Karnimata Cold Storage Ltd - Stock Valuation and Financial Performance

Karnimata Cold Storage was incorporated as “Karnimata Cold Storage Private Ltd” on April 29, 2011 under the Companies Act, 1956 vide Certificate of Incorporation issued by the Registrar of Companies, West Bengal. The company is engaged in the business of cold storage and trading of agricultural commodities currently specializing in potatoes. The company has set up and made operational its first cold storage unit in Medinipur District, West Bengal having an installed capacity of 1,81,000 quintals for preservation of potatoes. This first project has been set up on a 6.27 acre plot (free hold land) in order to cater to the localised demands of different growers and traders at Village -Chekuasole, P.O- Jogerdanga, P.S- Goaltore, Dist- Paschim Medinipur, West Bengal. 

The need for setting up and construction of cold storage facilities is highly required for the preservation of potatoes which is a cash crop and the same shall be equally beneficial to both producers and consumers and shall there by strengthen the rural economy of perishable commodities. The company’s project envisages perfect backward and forward linkage of marketing activities as an essential pre-condition. Further it has become a practice to accommodate necessary finance to hirers of the cold storage against their stocks stored in the cold storage in order to keep the price or potato steady and allow the support price to the growers of potato. Providing this seasonal finance is an important factor in the growth of the company’s business.

Business area of the company

The company was formed to carry on the business in India and elsewhere to construct, build, establish, run, erect, promote, undertake, acquire, lease, sale, purchase, own, operate, manage, renovate, recondition, maintain, keep and to run Potato cold storage, multipurpose cold storage, storage chambers, ice chambers, go-downs, warehouse, refrigeration houses and freezing houses for storing, warehousing, keeping, preserving of Potatoes all kinds of fruits and vegetables, including onion, milk, milk products, sweets, processed food, protein food, food products, bakery products, bacons, soft drinks, medicines, chemicals, cereals, gur, roots or other substances, made from all or any of them whether kept loose, packed, tinned, canned or in any other form whatsoever and to act as a buyer, seller, financer, auctioneer, stockists, distributor, importer, exporter or otherwise to deal in all sorts of commodities, vegetables, fruits, edibles and similar good, to establish and to run a food processing unit.

Major Event

• 2011: Incorporation of its company
• 2011: Execution of term loan of Rs 6 crore
• 2012: Completion of the construction of Cold Storage having storage capacity of 1,81,000 quintals of potatoes
• 2012: Conversion of Private Limited to Public Limited and subsequent changes in MOA & AOA
• 2013: Change of Registered Office
• 2013: Commencement of Construction of additional capacity for storage of 75,000 quintals of potatoes