SUKHJIT STARCH & CHEMICALS LTD Evolving with Nature

Investor Presentation 2013

Important Notice

Safe Harbor

Some of the statements in this document that are not historical facts are forward-looking statements. These statements entail risks and uncertainties that could cause actual events to differ materially from these forward-looking statements. These risks include, but are not limited to, the level of market demand for our product, market situation for our key inputs, market conditions that could cause our customers to reduce their spending for our products, our ability to create, acquire and build new businesses and to grow our existing businesses and other risks not specifically mentioned herein but those that are common to industry. The Company does not undertake to update these statements publicly to reflect changed eventualities.

Contents

1. Business Overview2. Product overview3. Management Vision and Ethics4. Industry Dynamics5. Financial Highlights6. Strategic Outlook

Business Overview

First entry mover advantages: One of oldest producer of Starch in India and third largest in India as per production.

Long lasting relationship with biggest brands and  end users

Consistent expansion results in huge jump in capacity from 1800 TPA in 1943 to over over 4 Lacs TPA in 2013-14   Diversification across customers and end-markets

Efficient working capital management: Low gearing with overall debt

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Business OverviewSukh

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Company established its first facility with a capacity of 1800 TPA at Phagwara (Punjab).

Cogoes public thereby creating a wider financial base for itself and at the same time opening up to new horizons.

Starts modernisation of phagwara facility and expand capacity to 12700 TPA.

Company Commissions Liquid Glucose Plant at Phagwara with 100% indigenous technology.

Company expands Crushing at Phagwara to 36000 TPA.

Company acquires Vijoy Steel and General Mills Company Limited.

Company commissions Mono-Hydrate Dextrose Plant at Phagwara with 100% Indigenous Technoogy.

Company venture out of Punjab and commissions the second greenfield facility at Nizambad (A.P.) to produce corn starch.

Consolidation and Expansion of Capacities at both the facilities in Punjab from 36000TPA to 54000 TPA and A.P. from 12700 TPA to 54000 TPA.

Company Commissions Sorbitol 70% Sol. At Phagwara with 100% Indigenous Technology

Company Commissions Anhydrous Dextrose plant at Phagwara with 100% Indigenous Technology.

Company commissions the Third greenfield facility at Malda (West Bengal) to produce corn starch.

Commissiong of HP Plant

Capacity of Malda unit trebled with addiional plant for mfg. Dextrose Monohydrate capacity 50 TPD .

Manufacturing Process

Product Overview

Growth of Maize Starch industry has doubled in the last 5 years in terms of grinding capacity of Maize

North America is expected to lead the global modified starch market with share of 39 percent followed by Asia-Pacific (29 percent) and Europe (27 percent) in terms of consumption.

Due to opening up of the FDI in Retail sector, more international players likely to penetrate the Indian Market

Product Overview

• Change in Consumer Behaviour with respect to habits & patterns of food consumption.

• Packaged ready-to-eat food is the order of the day due to ready OTC availability.

• Increase in requirements of modified and value-added starch products i.e. its derivatives, in the packaged food industry.

“Malls” / “Departmental Stores” culture has taken over age-old next-door “Baniyaa” culture in India especially in Tier 1 and Tier 2 cities.

Product Overview

High-fructose corn syrup,  also high-fructose maize syrup in other countries—comprises any of a group of corn syrups that has undergone enzymatic processing to convert some of its glucose into fructose to produce a desired sweetness. HFCS mainly used in Aerated drinks world over. In India, it is sugar, due to cheap pricing of sugar. Beer industry substituted sugar with High Maltose Corn Syrup (HMCS) and Dextrose, both derivates of Maize Starch. Government may earmark a minimum %age of HFCS instead of sugar in the manufacture of Aerated drinks and Beer.

Manufacturers of Aerated Drinks yet to substitute sugar with an alternative. Enquiry made by manufacturers of Aerated Drinks and Beer, as to an alternative of sugar has increased in last few years Potential growth of use of HFCS foreseen in immediate future.

Product Overview

Product Overview

• In USA & China, 3-4 types of corn available i.e. industry-specific types

• In India, Corn was Corn – no such segregation done due to ignorance on the part of farmers. Type of corn available was not standard on every purchase, due to different types of hybrid seeds used for growing corn.

• Profits of the Maize Starch Industry are expected to rise as reduction in production costs due to better recovery by using industry-specific corn, recently, as also by direct purchases from the farmers

• Increase in consumption of Maize products can check on the pricing of Sugar and Government may give incentives to starch industry in future

Products: Industry Wise

Management Vision

Quality is the life line of every business and Company committed to satisfy customers by manufacturing & supplying quality products to their entire satisfaction

Sukhjit is an innovation company : Products, technologies, processes, business models and strategies

Addressing new growth areas

Capable of identifying and using breakthrough innovations

Management Ethics

Sukhit believes that its products improve the quality of people’s lives

Respect for people and nature Deeply committed to the social upliftment

and all round society welfare Prevention of environment hazards along

with the business/economic growth Channelise youth energy for productive

use

Industry Highlights

Last decade Industry grew by 2 times of GDP : still huge gap in global average and India’s consumption level

Industry growing at 20% rate: China consumption grew by 4 times in last decade

Per capita consumption still very low: ¼ of the consumption as comparison to china.

More than 1000 application in developed countries

Cargill India setting up a corn milling plant in Karnataka with an initial investment of Rs 500 crore to tap the fast-growing market

Financial Highlights

In cr 2013 2012 2011 2010 2009

Net Profit

21.58 22.10 38.78 14.67 11.61

2009 2010 2011 2012 20130

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Net Profit (In Cr)

Net Profit (In Cr)

Financial Highlights

In cr 2013 2012 2011 2010 2009Revenue (annual) 419.74 354.33 339.06 258.54 202.62

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Revenue (in cr)

Financial Highlights

2009 2010 2011 2012 2013

NPM in % 5.14 6.24 11.44 5.68 5.73

OPM in % 12.25 12.36 18.60 12.98 12.23

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Strategic Outlook

 Modified starch market will grow from estimated $12.76 billion in 2012 to $15.23 billion by 2017 with 3.2 percent CAGR during the same period.

In some products, the Statutory permissible limit of usage of starch is still very low in India compared to the permissible limits in other American and European countries. Government may consider and thereby make necessary amendments in the permissible limits

Increase in consumption of Maize products can check on the pricing of Sugar and Government may give incentives to starch industry in future

4 industrial sectors ( Pharma, Food and Beverages, Textile & Paper) which are demand driver for the industry are doing extremely well & expected to continue the uptrend in 2014

IR Contacts

Reach us : Mr Rishi K, Senior Director Reliant Investor Relations Consultancy research@rirc.in +91 9582111450 +91 75061 31222 +91 11 2244 4422