FMCG major Dabur India aims to double its turnover in the next three years and become a national player in the spices business with the acquisition of Badshah Masala, chairman Mohit Burman said in an interview.
Pointing out that the spices business in India is fragmented and very regional with each state having its own preferences, Burman says there is a huge opportunity in the space. “We are planning to go national with our products. We have retained the management team to show us the way on how to develop the business and make our products have national acceptance,” Burman, said in the exclusive conversation with Udayan Mukherjee, Global Business Editor, Business Today TV.
Burman believes the food and beverages business is looking more exciting at this point over the traditional beauty and personal care business. “During the Covid-19 era, we saw huge growth in the ayurvedic healthcare range. Now, things are back to normal and we are seeing growth in the food business, as people are going back into the market and the general trade has opened up,” he said.
Commenting on soaring inflation, Burman said input costs had gone up and it would be difficult to pass it on to the consumers due to which margins could take a hit. He highlighted that Dabur India had witnessed volume growth in business.
On being asked about the rural slowdown, Burman said, in the last six quarters, the urban market had been growing at a faster pace. “We are facing a little bit of a problem there, but we are coming out with smaller pack sizes, more value-added packs, different product ranges, which cater to the rural market. I don’t foresee the problem will last too long. I think there will be a recovery in the next few quarters,” he said.
Talking about future plans for the Eveready brand, Burman said the first goal was to invest money in the alkaline battery business, grow the distribution network, put some marketing spend behind it and fight Duracell. “After that, we will expand the business to different product categories including lighting, torches, rechargeable torches. After we put all these businesses on the growth phase, then we will look at entering new product categories.”