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Dabur unveils slew of brands for exports
Parul Gupta in New Delhi | July 08, 2003 19:17 IST
Foods-to-pharma major Dabur has launched a slew of brands for its export markets.
While products under the 'Dr Burman' brand have been launched through multi-level marketing channels for Russia, 'Vegecaps' has been introduced in the naturecare range for the UK and other European markets.
The company plans to launch other products under its own brand name in Russia and has already launched Dabur Boro Glow.
"Dabur has identified exports as a major thrust area for the future. An international business division has been set up within the company to promote exports and we expect this business to grow steadily in the coming years," Dabur India chief executive officer Sunil Duggal said.
Dabur's exports increased by 60.7 per cent from Rs 15 crore (Rs 150 million)áin 2001-02 to Rs 24.1 crore (Rs 241 million)áin 2002-03. This does not include the reorganised middle east exports which has been transferred to a franchisee.
The company plans to focus on Russia and CIS countries along with Afghanistan, West Indies and the Asia Pacific region.
It has also entered the north American markets by appointing distributors and initiating marketing of products to the ethnic Indian segment.
The company has already been exporting hair oils, shampoos and Hajmola candies to Afghanistan. In Bangladesh, Dabur is entering into a joint venture with a local partner to manufacture and market its products. Dabur will hold a majority stake in this joint venture.
The company has also decided to merge the family products and the healthcare products division into one strategic business unit.
"The company is reorganising its FMCG business to leverage synergies and scale and to reduce costs," a company official said.
He added that the personal care products and heathcare products have significant overlaps in terms of distribution and retail networks.
These products will now be distributed through a common arrangement which will result in synergies and cost savings, the official said.
"These initiatives, along with a slew of new product launches and aggressive product extensions, will inject a growth impulse into Dabur," the official said.
Dabur had registered a 5.9 per cent growth in sales at Rs 1232.3 crore (Rs 12.32 billion)áin 2002-03 compared to Rs 1163.2 crore (Rs 11.63 billion)áin 2002-01.
Sales growth, enhanced operational efficiencies and reduced financial expenses translated into a 32.1 per cent growth in net profit at Rs 85.1 crore in 2002-03 compared to Rs 64.4 crore during the corresponding period last year.