Political:

Godrej Agrovet Limited (GAVL) is an Indian animal feed and agribusiness company. Godrej
Agrovet is a highly diversified company backed by Research and Development. The
company holds leading market position in poultry processing, animal feed, oil palm
plantations and agri inputs. The company belongs to one of the highly diversified Indian
Conglomerate the Godrej Group. As dairy sector and animal feed directly impacts the farmers
so the regulations has to be followed stringently. The import duty on palm oil, dairy industry
and price regulated agri culture input has lot of dependency on the government policies.

Economic:

GAVL derive a significant portion of revenue from animal feed business and any reduction in
demand or in the production of such products could have an adverse effect on business,
results of operations and financial condition. Animal feed, dairy business, palm oil and agri
inputs are directly connected to the international market so the price fluctuations have to be
monitored. As the input price rises, this is further reflected in the output and led to decrease
in revenue.

Social:

Social factors greatly affect GAVL, as it is a well-known brand and directly affects the
farmers' income. In addition, GAVL has to communicate its image as a global brand so that
the people can associate it with themselves as something that connects the world together.
Both from urban to rural the brand trust has to be maintained.

Technology:

With the advent of the new age in technology, companies have completely integrated
themselves with all the recent changes that have taken place. Inability to expand or
effectively manage distribution network may have an adverse effect on the business results
of operations and financial condition. To mention a recent trend that has greatly picked up
and something that almost every agri business is turning toward is sustainability. The
company is using technology, data analytics to bring the best out of the system. The soil
health, proper regulatory standards for animal feeds and plantation of oil farms are some of
the areas highlighted.

Legal:

The improper handling, processing or storage of raw materials or products, or spoilage of and
damage to such raw materials and products, or any real or perceived contamination in
products, could subject to regulatory and legal action, damage our reputation and have an
adverse effect on our business, results of operations and financial condition. Non-compliance
with and changes in, safety, health and environmental laws and other applicable regulations
may led to penalty. Legal factors include various laws, reforms, policies drawn up by
government for improving the farmers' scenario and India's growth. Price control on
agriculture inputs and animal feeds can affect the GAVL margin. The quality standard of
cream line dairy has to adhere rules of Fssai.

Environment:

Unfavourable local and global weather patterns may have an adverse effect on business,
results of operations and financial condition .Now a day's government as well as people are
aware about the environment. The focus on sustainable development is the need of an hour.
Customers, investors all want to associate d with the company, which grows sustainably. As
GAVL is associated with farmers directly, their impact is quite high so that need to be taken
care off.