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Cadbury India regains lost ground

22-July-2004
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Cadbury India regains lost ground

Cadbury India Ltd has regained lost ground and expects to bounce back this festive season with its Dairy Milk brand. A new product — a brown and white choclate combination ‘Dairy Milk Two-in-One’ has just been launched in the market. There are two versions of the choclate - Two-in-one Double Deck and Two-in-one Marbles. Another new product to hit the market is ‘Bytes’ choclate wafer snacks. This product has been specifically made for India by Cadbury India.

Cadbury is also setting up a new plant at Baddi in Himachal Pradesh is coming up for making the Bournvita range of drinking beverage. The company ended December 2003 with Rs 729 crore and expects more than 10 per cent growth this year. The first half of 2004 has been good and the peak season is yet to begin. Dairy Milk is a Rs 200 crore brand for Cadbury India and this product was hit most last year with 22 cases of worm infested bars in the market. There was a drop of around 20 per cent in business.

“In about 90 days we managed to change the product packaging, train employees on the shopfloor, educate retailers and rebuild the brand including bringing in Amitabh Bachchan as brand ambassador,” says Sharad Gangal, GM, HR, Cadbury India. We have retained the 70 per cent market share that the company had, he added.

The Induri plant of Cadbury where Dairy Milk is made was audited repeatedly by external agencies and nothing was found wrong at the plant, Mr Gangal said. Induri is about 40 kms from Pune city and houses the Cadbury plant from where it manufacturers five lakh bars of moulded choclates everyday. This is also the only plant of Cadbury to manufacture crumb.

A new Rs four crore packaging machine was installed at the Induri and Thane plant for the new completely sealed packaging. This involved an additional running cost or Rs 4.5 crore. “The storage condition in the supply chain at redistribution depots and retailers is being monitored closely,” Mr Gangal said. The company has also set up two Consumer Service Cells to handle any consumer complaints and respond faster.

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