Food - Edible Oils & Solvent Extraction Stocks

This is one of the sectors with under utilisation of installed capacity. Morethan one fourth of our edible oils consumption is imported eventhough India is the fourth largest producer of edible oil seeds. Now, the sector is moving forward with good growth prospects. KS Oils, Murli Industries and Agro Tech are best progessing stocks in this sector.

Consumer Goods - Alcoholic Beverages

Indian market consumption grows at an average rate of 8.5 %. Only handful of players governing the market due to high regulations by the government. Foreign players have extensive barriers to enter the market. Radico Khaitan, Shaw Wallace and Jagatjit Industries are good future performers. Shaw Wallace is relatively undervalued due to internal reorganisation compared to its peers.

Transportation - Shipping

Shipping in India plays an important role in transporting vast volume of goods across the hinterland. Higher global GDP growth had paved way for more expansion and growth in the sector and had slowly transformed from cylical to non-cyclical. Indian players have good operating structure and profit margins compared to the global competitors. Indian economic boom will definitely help the sector to reach great levels in coming years. Essar Shipping, Mercator Lines and Varun Shipping are best picks in this growth-demand driving sector.

Energy - Power Transmission & Equipment sector

Power sector reforms were initiated in 1991 in India. Electricity Act 2003 was a major step that solved major underlying problems. Now, the sector is in growth phase with many projects in anvil as part infrastructure creation. Transmission & Equipment sector acts as a sandwich provider between the energy producer and the end consumer. The sector has only a bunch of players. Alstom Projects, Kalpataru and KEC International are best picks in this power playing sector. KEC International is also implementing projects in Middle East outside India.