MIDAS fileAnnual Report 2015 MIDAS Contents Mission, Vision and Objectives 1 Core Services of MIDAS 1 Board of Directors 2 MIDAS Team 3 Notice for Twenty Third Annual General Meeting

MIDAS

Since 1982

MICRO INDUSTRIES DEVELOPMENTASSISTANCE AND SERVICES (MIDAS)

A session of skill training in DhakaDyes and colouring in a mini garments skill training in Dhaka

Production exercise of a training session in Dhaka

Training conducted by MIDAS

MIDAS SME Trade Fair-2015 for Women Entrepreneurs

Group exercise by the participants in an entrepreneurship development training in Dhaka

Awarding of certificate to a trade fair stall in DhakaGuest visiting stalls after inauguration in Dhaka

Foreign visitors at MIDAS SME Trade Fair 2015 in DhakaInauguration of MIDAS SME Trade Fair 2015 in Dhaka

MIDAS SMETRADE FAIR

2015

ANNUAL REPORT

MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)MIDAS Centre (11th Floor) | Plot 5 | Road 16 (New) (Old 27) | Dhanmondi | Dhaka 1209 | Bangladesh

T: + 88 02 9103421, 9113765, 9146579 | M: + 88 0171 184 2976 | F: + 88 02 58153580Email: [email protected] | www.midas.org.bd

MIDAS

Since 1982

2015

MIDAS Annual Report 2015

MIDAS

Study & Research | Project Preparation | Project Implementation | Project Management | Baseline Survey | End-line Survey | Monitoring & Evaluation | Training | Technology Transfer for Private Sector Development | Information and Counselling | Marketing Assistance for Women Entrepreneurs

MIDASAnnual Report 2015

ContentsMission, Vision and Objectives 1

Core Services of MIDAS 1

Board of Directors 2

MIDAS Team 3

Notice for Twenty Third Annual General Meeting 4

Directors' Report 5

1. Study and Research 5 1.1 LDRRF Independent Monitoring of CDMP Phase II 5 1.2 Customer Satisfaction Survey in Power Sector 6

2. Training 7 2.1 MIDAS signed MoU with LankaBangla Securities Ltd for Capital Market Awareness Program 7 2.2 MIDAS signed MoU with High Commission for Pakistan for Training, Trade Fair and Seminar 7 2.3 Entrepreneurship and Skill Development Training on 8 Mini Garments for SME Women Entrepreneurs in Dhaka 2.4 MIDAS SME Trade Fair for Women Entrepreneurs in Dhaka 8

3. Technology Transfer 9 3.1 Asix Limited 9 3.2 BD Venture Limited 10 3.3 Kores Bangladesh Limited 10 3.4 Bangladesh Monospool Paper Manufacturing Limited 11 3.5 Food Edge Limited 11 3.6 Max Foundation 12 3.7 Kazi Farms Group 12

4. Dissemination 13

5. Accounts for the Year 2014-2015 13

6. Composition of the Board of Directors 13

7. Future Outlook 14

8. Acknowledgement 14

Auditors' Report 15-29


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Mission, Vision and ObjectivesVision:To be the front-line business development service provider in Bangladesh.

Mission:To help generation of employment to reduce poverty and promote socio-economic development.

Objectives:MIDAS is committed to the development of a sound and rapidly growing micro, small and medium enterprizes sector in Bangladesh. Accordingly, it aims at:

Identifying promising micro, small and medium-scale enterprizes by providing financial, managerial and technical assistance.

Developing entrepreneurship and helping entrepreneurs to seek and explore new business opportunities.

Facilitating capacity building of micro, small and medium enterprizes and promoting organizations.

Serving as a catalytic force for the growth of micro, small and medium-scale business enterprizes in the country.

Continuously developing its institutional capability to operate on self-sustainable basis.

Core Services of MIDAS

The core services of MIDAS include:

Study & Research Baseline Survey and End-line Survey Human Resource Development Technology Transfer for Private Sector Development Information and Counseling Project Preparation, Implementation, Management, Monitoring & Evaluation Marketing Assistance for Women Entrepreneurs

MIDAS

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Annual Report 2015

BOARD OF DIRECTORS

Mr. S. M. Al-HusainyDirector

Mr. Shaikh A. HalimDirector

Ms. Rokia Afzal RahmanDirector

Mr. Mohammed IkramullahDirector

Maj. Gen. (Retd.)Mahabbat Jan Chowdhury

Director

Prof. Hafiz G. A. SiddiqiDirector

Mr. Mirza Ali Behrouze IspahaniDirector

Mr. Anjan ChowdhuryDirector

Dr. A.S.M. Mashi-ur-RahmanManaging Director (acting)

Ms. Sabina AlamDirector

Mr. Bazlur Rahman KhanChairman

Ms. Parveen MahmudDirector

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MIDAS Team

Md. Monirul IslamManager (Finance and Accounts)

Kamrun NaharManager (Library and Information)

A.K.M. ShamsuddinDeputy General Manager

(Admin. and HRM)

Ziaul MoquitGeneral Manager

Muhammad Ridwan-Ul AlamOfficer (Information Technology)

Md. Azizur RahmanOfficer (Administration)

Borna Marina HalderOfficer (Technology Transfer)


Md. Ebrahim HossainAssistant General Manager(Training and Consultancy)

MIDAS

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Annual Report 2015

Notice for Twenty ThirdAnnual General Meeting

November 26, 2015

Notice is hereby given that the Twenty Third Annual General Meeting of the Members of MIDAS will be held at 3 p.m. on Sunday, December 20, 2015 at its Head Office at MIDAS Centre (11th floor), Plot No. 5, Road No. 16 (New), Dhanmondi, Dhaka-1209, Bangladesh to transact business as per the following agenda:

AGENDA

1. To consider and adopt the Directors' Report for the period ended on June 30, 2015.

2. To consider and adopt the Audited Accounts for the year ended on June 30, 2015 and the Auditors' Report thereon.

3. To appoint auditors for the year 2015-2016 and fix their remuneration.

4. To elect Members of the Board.

For and on behalf of the Board,


Note: A member entitled to attend and vote at the Annual General Meeting may appoint a proxy to attend and vote his/her instead. No person shall act as a proxy unless s/he is a member. The proxy form, duly stamped, must be deposited at the registered office of the Company no later than 72 hours before the time of holding the General Meeting.

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Directors' ReportIt is my great pleasure to place before the Board of Directors of Micro Industries Development Assistance and Services (MIDAS) the Director's Report on the activities for the year ended on June 30, 2015. During the year under the report, several Board Meetings were held. Through these meetings, the operation of the Company was reviewed regularly and necessary policy guidelines were provided to the management. The decisions taken by the Board helped MlDAS in improving its performance.

1. Study and ResearchMIDAS provides consultancy services on monitoring and evaluation, industrial project development, business management and marketing. It conducts survey, study & research, independent monitoring & evaluation for national and multinational companies, financial institutions, development partners, donors, government agencies, international and local NGOs. During the year 2014-2015, MIDAS earned BDT 7.52 million as fees with the following consultancy assignments.

1.1 LDRRF Independent Monitoring of CDMP Phase II

The Comprehensive Disaster Management Programme (CDMP) Phase II is the main vehicle for institutional reform, capacity building and reducing disaster and climate risks in vulnerable communities living in disaster prone areas of Bangladesh. The programme is currently working across 12 ministries, 40 districts, 9 city corporations and multiple sectoral partners, including 16 universities and 8 training institutes. Around 50% of total resources are laid with the Local Disaster Risk Reduction Fund (LDRRF), a pooled funds instituted in CDMP, to finance small to medium scale structural and non-structural interventions at the local level. CDMP will be reaching with new risk reduction interventions/schemes in 500 unions of 40 districts by the end of the project in 2015.

To ensure quality of such huge number of schemes implemented across the country, CDMP engaged MIDAS (for the period of August 2013 to April 2015) as a third party for independently monitoring whether the project schemes/interventions (structural and non-structural) are up to the acceptable standard in terms of results, process, effectiveness, quality, and accountability of the LDRRF-supported interventions. The monitoring and evaluation process was designed by MIDAS Team. Relevant technical and monitoring professionals engaged by MIDAS inspected connecting-roads, cyclone centres, embankments, tube-wells, hygienic toilets, pond excavation and re-excavation, earthen killa, plinth raising, flood protection dams and wall constructions. For non-structural interventions, MIDAS independently monitored the livelihood support trainings, distribution of seed money, solar lamps, solar panels, fishing nets, boats, life jackets, black Bengal goats and training on making improved cooking stoves. Sectoral experts of MIDAS were in charge of overall monitoring progress of the project.

In the First Phase of the assignment, during FY 2013-14, MIDAS Independent Monitoring Team prepared and submitted Independent Monitoring Report-1 to CDMP II of UNDP.

In the second phase of the assignment, during FY 2014-15, MIDAS Monitoring Team physically verified about 1,500 interventions, conducted 488 Key Informants Interviews (KIIs) and 48 Focus Group Discussion (FGDs) in 48 Upazilas of 28 districts. In two phases a total of 3,319 interventions (structural and non-structural) were physically verified, 98 FGDs and 1,313 KIIs were organized by MIDAS. MIDAS incorporated recommendations and submitted the final report. Moreover, a detailed photo album with location-wise specific interventions were compiled and submitted.

The findings would facilitate CDMP II in designing a plan of action for strengthening the current disaster risk reduction program and future advocacy possibilities to save the lives of human beings as well as poultry and livestock.


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The Power Cell under the Power Division of Ministry of Power, Energy & Mineral Resources assigned MIDAS as the independent organization to carry out the Customer Satisfaction Survey in Power Sector of 15,000 customers of Dhaka Power Distribution Company (DPDC), West Zone Power Distribution Company (WZPDC) and four of the coverage areas of Palli Bidyut Samity (PBS) under Bangladesh Rural Electrification Board (BREB), for the period from September 2014 to April 2015.

MIDAS successfully carried out the assignment and submitted the final report to Power Cell Authority. A total of different categories of 15,000 customers of DPDC, WZPDC and PBS of BREB (5,000 each) were surveyed in Dhaka, Narayangonj, Gazipur, Manikgonj, Khulna, Jessore and Barisal districts. Out of total 15,000 surveyed customers, 12,477 (83%) were from residential class, 1,924 (13%) from commercial class, 299 (2%) from Irrigation class and the rest 300 (2%) from other classes (Small Industries, Medium Voltage General Purposes).

After submission of the final report by MIDAS, a formal presentation of the final report was held at Bidduyt Bhaban in Dhaka on July 5, 2015. Dr. Tawfiq-e-Elahi Chowdhury, BB, Adviser to the Prime Minister, Power, Energy & Mineral Resources Affairs; Mr. Nasrul Hamid, MP, State Minister, Ministry of Power, Energy & Mineral Resources; Mr. Monowar Islam, Secretary, Power Division; Mr. Mohammad Hossain, Director General, Power Cell, Power Division, Ministry of Power, Energy & Mineral Resources; high officials of concerned and other agencies of Bangladesh Government; representatives of print and electronic media, etc. were present on the occasion. Dr. A.S.M. Mashi-ur-Rahman, Managing Director (acting), MIDAS made the power point presentation of the report. Mr. S.M. Al-Husainy, Director, MIDAS Board and other MIDAS officials also attended the program.

UNDP and MIDAS officials speak with beneficiaries of plinth raising and construction of disaster resilient household in Satkhira district.

Pond-water filtration installation and cyclone shelter in Khulna district.

1.2 Customer Satisfaction Survey in Power Sector

MIDAS Study Team discussing with DPDC officials in Zigatala, Dhaka

Kick-off meeting with MIDAS Study Team at Power Cell under the Power Division of Ministry of Power, Energy & Mineral Resources.

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The survey results showed that service reliability in terms of quality and uninterrupted power supply has improved significantly. Government has undertaken various efforts to increase power generation capacity to reduce power shortage. Also due importance has been given for transmission and distribution system improvement. These measures already have resulted in appreciable improvement of power supply situation in the country and considerable reduction of power failure, load shedding, electricity pilferage, etc. at recent times.

2. Training

MIDAS provides training services on regular basis mainly in the fields of Entrepreneurship Development, Business Management, Skill Development, Sales and Marketing, etc. In the year under report, the Training Unit earned fees amounting to BDT30.01 million.

2.1 MIDAS signed MoU with LankaBangla Securities Ltd for Capital Market Awareness Program

MIDAS signed a Memorandum of Understanding with LankaBangla Securities Limited in September 2014. Under the MoU LankaBangla Securities Limited and MIDAS had agreed to work towards geographical mapping of existing investors, need assessment of the investors to facilitate decision making by the investors, capital market awareness program through organizing training, seminars and symposium, and internet based securities training in Bangladesh.

The MoU was signed by Mr. Mohammad Khairul Anam Chowdhury, CEO & Director, LankaBangla Securities Limited and Dr. A.S.M. Mashi-ur-Rahman, Managing Director (acting) of MIDAS in a simple ceremony at MIDAS office in Dhanmondi. Officials of LankaBangla Securities Ltd and MIDAS were present on the occasion.

Under this MoU MIDAS conducted thirty nine day-long training on capital market awareness for potential customers in Jessore (4 trainings in October, 2014), Khulna (4 trainings in November, 2014), Rajshahi (7 trainings in December, 2014), Barisal(4 trainings in January, 2015), Comilla (4 trainings in February, 2015), Chittagong(4 trainings in March, 2015), Sylhet (4 trainings in April, 2015), Dhaka(4 trainings in May, 2015), and Gazipur(4 trainings in June, 2015). All the participants were aware about the procedure of capital market.

2.2 MIDAS signed MoU with High Commission for Pakistan for Training, Trade Fair and Seminar

MIDAS signed a Memorandum of Understanding with High Commission for Pakistan in May 2015. Under the MoU High Commission for Pakistan and MIDAS had agreed to work towards conducting Entrepreneurship Development and Skill Development Trainings, organizing SME Trade Fairs and Workshop on SME issues for SME women entrepreneurs of Bangladesh.

The MoU was signed by H.E Shuja Alam, High Commissioner of Pakistan to Bangladesh and Dr. A.S.M. Mashi-ur-Rahman, Managing Director (acting) of MIDAS in a simple ceremony at MIDAS office in Dhanmondi. Officials of Pakistan High Commission and MIDAS were present on the occasion.

FGD with WZPDC officials in Khulna


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2.3 Entrepreneurship and Skill Development Training on Mini Garments for SME Women Entrepreneurs in DhakaAs part of MoU signed between High Commission for Pakistan and MIDAS, MIDAS was entrusted to organize and conduct three batches of training courses for Bangladeshi SME Women Entrepreneurs and trade fairs for the training participants and other women entrepreneurs in Dhaka, Rajshahi and Cox's Bazar.

Accordingly MIDAS conducted first batch of 20-day Entrepreneurship and Skill Development Training on Mini Garments in Dhaka during May 25 to June 18, 2015 at MIDAS Centre (12th floor) in Dhanmondi. The Training Course comprised two parts-5-day Entrepreneurship Training and 15-day Skill development Training on Mini Garments.

The entrepreneurship training part of the course included topics on identification and selection of viable business projects, preparation of bankable business plans covering management, marketing and production aspects, analyzing profitability of potential business ventures. Skill development training on Mini Garments covered various topics on introduction to various types of cloths; cloth drawbacks; techniques of removing stains on cloth; ideal place for sewing; knowledge on sewing machine and necessary equipment; different types of machine sewing; techniques of taking body measurements; making various dresses for babies, girls and women; different types of hand sewing and stiches; different types and techniques of hand bag making; dyes and colouring techniques; block, batik and fabric painting technique, etc.

2.4 MIDAS SME Trade Fair for Women Entrepreneurs in DhakaAfter successful completion of the 20-day Entrepreneurship and Skill Development Training on Mini Garments a 3-day SME trade fair for women entrepreneurs was organized in Dhaka on June 25-27, 2015. In the fair, products of entrepreneurs participated in the training and other women entrepreneurs were displayed and sold. A total of 36 stalls, each measuring 8 feet by 8 feet was constructed at the trade fair venue (MIDAS Centre,12th floor) occupied by 36 SME women entrepreneurs out of which 19 were training participants.

The trade fair was inaugurated on June 25, 2015 with an inaugural ceremony held at the trade fair venue, attended by H.E. Shuja Alam, High Commissioner, Ms. Samina Mehtab, Deputy High Commissioner, Ms. Farah Farooq, Commercial Counsellor and Ms. Ambreen Jan, Press Counsellor of High Commission for Pakistan, Mr. Bazlur Rahman Khan, Chairman and Ms. Sabina Alam, Director of MIDAS Board, Mr. Shafique ul Azam, Managing Director of MIDAS Financing Ltd, Dr. A.S.M. Mashi-ur-Rahman, Managing Director (acting) of MIDAS and other MIDAS officials and trade fair participants. In this occasion H.E. Shuja Alam awarded certificates to the training participants.

A training session of Entrepreneurship Development Training held at MIDAS Centre in Dhaka

Practical demonstration of dyes and colouring technique in the Mini Garments Training in Dhaka


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3. Technology TransferPUM-Netherlands Senior Experts is a government-supported organization based in the Netherlands. It offers services of volunteer experts, most of whom are former senior/top level professionals, to help industrial/commercial ventures and social organizations of developing countries. MIDAS is the institutional representative of PUM-Netherlands in Bangladesh, getting support from PUM-Netherlands for its Technology Transfer for Private Sector Development (TTPSD) Program in Bangladesh.

PUM bears the international travel expenses of the senior experts and the local beneficiaries have to meet only their local expenses for accommodation, food, transportation and laundry.

During FY 2014-15 seven missions were carried out by PUM Senior Experts in Bangladesh through MIDAS for the following organizations.

Mr. Bazlur Rahman Khan, MIDAS Chairman, is addressing in theinaugural function of MIDAS SME Trade Fair 2015 in Dhaka

Trade fair is a significant part of business marketing efforts across many enterprises. It presents a great opportunity, particularly for the women entrepreneurs to extend their presence through all-important, face-to-face relationship-building with the buyers. To that extent MIDAS SME Trade Fair 2015 provided real hands-on experience especially for those women entrepreneurs who participated for the first time in any of such events.

Some of the stalls of the trade fair organized for women at MIDASCentre in Dhaka

Mrs. C. Valkhoff, Design and Export Marketing Expert of PUM Netherlands with Ms.Afsana Asif Shoma, Managing Partner of Asix Ltd, Dr. A. S. M. Mashi-ur-Rahman, MD (acting), MIDAS and her newly developed products

Asix Limited was established in 2011 and is producer of sustainable fashion and lifestyle products made with high quality jute fibre, jute cotton and genuine leather. Its products include household items like table runners, fashion accessories such as bags, shoes, etc. The head office of Asix is located in DOHS Baridhara and its factory in Badda. They have three sales centres in Dhaka and one in Chittagong.

Mrs. C. Valkhoff (Project No. 67841MBJ), Design and Export Marketing Expert of PUM Netherland assisted the company during her 15-day assignment in November/December 2014 in Dhaka. The Dutch expert assessed company's present market position, provided training to employees on product development, familiarized them on the procedure of export market and successful penetration to overseas market.

3.1 Asix Limited


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BD Venture Limited is a relatively new venture capital company in Bangladesh which supports entrepreneurs in reaching their full potential by providing finance and managerial expertise to enterprises by participating as a shareholder of the company. The company does not expect a return on investment for initial 3 to 5 years on average. BD Venture Limited envisioned an alternative way of financing for the businesses, which need money to run or expand their businesses, but deficient in collateral to qualify for loan from banks or uncomfortable with the terms and conditions set out by traditional banking.

PUM Expert Mr. R. van Herwaarden (Project No. 67930MBJ), assessed activities of BD Venture Limited and accordingly trained their professionals during 24 November to 5 December 2014 in Dhaka. In the training international best-practices in venture capital management were elaborately discussed and explained.

PUM Expert Mr. R. van Herwaarden with Mr.Shawkat Hossain, MD, BD Venture and Dr. A. S. M. Mashi-ur-Rahman, MD (acting), MIDAS

Kores Bangladesh Limited is a concern of BDG Magura Group. It is a leading manufacturer of 100 % export oriented sweaters in Bangladesh. The factory was established in 1998 and over the years it has become equipped with modern machinery from U.S.A, Germany, Japan, Taiwan and Hong Kong. Since Generalized System of Preferences (GSP) facility was withdrawn from Bangladesh, Kores has been looking for positioning its products better in European market to get more orders from buyers. During August 2014 in Dhaka Mr. R. H. N. Brand (Project No. 63653MBJ) visited the company and recommended different marketing strategies for Kores Bangladesh Limited.

3.2 BD Venture Limited

3.3 Kores Bangladesh Limited

PUM Expert Mr. R.H.N. Brand assisted the sweater factory of Kores Bangladesh Ltd


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Mr. V. van den Oord, a Bakery & Confectionery Senior Expert of PUM Netherland is demonstrating quality control (QC) to baking chefs of Food Edge Limited at the factory premise.

Only a year ago or so, Bread & Beyond café opened its door selling an expansive collection of pastries and sweets. There are two branches, one in Banani and another in Dhanmondi. The café is still known to just a modest crowd but it has a good number of repeat customers.

Mr. Noor Haque, Managing Director of Food Edge Limited requested assistance from PUM-Netherlands on bakery and process management. Mr. V. van den Oord, a Senior Bakery & Confectionery Expert (Project No. 68770MBJ) visited Food Edge Limited from 27 January to 9 February 2015. Mr. Oord initially made a learning need assessment of the company bakers and staff members. Then he shared his understanding with Mr. Haque and on priority basis provided hands-on training on seven popular bakery items, modified their production cycle, demonstrated quality control (QC) techniques, packaging and merchandising. He also provided Food Edge advice on exporting their products.

3.5 Food Edge Limited

Bangladesh Monospool Paper Manufacturing Limited produces computer form printing papers. The factory is located about 48KM away from the Dhaka City in Sreerampur of Dhamrai Upazila, employing about 40 persons who work in two shifts. It has an output of 15,000 boxes of computer form printing paper. With growing demand of this paper in Bangladesh as people are using printers in offices and homes, the company needed production enhancement while maintaining quality. During September 2014 PUM Netherlands Expert Mr. Q. W. G. M. van der Klugt assisted (Project No. 67200MBJ) the company to increase paper production and introduced quality assurance mechanism of the company. PUM Expert Mr. Q. W. G. M. van der Klugt with Mr. Mustafa Kamal

Mohiuddin, MD of Bangladesh Monospool Paper Manufacturing Ltd.

3.4 Bangladesh Monospool Paper Manufacturing Limited


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PUM Senior Expert on Organizational Development and Fundraising Mr. Jan Oomen, is discussing with officials of Max Foundation in Dhaka

In 2005, Max Foundation was established by Mrs. Joke and Mr. Steven Le Poole after the death of their son Max Le Poole. He was only eight months old and died of a rare viral infection. To spare other parents of such deep pain, and give as many children the future that Max did not have, the Max Foundation was established.

In Bangladesh, Max Foundation is a fast growing Dutch-based international NGO that works on reducing child mortality through Max-WASH project. This project is an adoption of UNICEF's WASH (Water, Sanitation and Hygiene) program. It is currently being implemented with other local partner organizations.

Mr. Jan Oomen, PUM Netherlands Senior Expert on Organizational Development and Fundraising visited Max Foundation (Project No. 68697 MBJ) from 8 to 23 February 2015. He trained and advised Engr. Imam Mahmud Riad, Country Director and senior management on organizational development and fundraising activities. He focused on strengthening team work, strategic planning for fundraising, internal fundraising, technical / managerial capacity development as well as partner management.

3.6 Max Foundation

PUM expert Mr. Arnoldus Nieuwenhuis provided training to the personnel of meat processing factory of Kazi Farms Group

Kazi Farms Group is one of the largest players of the poultry industry in Bangladesh. Their market share is 25% of day-old chicks and 20% of broiler feed. They also run a world-class broiler grand-parent operation which was responsible for Bangladesh's first exports of hatching eggs and day-old chicks in 2004. They have over 50 breeding farms, hatcheries, feed mills and sales offices around the country. A range of frozen food products are sold under the brand name Kazi Farms Kitchen. Kazi Farms Group is now planning to develop their slaughtering house with the objective of positioning its products better in European market. Accordingly PUM Netherlands expert Mr. Arnoldus Nieuwenhuis provided training (Project 69296MBJ) during 12 to 25 April 2015 on slaughtering techniques at the slaughtering house of Kazi Farms Group in Chittagong.

3.7 Kazi Farms Group


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4. DisseminationMIDAS is the sole distributor of the publications of the World Bank, International Monetary Fund (IMF), Asian Development Bank (ADB), and Food & Agriculture Organization (FAO) in Bangladesh. It fulfils the need for these publications to the government, semi-government, educational institutions, NGOs, research organizations and individuals. The publications are sold in local currency and in most of the cases attractive discounts are offered to the buyers. In financial year 2014-2015, publications worth BDT1.60 million were sold in Bangladesh.

In 2014-2015, MIDAS published quarterly news bulletin, MIDAS News and circulated to chambers of commerce, trade associations, government agencies, banks, development financing institutions, diplomatic missions, international organizations, NGOs, donor agencies and selected individuals working as development practitioners at national and international levels.

5. Accounts for the Year 2014-2015The total income earned by MIDAS during the year was BDT 83.52 million as against BDT 38.58 million in the previous year. The total expenditure for the year was BDT 38.39 million during 2014-2015 as against BDT 35.24 million in past year. The detailed audited accounts of MIDAS for the year ended on June 30, 2015 along with the Auditors' Report thereon are submitted separately.

6. Composition of the Board of DirectorsArticle 40 of the Company provides that all Members of its Board of Directors except the Managing Director shall serve for a period of 2 (two) years and that they shall be eligible for re-election for further additional terms.

At present, there are eleven Members (excluding the Managing Director) on the Board. Of them, the following nine Members were elected in the Twenty Second Annual General Meeting held on December 20, 2014:

1. Mr. S.M. Al-Husainy2. Mr. Shaikh A. Halim3. Mr. Mohammed Ikramullah4. Ms. Rokia A. Rahman5. Prof. Hafiz G.A. Siddiqui6. Mr. Mirza Ali Behrouze Ispahani7. Mr. Bazlur Rahman Khan8. Ms. Sabina Alam9. Mr. Anjan Chowdhury

The following two Directors were elected in the Twenty First Annual General Meeting held on December 20, 2013:

1. Major General Mahabbat Jan Chowdhury (Retd.) 2. Ms.Parveen Mahmud

These two Directors are retiring and being eligible, are offering themselves for re-election in the Twenty Third Annual General Meeting.


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7. Future OutlookInitially the Company provided both developmental and financial services. The financing role of the Company was taken over by MIDAS Financing Limited with effect from January, 2000. The Company has since been left with only developmental services.

Since inception in 1982, MIDAS is engaged in the promotion and development of small and medium enterprises on self-sustainable basis. To achieve its objective, MIDAS has been providing various business support services like socio-economic study & research, industrial project feasibility study, training on entrepreneurship development and business management, project preparation, project implementation, monitoring & evaluation, information and distribution of publications, technology transfer with the help of foreign experts for the benefit of various agencies and individuals, marketing assistance for women entrepreneurs, etc. These activities will continue to be the main areas of operation of the Company.

However, the possibility of introducing new types of activity to diversify its functions is also being explored.

8. AcknowledgementThe MIDAS Board acknowledges with thanks the support and co-operation MIDAS received from various clients, well-wishers and development partners in the implementation of its various programmes. The Board also places on record its appreciation of the efforts made by MIDAS employees to improve the operational efficiency and financial standing of the organization.

For and on behalf of the Board of Directors of MIDAS,

Bazlur Rahman KhanChairman

A glimpse of the 22nd Annual General Meeting of MIDAS


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M A Quader Kabir & Co. Chartered Accountants

Kabirs, House 11, Road 1ASector 5, Uttara, Dhaka 1230

Phone: 8924229

Auditors' ReportWe have audited the accompanying Financial Position of the Micro Industries Development Assistance and Services (MIDAS) as at June 30, 2015 and Statement of Comprehensive Income and Statement of Cash Flows and notes to the financial statements for the year then ended. The preparation of these financial statements is the responsibility of MIDAS's management. Our responsibility is to express an independent opinion on these financial statements based on our audit.

We conducted our audit in accordance with Bangladesh Standards on Auditing (BSA), which are consistent in all material respects with International Standards on Auditing (ISA), International Financial Reporting Standards (IFRS) as adopted in Bangladesh. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. Our audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our audit also includes assessing the accounting policies used and significant estimates made by management as well as evaluating the overall financial statement preparation. We believe that our audit provides a reasonable basis for our opinion.

Independent Opinion:

a) In our opinion, the financial statements prepared in accordance with Bangladesh Accounting Standards (BAS), give a true and fair view of the state of Company's affairs as at June 30, 2015 and of the result of its operations and Cash Flows for the year then ended and comply with the Companies ACT 1994, and other applicable laws and regulations.

b) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit and made due verification thereof.

c) In our opinion, proper books of account as required by regulating law and rules and regulations have been kept by MIDAS so far as it appeared from our examination of those books.

d) The statement of Financial Position, statement of Comprehensive Income and statement of Cash Flows dealt with by the report are in agreement with the books of accounts.

Date: November 03, 2015 M A Qauder Kabir, FCA Chartered Accountants


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MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)Statement of Financial PositionFor the Year Ended 30 June, 2015

Chairman Director Managing Director (acting)Board of Directors

Signed in terms of our separate report of even date annexed


Date: November 03, 2015

Particulars Notes Amount (Tk.) Amount (Tk.)

30.06.2015 30.06.2014 A. Fixed Assets :

4,174,571 4,917,896

Fixed Assets at Cost 4.00 19,292,420 19,097,020 Less: Accumulated Depreciation 15,117,849 14,179,124

B. Investments :

476,922,347 412,861,601 Fixed Deposit 5.00 113,900,000 118,753,447 Equity participation 6.00 361,397,660 292,198,830 Staff Welfare Loan 7.00 1,624,687 1,909,324

C. Current Assets :

21,501,268 17,687,647 Advance deposits & prepayment 8.00 14,179,847 13,420,390 Project loans receivables 9.00 109,392 109,392 Cash and Bank Balances 10.00 7,212,029 4,157,865

Total Property and Assets (A+B+C) :

502,598,186 435,467,144

Financed by :

A. Capital and Reserves

242,847,182 242,847,182 Capital Fund Account 11.00 242,847,182 242,847,182

B. Current Liabilities

24,369,248 2,369,248 Other Current Liabilities 12.00 23,899,296 1,899,296 Donation 13.00 469,952 469,952 C. Accumulated Surplus / ( Deficit ) 14.00 235,381,756 190,250,714 Total Liabilities and Fund (A+B+C) :

502,598,186 435,467,144

The annexed notes from 1.00 to 18.00 form an integral part of the financial statements

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MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)Statement of Comprehensive Income

For the Year Ended 30 June, 2015





Particulars Notes Amount (Tk.) Amount (Tk.) 2014- 2015 2013- 2014

Operational Income 15.00 39,447,735 22,738,219

Less: Operational Expenses 16.00 27,317,720 26,831,024

Operational Surplus / ( Deficit ) 12,130,015 (4,092,805)

Less : Administrative Expenses 17.00 11,076,507 8,412,224

Net Operational Surplus / ( Deficit ) 1,053,508 (12,505,029)

Add.Non Operational Income 18.00 44,077,534 15,844,263

Net Surplus/ (Deficit ) for the year 45,131,042 3,339,234

The annexed notes from 1.00 to 18.00 form an integral part of the financial statements


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MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)Statement of Cash Flows

For the Year Ended 30 June, 2015





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MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDASNotes to the Financial StatementsFor the Year Ended 30 June, 2015

1.00a. STATUS OF THE COMPANY:MIDAS operated as a Society under the Societies Registration Act 1860 to promote and develop micro industries till March 1993. Micro Industries Development Assistance and Services (MIDAS) was incorporated as a Company Limited by Guarantee with the same objectives under Section 26 of the Companies Act 1913 vide Certificate of Incorporation No. CTO-304 (16)/92 dated December 30, 1992. All assets, liabilities and other obligations as reflected in the society's Balance Sheet as at April 30, 1993 were transferred to the Company on May 01, 1993 in accordance with a vendor's agreement made between the then Society and the newly formed Company on March 29, 1993

MIDAS is basically a non-profit company and is specifically prohibited to pay any dividend to its members.

b. Objectives of the Company

The main objectives of the Company are to develop and promote micro and small enterprises for the creation of employment on a self-sustainable basis through (i) disseminating information on micro and small enterprises, (ii) carrying out studies and research (iii) identifying innovative projects and potential entrepreneurs for micro and small enterprise development, (iv) offering a package of service including financial assistance, (v) promoting women entrepreneurship and (vi) offering consultancy services for industrial development.

c. Activities of the Company

The activities of MIDAS are conducted through seven Cost Centres viz. i) Project Monitoring, ii) Micro Industries Development Initiatives (MIDI), iii) Study and Research, iv) Information, v) Training, vi) Finance & Administration and vii) Managing Director's Secretariat.

An associate company, named MIDAS Financing Limited, started operation from January, 2000 under license from Bangladesh Bank and took over the financing activities of the Company. The responsibility of recovering the Project Loans disbursed prior to the takeover has been entrusted to the associate company and the costs incurred for monitoring and recovery of the loans are charged to the first two of the above mentioned cost centres.

2.0 SIGNIFICANT ACCOUNTING POLICIES:

a. Book Keeping and Accounting System

The book keeping and accounting system of the Company was designed by the consultants appointed by USAID, in accordance with internationally accepted accounting standard and is fully computerized.

b. Convention

The organization prepares its financial statements on historical cost convention under integrated accounting system. The Expenses of the Company are charged to the five cost centers.

c. Recognition of Income and Expenditure

Although the accounts of the company are maintained on Bangladesh Accounting Standards (BAS), the Company recognizes its income and expenditure on cash basis d. Depreciation

The Company depreciates its fixed assets according to the reducing balance method so as to amortise their values over the useful life of the assets. Depreciation is charged for the whole year irrespective of the date of acquisition. During the year under audit assets were depreciated at the following rates which are consistent with the previous practice


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MIDASA

nnual Report 2015

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MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)FIXED ASSETS SCHEDULE

AS AT 30 JUNE,2015Annexure - A

MIDASA

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MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)STATEMENT OF OPERATIONAL EXPENSES

AS AT 30 JUNE,2015Annexure - B

Mr. Arnoldus Nieuwenhuis at Kazi Farms GroupMr. R.H.N. Brand at Kores Bangladesh Limited

Mr. Bertus van Heugten, Country Coordinator,PUM-Netherlands at Asix stall in a trade fair

PUM-Netherlands assisting Bangladeshi Organizations under the TTPSDP of MIDAS

Glimpses of activities of Study and Research conducted by MIDAS

Mr. V. van den Oord at Food Edge Limited

FGD with BREB officials in ManikgonjPower Cell, Power Division and MIDAS signed agreement to conduct Customer Satisfaction Survey in Power Sector

Physical Verification Survey of CDMP Interventions in KhulnaPhysical Verification Survey of CDMP Interventions in Satkhira

MICRO INDUSTRIES DEVELOPMENT ASSISTANCE AND SERVICES (MIDAS)MIDAS Centre (11th Floor) | Plot 5 | Road 16 (New) (Old 27) | Dhanmondi | Dhaka 1209 | Bangladesh

T: + 88 02 9103421, 9113765, 9146579 | M: + 88 0171 184 2976 | F: + 88 02 58153580Email: [email protected] | www.midas.org.bd

GOVERNMENT ALLIANCES

INSTITUTIONAL CLIENTS

KNOWLEDGE PARTNER

Economic Relations Division (ERD), Ministry of FinancePower Cell, Power Division Ministry of Power, Energy and Mineral Resources

Registrar of Joint Stock Companies and Firms, NGO Affairs Bureau, Prime Minister's Office

Dr. Tawfiq-e-Elahi Chowdhury, BB, Adviser to the Prime Minister, Mr.Nasrul Hamid, MP, Honorable State Minister, Mr. Monowar Islam, Secretary and Mr. Mohammad Hossain, Director General, Power Cell, Power Division Ministry of Power, Energy and Mineral Resources in 'Dissemination Seminar on Customer Satisfaction Survey in Power Sector' at Power Cell, Ministry of Power, Energy and Mineral Resources

High Commission for Pakistan

Documents

MIDAS fileAnnual Report 2015 MIDAS Contents Mission, Vision and Objectives 1 Core Services of MIDAS 1 Board of Directors 2 MIDAS Team 3 Notice for Twenty Third Annual General Meeting