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Cadbury whips up a splash

19-June-2004
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Cadbury whips up a splash

Cadbury India, which was impacted by a case of worms infestation in some of its products a year ago, has introduced a colour code for its distributors which will serve as a benchmark of the hygiene and storage conditions prevailing at their end.

Cadbury India director-marketing Sanjay Purohit said that the system has just been rolled out across the country covering all distributors.

The system involves surprise visits by Cadbury officials to the distributors. After inspection of the hygiene factors at the place, the distributors are given a certificate in either red, orange or green. Green signifies good storage conditions, while red denotes the other extreme.

Speaking on the sidelines of the company’s 56th annual general meeting (AGM), managing director Bharat Puri said that the company is looking at strong double-digit growth in 2004. The company posted a six per cent growth in net sales to Rs 729.8 crore for the year ended December 2003. The net profit declined from Rs 72.7 crore to Rs 45.7 crore during the year.

The company has "exciting" plans on the cards spanning areas like marketing, product variation and advertising for 2004.

Mr Puri declined to give details about what kind of product variants would be launched. The business process outsourcing (BPO) foray of Cadbury is still on agenda. Mr Puri added: "India is such a huge market with opportunities in different areas."

Mr Purohit said that there has been good growth in the business of Adams (Halls and Clorets) acquired in 2003. Answering questions of shareholders at the AGM, chairman CY Pal said that the revenue target for that business for 2004 is Rs 40 crore. The company is moving towards break-even in that business.

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