Dear Shareholders,

It gives me a great pleasure to welcome you all today at this 74th Annual General Meeting of the Company.

The year 2004-05 was historic for the company on account of a number of reasons - Sintex generated a turnover of more than Rs. 715 crores and embarked on a number of business-strengthening initiatives that will help us create a stronger organisation in the future.

The Director's Report and Audited Accounts of the Company for the year ended 31st March 2005 are with you and with your kind permission I shall take them as read.

Economy Overview

World economic growth continued to be stable and the Indian economy reported a strong performance in 2004-05. This was primarily driven by a 6.9 percent GDP growth, one of the highest rates in the world, marked by the continuation in economic reforms, deregulation of the economy, a healthy capital market, robust industrial and agricultural growth as well as increased foreign investment in the country.

Over the last few years, the increasing availability of plastic and plastic product varieties has enhanced the per capita plastic consumption from 1.16 kgs in 1990-91 to 4.1 kgs today. Interestingly, India is not only consuming a major portion of the plastics in-house, it is also exporting an increasing quantum - close to US$ 1302 mn in 2004-05, an increase of 17.93% over the previous fiscal. Industry experts believe that India will emerge as the third largest plastic consumer after US & China by 2010.

The Abolition of quota regime on January1, 2005 is expected to boost the global trade in textiles. The industry's manufacturing base is shifting to India, China & other Asian countries and due to this India's textile exports are expected to rise from USD 13 bn today to USD 50 bn by 2010.

Performance review

Your Company has capitalised on this favorable environment and recorded an all round improvement in its performance during the year under review through a quantum increase in volume across its textile and plastic divisions, helping it neutralize spiraling input prices. It strengthened its business performance and global competitiveness. As a result, gross Turn over of your Company has increased by 23.1% to Rs.715.16 crores as compared to Rs.580.77 crores last year. Total income increased by 25.71% and net profit after tax by 60%. It has declared higher dividend of 40% compared to 30% in the previous year.

PLASTICS DIVISION

The plastics division reported a successful year. All four water storage tank brands namely Sintex Premium, Sintex, Reno, and Jeno operating under the aegis of this division, recorded an impressive improvement in sales. The Company has enjoys a market share of 60% in plastic water storage tanks in India.

This division continued to be your Company's mainstay, accounting for increase in Turn over by 20% to Rs.520.72 crore in 2004-05 over the previous year. The revenue for the year 04-05 is Rs.470.10 crore which has grown by 21% over the pervious fiscal. This segment recorded another impressive year: Sintex continued to be the brand of choice for millions of discerning consumers and increased its market share in several regions. Since 1974-75 when it first ventured in to plastic processing with the manufacture of industrial containers, Sintex has pioneered the use of plastic across a range of applications in India, as a results of which it is today the undisputed market leader in storage tanks, prefabricated doors and window, among other products.

TEXTILE DIVISION

This division increased its turnover by 30% to Rs 194.44 cr in 2004-05, accounting for 27% of the Company's turnover of which domestic turn over has increased by 62% and production has been grown by 21% over the previous year. Net revenue for the year 04-05 is Rs.188.61 crores which is grown by 32% over the previous year. For the division, this was a remarkable year for the following reasons:

• " it was the first full year of working of the expanded capacity of 18 mn metres per annum and the business arrangement with Canclini Tessile S.p.A, the only such association within the industry with a reputed international textile company.

• " the Company serviced brand-enhancing customers like Van Heusen, Louis Phillip, Allen Solly, Peter England, Park Avenue and Pantaloons with larger volumes. Value addition: Introduction of value-added products (structured fabrics with higher thread counts in the shirting segment, yarn-dyed corduroy shirting and Pima cotton yarn-based corduroy fabric in the corduroy segment).

New Projects & Expansion Plan

Monolith construction: Your Company designed an entirely new housing solution - Monolith construction - to address mass and low cost housing needs.

Tie-up with SULO Corporation: The Company is venturing into waste management solutions, and has tied up with Sulo Corporation, Germany for manufacture & marketing of complete waste management solutions.

MOU with Zeppelin Mobile Systems: Your Company has entered into an MOU with Zeppelin Mobile System India Ltd. (ZMSIL) for acquisition of 74% stake in the latter. ZMSIL designs & commissions sophisticated polyurethane foam based shelters & structures for the telecom sector and features among the top two telecom shelter manufacturer in India.

FRP Tanks & Pipes: The projects to manufacture underground fuel tanks FRP pipes for carrying petroleum products are progressing as scheduled and the company is attractively poised to benefit from both these ventures.

New Units: To strengthen its pan India presence, your Company is setting up three manufacturing facility at Salem, Secundrabad and Bhachau (Kutch, Gujarat).

Capacity Expansion: Your Company is expanding the textile division capacity from current 18 mn meters to 24 mn meters per annum.

Designer Blankets: The Company has proposed an investment in a Rs 4 crores facility comprising state-of-the-art Japanese equipment to manufacture design blankets to expand its product portfolio in the textile segment.

During the year from April 2005 to August 2005 Company has achieved turnover of Rs.271.68 crores which is 41% % higher compare to sales of Rs.192.02 crores of last year for same period.

Appreciation

To you, dear shareholders of the Company, I express my heart felt thanks for your invaluable support and the confidence reposed in us. Your abiding trust and encouragement will go a long way in taking your Company to greater excellence.

I also take this opportunity to place on record my warm appreciation of the valuable contribution, unstained efforts and spirit of dedication shown by the employees and Officers at all levels in the progress of the Company during the year under review. I express my grateful thanks for assistance, co-operation and support extended to the Company by the Bankers and Financial Institutions during the year.

- - - Jai Hind - - -