- KRBL (Bse Code : 530813) is the largest Basmati Rice Miller in India
- India's largest rice exporter, with premium brands such as "India Gate", now marketing aggressively in the country too, taking advantage of the explosion of "big retail"
- Pioneer of Pusa-1121 variety of rice, now declared a "basmati" variety
- Going into production of "organic" (chemical free) rice in a big way
- Addresses a market which will continue to expand, never contract
What can go wrong :
- Govt regulations
- Rice milling entails storing rice for months/years , hence is very capital intensive. So interest burden is a factor to track closely.
KRBL can be picked up in the 50-75 range for reasonable returns in the medium term .
Author : Bosco Menezes
Recommendation Date : 27.1.2009
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