modifier (MFT) is marketed under the Hershey brand.

This quarter has seen GHL launch “Maha Choco” candy with brand

ambassador M S Dhoni. The product has received good response from consumers.

Q3 FY2009 revenue for the Company increased 15% to Rs. 100 crore from

Rs. 87 crore. 9M FY2009 registered revenue growth of 20% to Rs. 297 crore from Rs.

247 crore.

GIL has about 43% equity stake in GHL.

GODREJ AGROVATE LIMITED

 Godrej Agrovet Limited is a Rs. 1250 Crores (US$ 297 Million –FY 2008) company.

 Manufacturing facilities spread over 40 strategic locations.

 Network of over 10,000 distributors, dealers and C&F agents.

 First Company in India to retail processed fresh chicken, under the brand name

"Godrej Real Good Chicken".

 First Company in India to retail authentic fresh fruits and vegetables, under the brand

name “Godrej Nature’s Basket”.

 First Company in India to set up rural service and retail chain for complete agri-

solutions, under the brand name “ Godrej Aadhaar

GAVL is a diversified agricultural business covering a range of products and

services including poultry, animal feeds, agricultural inputs, palm oil and rural

retailing. GAVL recorded revenue growth of 15% to Rs. 1099 crore in 9M FY 2009

up from Rs.953 crore in 9M FY2008..

Oil Palm Plantation Business

GAVL operates the Oil Palm Plantation business in States of Andhra Pradesh,

Goa, Mizoram, Orissa and Karnataka and have recently been awarded further territory

in Gujarat. GAVL now is entitled to an area of approximately 100,000 hectares of

palm plantations. Palm plantation areas are allotted by the state governments to palm

oil manufacturers and in turn the plantation owners are obliged to sell the palm fruit to

such allottees at government regulated prices which are linked to output price.

Integrated Poultry Business

The poultry division covers the entire value chain from breeding, hatching and

rearing of broilers to processing and marketing chilled and ready to eat chicken.

GAVL is involved in a joint venture with Tyson food focusing on front end

operations. Processed chicken is sold under the brand “Godrej Real Good Chicken”

and marketing of ready to cook range is sold under the brand “Godrej

Yummiez”.Tyson Foods owns 51% in the JV and 49% will be held by GAVL

Animal Feeds Business

 Agrovet is a leader in the animal feeds industry in India and manufactures and

markets a range of compound feed products for cattle, poultry, shrimp and fish. New

products launched include a premium high fat high milk yielding compound feed re-

launched under the Brand “Bovino” and a 10% starter and 10% finisher concentrate

introduced in broiler feed for small broiler integrators under the name “HPBC”. 9M

FY2009 saw revenues increase 29% to Rs. 842 crore from Rs. 653 crore and PBIT up

27% to Rs. 14.6 crore from Rs. 11.5 crore

GIL has 75.2% equity stake of GAVL.

REASONS FOR SUCCESS

• A young, experienced and talented team with a vision and passion

to grow.
• Wide variety of products across markets catering to various

segments of the society.

• Market research and the ability to address and respond to the

consumer needs positively.

• Participation with the Government in formulation of policy.

• A solid low-cost distribution structure across different markets,

which has fueled this strong growth.

• Ensuring delivery of high quality products.

• In-house master blenders with over 30 years of expertise.

• Panel of expert and professional consultants on board.

• Godrej Industries Limited has debuted 12th in the “Best Companies to work for in

India” survey done by Mercer Consulting and Business Today.

• As per the Thematic Research – Great, Good and Gruesome survey done by Motilal

Oswal – 13th Wealth Creation Study 2003-2008, Godrej Industries Limited has been :

• Ranked 8th in the top 10 Fastest Wealth Creators.

• Ranked 64th in the top 100 Biggest Wealth Creators.

• Godrej Consumer Products Limited has launched a soap for the first time with

a combination of strawberry, walnut, and milk cream in a new variant of

“Godrej No. 1 – Strawberry and Walnut”.

• Godrej Hershey Limited has launched a new candy “Maha Choco”. The

product has met with good consumer response with M S Dhoni as its brand

ambassador.
• Godrej Agrovet Limited launched a new premium high fat high milk yielding

compound feed under the Brand “Bovino” and a 10% starter and 10% finisher

concentrate introduced in broiler feed for small broiler integrators under the

name “HPBC”.

HUMAN RESOURCES POLICIES

 What drives Godrej Industries Limited employees is the

positive outlook towards work in an environment of change that

encourages innovation and lateral thinking to harness new

concepts for increasing maximum efficiency. The Godrej

Industries employee is determined, ready to learn and committed

to meeting and raising the organization's standards of quality,

bringing the organisation to the very forefront of the global

FMCG and beverage industry.

Our employee is determined, loyal, committed and eager to

learn and we provide this platform like every other growing

global entity. A complete teamwork is highly appreciated. Every

Godrej Industries employee works in harmony to reach higher

goals and strive to take the organization forward. Forming a team,

whose sole purpose is to achieve its target under any

circumstances, a team that never compromises on quality and

inner strength.

The Godrej Industries Limited Human Resource Department

has initiated a metamorphosis within the organization - a phase of

change to compete and excel globally for future. HRD believes in

the dynamics of change: if we always do what we had always

done, we will always get what we always got and we nurture a

constant urge to achieve something beyond the expected.

To implement this change, Godrej Industries Limited is

working to increase efficiency while reducing unnecessary costs

and expenses. The HR has design a tailor-made HR roadmap,

giving a new dimension to the HR systems and processes, leading

the organization towards an effective human engineering process.

HRD works towards enhancing the effectiveness and the

efficiency of Godrej Industries Limited by enriching individual

maps of reality, by supporting personalized growth of the

individuals, by improving team-spirit and inter-personal

communication of the organization's members. It not only

believes in harnessing internal pools of knowledge but also

provides its employees a platform for knowledge integration with

internal as well as external sources.

The Godrej Industries Limited human resources department

has become an eventful place with a focus towards attraction,

retention and development of talent, as it surges ahead to set

higher performance thresholds. Our HR motto states that - "We

not only believe in blending Spirits into FMCG but also blending

Aspirations into Career."

Selection of any employee depends on the need in any

sector. For this the particular department of organization define

the quality needed in employee and after this the HR department

post the job on different web sites, hire consultant or take

placement from different colleges.

 Promotion of the employee depends on the capability of

employees learning means if the employee can have ability or

eagerness to learn the work of other department beside his work

he will be promoted. Also after the experience and quality of

work any employee is promoted.

Training and Development is a part of any organization.

Godrej Industries Limited believes in leveraging technology to

help it gain a competitive edge in the market place. Godrej has

been one of the first companies in the FMCG / Chemical industry.

So they organize training program time to time.

ENVIRONMENTAL CARE

We are blessed to be in the planet called Earth and enjoy its

pristine beauty to inhabit in it. As a large entity, it is our

commitment to preserve this beautiful paradise. Shaw Wallace as

a company has conceived a variety of on-going initiatives,

designed exclusively to safeguard the wonderful gift of Mother

Nature. After all, this obligation extends to the generations that

will follow us in the years to come.

In an endeavour to bolster environmental care and

nourishment, we at Godrej Industries, maintain the highest

standards of precaution, within the vicinity of our manufacturing

units. As a good corporate citizen, we have taken adequate steps

to protect and conserve the resources inherited from nature,

adopting various environmental friendly measures. The greenery

and landscapes maintained at several of our units have also won

the 'Best Garden' awards on numerous occasions.

At Godrej Industries unit there has been a significant

reduction of wastage of all raw materials and compliance with

international pollution control norms. Godrej Industries has based

its environment policy on parameters like conservation of natural

resources, complying with legal requirements of all statues

applicable to the organization, prevention loss of bio-diversity,

air-pollution, water-pollution and also to impart training for

environment management. The industry has also developed

systems to ensure that the policies and objectives are

implemented periodically.

Also the godrej industries produces high quality of

agriculture products under the brand name of the “Godrej

Adhaar”.