Editorial Of COLIN TAYLOR.

The year 2004 to 2005 witnessed the official launch of the Taylor Smith Group. The History of the group is first and foremost one of people, we work in an environment where team spirit is essential. The dedications of our people and the continuous investment in training have paid off. During 2005, the experience of MSC Katie brought people to work together towards the same goal, and we have all gained in terms of professionalism, solidarity and the achievements that can be reached when pulling together our resources. During the past year, we have developed some core business values as a group: a win-win approach to partnerships, open communications, a disciplined approach to work, opportunities of education for all and promoting the sense of family.

Looking ahead, 2006 promises to be a challenging year for our group and the mauritian economy as a whole. Being optimist by nature, I am convinced that the up coming development projects will soon materialize. Our group remains focused on the future; in 2006 we will be investing in the growth of our existing activities while developing new market opportunities in other sectors of interest to us. Strategically we are looking at being present in regional and international markets and have invested in a rotomoulding company in Malta and are in the process of considering a joint venture in the UK to develop BPO activities in Mauritius.

RECOGNISING PROFESSIONALISM .
Professionalism is the motto at AEL DDS Ltd, where nothing is left to chance and the team are continuously receiving training and development. “ The year 2004-2005 has witnessed a change in the expectations of clients who are more and more demanding on quality and safety. We have therefore applied European standards to our daily operations. Furthermore, the new structure within the Taylor Smith Group has resulted in more empowerment at the level of organization and thus better reactivity towards the market” declares Robert Desvaux, General Manager of the enterprise.

Today AEL DDS is a reference in road transportation of hazardous products. Its strict compliance to international security and safety norms has earned it the first prize from Shell as “Best Transporter” in the East African Region. “Our employees feel more and more professional. They are proud of this level of achievement and they know exactly what to do on site,” points out Robert Desvaux. In Rodrigues, AEL ensures the transfer of petroleum products, including gas and manages the only petrol station in Port-Mathurin. Works are underway to set up another station in Mont Lubin and launch a mobile station at the beginning of 2006.

MAINTAINING QUALITY.
Good performance for Mauritius Molasses. The year 2004-2005 has been marked by the maintenance of the GMP (Good Manufacturing Practices) certification. Molasses being a constituent of animal fodder, the EU has imposed strict norms regarding import of this ingredient. Mauritius Molasses has obtained this certification in 2004 and has passed the maintenance audit this year. The company has also deployed its efforts to accompany the sugar factories that it serves, to obtain the same certification.

“We have once more successfully passed the ISO Certification audit obtained last year. In such a venture, maintenance of quality is perhaps the biggest challenge,” declares Jean Claude Ng, Finance and Admin Manager at Mauritius Molasses.

A MARKET LEADER.
Hydrocarbon Storage & Distribution Ltd (HSDL) has reached its goal by positioning itself as the market leader in the supply of bitumen over the past year. HSDL should close the year 2005 with the sale of 9000 tones of bitumen.

HSDL imports bitumen in 20 feet containers from South Africa before delivering it to its clients. HSDL also has containers for the storage of cold bitumen at peak periods to ensure uninterrupted supply.

As a result of the increase in road works in 2005, HSDL has increased its daily deliveries. Dorinne Lamport, in charge of the administration, believes that the year 2006 promises more developments and a challenging market environment for the business.






POSITION MAINTAINED.
“We have every reason to be satisfied of our performance during 2004-2005,” comments Afzal Jangeerkhan, General Manager of Aqualia DPI Ltd. During the year the company has consolidated its position in nearly all its activities including potable water and irrigation. This has been a great challenge for the team with rising prices in raw material and a competitive market environment.

The Joint Venture with DPI Plastics from South Africa since April 2004 has proved to be a very positive step for the business. The technical support and professional sharing of know how has resulted in a very successful partnership.

Afzal comments on the expectations for 2006:” We are expecting a more difficult year, with economic conditions and competition becoming even more of a challenge. Despite this, we are confident in the motivation of our team and their ability to meet these challenges. Our objective is to maintain our position on the market, while dedicating resources towards potential regional markets and increasing our effectiveness.”

A YEAR RICH IN EXPERIENCES.
It has been a year rich in experiences for Water Research in its three main fields of operation: Geo-Technical research, Drilling for water and Installation of Micro-Pillars for constructions in marshlands and marine constructions.
Water Research has carried out geo-technical studies for the Mauritius Ports Authority in view of petrol terminal project. Drilling of up to 45 meters deep has been undertaken for the MPA. Drilling works has also been carried out for the FDM and MFD for the construction of a new quay. Drilling campaigns, varying from depths of 75 to 140 meters have been undertaken in Mauritius and Rodrigues. “We are expecting a lot from the year 2005-2006 which should bring us interesting projects related to drilling in Mauritius and dam project in Rodrigues,” declares Hervé Duchenne, the General Manager.

PRIORITY TO PREVENTIVE MAINTENANCE
The year 2004-2005 has given the opportunity to SOMIM to consolidate its activities in equipment maintenance and the maintenance and repair of refrigerated containers.

“For us, the main focus was preventive maintenance especially with our contract with Mauritius Ports Authority for the maintenance of gantries. Port activity has intensified and after such long hours of operation, the equipment needs a lot more maintenance. Our teams have thus been very active at this level,” says Eric Armand, General Manager of the company.

MOVING AHEAD
Taylor Smith & Co Ltd had the opportunity in 2005 of carrying out the refloating MSC Katie, a cargo vessel which suffered a collision near the Port Louis Harbour. This experience was one of a kind for the team of TSC and has allowed the company to prove its capabilities as a marine operator in the region. On the other hand, the financial year 2004-2005 has shown positive results in the dry dock activities with an increase in the number of fishing vessels and an interest rise in our Japanese client base. “It has been a year during which we worked at almost full occupancy, while during April and May we concentrated our resources on the refloating of MSC Katie “ explains Thierry Betuel, General Manager for Taylor Smith & Co Ltd.

AN ENCOURAGING GROWTH
Overall positive financial performance of Kaylor Rotomoulders for 2004-2005, and a reasonable growth in the industry overall. The business has recently successfully developed a new product line of man-holes to add to its traditional manufacturing best sellers: water-tanks and solar heaters. Over the past year the sale of water-tanks has shown reasonable growth, which we are expecting, will continue on the same trend throughout 2006.

Encouraging growth also on the demand for man-holes in the context of last year’s construction boom. In 2006, we expect to increase our range of man-holes, offering domestic customers a 1800 liter capacity product suitable to smaller households. On the other hand the market for solar water heaters has been challenging with fierce competition coming from the gas water heaters invading the market.

Dominique Leclezio, General Manager, believes that Mauritius should learn from the experience in Reunion Island, where solar water heaters now account for 7% of the consumption of electricity on the island. “We intend to approach the DBM and Ministry of Finance to present the action plans set up by Reunion Island in the hope that this will motivate the authorities to make solar water heaters more accessible to the public and the loan procedures more user friendly.”

This overall positive performance is directly linked to the efforts to developing a well structured organization and the commitment of the team to this initiative.