COAL- Myth of Cheap Indian Coal

voltage and trippings resulted in higher wastage and increased cost of plant repairs and maintenance. With the reduction in tax liability, however, net profit was higher at Rs 2.50 crores (Rs 1.84 crores). Dividend, maintained at 25 per cent, was covered 1.40 times against 1.58 times previously. In addition, the directors have proposed issue of bonus .shares in the proportion 1 : 1 and have recorded their intention to pay about 10 per cent on the expanded capital after the proposed bonus issue. The directors point out that recently there has been an acute shortage of caprolactum and DMT, the basic raw materials for the manufacture of nylon and polyester yarn, respectively, Gujarat State Fertilizers is the sole manufacturer of caprolactum and Indian Petrofils Cooperative Society of DMT. Both of them have jacked up prices by 33 per cent and 36 per cent, respectively. The drastic cut in supplies coupled with sharp increase in prices will adversely affect the company's working.