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Dabur eyes 15% share of oral care mart in 2-3 years

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Dabur eyes 15% share of oral care mart in 2-3 years

FMCG major Dabur India, after the acquisition of Balsara, is looking at growing its share in the Rs 1,900 crore oral care market to 15 per cent in two to three years, besides tapping the US and western European markets in the private label business.

The Rs 1,500 crore company, which on Tuesday, signed actor Vivek Oberoi as its brand ambassador for integrated Dabur and Balsara oral care portfolio, has an 11.7 per cent share in the segment through its toothpastes and powder.

“We hope that the acquisition of the Balsara brands as well as growth in our brands will propel our market share to 15 per cent in 2-3 years,” Sunil Duggal, CEO, said.

Duggal added that the acquisition of Balsara has also provided the company with the capacity to go in for private label business for toothpastes.

Oral care is the third-largest revenue earner after hair care and healthcare supplements, and accounted for about 20 per cent of overall turnover last fiscal. Saying that there were “huge prospects”, Duggal said the potential in oral care business was $500 million.

On the positioning of the Balsara brands, a senior company official said while Babool will be sold in the economy segment, which was the fastest growing, Meswak would find a place in the premium segment. Duggal expects much of the growth to come from rural areas.

Dabur Pharma allots equity shares to IFC: Dabur Pharma, on Tuesday, said that it had allotted 1.2 crore equity shares of the face and paid-up value of Re 1 each to International Finance Corporation (IFC) and 1.5 lakh equity shares to the trustees of Dabur Research Foundation employees trust at Rs 54 a share.

The homegrown FMCG major also said that it would finalise plans within the next six months to set up manufacturing in Pakistan through a joint venture.

"We hope to conclude discussions soon, possibly in the next six months," Duggal said. Though the group has been studying the neighbouring markets for sometime, Duggal claimed that the exploratory stage was "still on."

The company, in the recent past, has been making a lot of efforts to grow in the overseas markets, including the west. Through Dabur International Ltd a fully-owned subsidiary, it has spread its operations in the Middle East, Asia, Africa, UK and US.

Duggal stated that Pakistan was an "important market" for Dabur as part of its future growth strategy and the company was looking at the country for its personal care and digestive product range. Exports to Pakistan are estimated at about Rs 15 crore.

On if they would go with their current partner, Muuler and Philip for the J-V, Duggal conceeded that they were one of the contenders. He refused to specify the kind of investments the company had earmarked for Pakistan, just saying that these would be "significant".


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