Since the trial production at The Indian Wood Product Co. Limited's Jammu & Kashmir Unit has commenced, the Company is taking all efforts to enhance the utilization of installed production capacity thereat. Further, the production capacity at the Bareilly plant is 3600 MT per annum and the utilization level is 3040 MT per annum. The management is also taking all efforts to enhance the utilization level thereat.
At present the company is also operating at Kundli unit which is on job work contract basis. The production at Kundli unit is 250 MT per annum. The Company has to incur additional transportation cost at this unit.
As a part of cost reduction measures, potential to enhance the production level at Jammu & Kashmir and Bareilly units and the availability of quality timber in Jammu & Kashmir, it has been decided to discontinue the job work operation at Kundli unit w.e.f December 15, 2019. The production at Jammu & Kashmir and Bareilly units shall be increased to compensate the production loss of Kundli unit.
The shifting of production will result in increase in production of Quality Katha, and reduction in logistic, administrative and overall production cost.
Shares of The Indian Wood Products Company Ltd was last trading in BSE at Rs.46.05 as compared to the previous close of Rs. 46.5. The total number of shares traded during the day was 37304 in over 48 trades.
The stock hit an intraday high of Rs. 47.85 and intraday low of 45.1. The net turnover during the day was Rs. 1746414.