### **Overview** Sakuma Exports Ltd. (SEL) is a Mumbai-based agro-commodity trading company with over two decades of experience in the global and domestic trade of agricultural products. Led by Mr. Saurabh Malhotra, succeeding founder Late Mr. Chander Mohan Malhotra, the company operates under the Sakuma Group, which includes six international subsidiaries across Dubai, Singapore, Ghana, Tanzania, Canada, and the UK. SEL is recognized by the Government of India as a Trading House and holds accolades including the Export House Certificate (2002) and the ECGC-D&B Indian Exporters Excellence Award (2012). SEL specializes in the import, export, and domestic trading of key agro-commodities such as **sugar, edible oils, pulses, lentils, maize, cotton, paddy, grains, and animal feed**. While historically export-focused, the company has undergone a strategic pivot toward **domestic market expansion** in response to regulatory shifts and global trade volatility. --- ### **Core Business Verticals (as of Sep 2025)** SEL operates across three primary business verticals: 1. **Sugar** 2. **Soft Oil** 3. **Grains, Paddy & Pulses** Each vertical is sensitive to global trade policies, domestic production trends, and geopolitical developments. The company maintains agility by shifting focus across products, markets, and trade types (export, import, domestic), allowing adaptive responses to market dynamics. --- ### **Recent Strategic Developments (2024–2025)** #### **1. Pivot to Domestic Markets (2024–2025)** - **Trigger**: Indian government-imposed **sugar export restrictions** aimed at controlling domestic inflation led SEL to reorient its strategy. - **Response**: - Strengthened domestic supply chain with **strategic depots in Bihar, West Bengal, and Northeast India**. - Focused on moving sugar from surplus to deficit regions, fulfilling long-term contracts with industrial and FMCG clients. - Domestic sales rose significantly—growing from 8.96% of total revenue in FY21 to **31.66% in FY22**, a trend that has continued through 2025. #### **2. Diversification into New Commodities** To reduce reliance on volatile global sugar markets, SEL has diversified into: - **Maize for ethanol production**: - Allocated up to ₹50 crores (Feb 2024). - Began direct farmer procurement in Eastern India (April–May 2024). - Supplies multigrain refineries; projected turnover of ₹500 crores in first season. - **Pulses and lentils**: - Leveraging relationships with suppliers in Australia and Canada. - Capitalizing on projected domestic production shortfalls and India’s status as a net importer. - **Dairy and related products**: - Established a dedicated **trade desk (Jul 2024 & Sep 2023)** to serve both domestic and export markets. #### **3. Expansion of International Footprint** - **UK Subsidiary (Sakuma Impex Ltd.)**: - Initial investment: $10 million (Jul 2024). - Additional investment: $3.6 million (May 2024), bringing **total investment to $7.35 million**. - Focus: Global commodity trading; aims for higher margins than Indian operations. - Order book exceeds £5 million; seen as a key lever for **geographic diversification and supply chain resilience** amid geopolitical uncertainty. #### **4. Re-Export & Third-Country Trade** - SEL acts as a **re-export partner** for global sugar suppliers, importing sugar and re-exporting to regions affected by trade barriers. - Also pursues **third-country trade** to fulfill client demand by sourcing from alternative origins, enhancing its role as a global supply chain enabler. --- ### **Market Position & Performance Highlights** - **Sugar Exports**: - Held **10% market share in India’s sugar exports by volume in FY22**, up from 4% in FY21. - Previously benefited from high production surpluses (e.g., 36 MMT in 2022–23, opening stock of 6.5 MMT). - Positioned to resume export activities during the **2025–26 sugar year**, pending policy relaxation. - **Revenue Mix Shift**: - Exports declined from **91.04% (FY21)** to **68.34% (FY22)**, with domestic revenue rising to **31.66%**. - SEL now operates with a more balanced geographical and market mix to mitigate risk. - **Customer Base**: - **Top 10 customers accounted for ~81% of revenue in FY22**, indicating high concentration risk. - Key clients include multinational trading firms: **COFCO International, Wilmar Sugar, Tate & Lyle, Cargill, Louis Dreyfus, Czarnikow, and ED & F Man**. - No long-term contracts; business relies on relationship-driven sales. - **Logistics & Operations**: - Conducts trade via major Indian ports: **Mundra, JNPT, Kandla, Chennai, Vizag, Kakinada, Haldia**. - Does not maintain permanent warehousing—relies on third-party logistics and brokers. - Expanding toward **break bulk vessel model** (50,000–60,000 tonnes/shipment) to boost volume and profitability. --- ### **Organizational & Operational Structure** - **Headquarters**: Mumbai, India. - **Global Presence**: Subsidiaries in Dubai, Singapore, Ghana, Tanzania, Canada, and UK. - **Workforce**: 96 permanent employees. - **Logistics**: 45 - **Sales & Marketing**: 12 (led by Mr. Tarun Malhotra and Mr. Sanjay Upadhyay) - **Finance**: 15 - **Senior Management**: 10 - **Procurement Strategy**: Market-responsive; reallocation based on price trends and demand signals. ---