The Hindu Business Line : Sampre Nutritions to focus on facilities upgrade, brand building

SAMPRE Nutritions Ltd (SNL) of Hyderabad has now embarked upon an aggressive programme for promoting its own brand both in the domestic and overseas markets.

Aimed at building a strong distributor and dealers network across the country, the company has hired the services of a Mumbai-based marketing consultancy services major, SNL Chairman, Mr B.K. Gurbani, said.

For upgrading its confectionary manufacturing facilities located in the outskirts here and towards brand building and marketing initiatives, the company proposes to invest around Rs 4.5 crore.

Of this, Rs 3 crore would be spent on upgrading the facilities, especially towards high-speed packaging, he said.

The company has recently set up its dealers and distributors network in the four southern States.

It proposes to set up similar network in Uttar Pradesh, Delhi, Bihar, Jharkhand and Punjab soon.

Stating that the company was also looking aggressively at the exports market, SNL Director, Ms Sarita B. Gurbani, said the company has already firmed up initial export plans to Africa and Dubai.

Besides manufacturing its own products, the company manufactures products for leading multinational companies and Indian companies such as Cadbury India Ltd, Dr Morepan Laboratories, Dabur India Ltd, Himalaya Drug Company, and Indian Airlines Ltd.

Under an agreement with the Canada-based voluntary organisation, Micronutrient Initiative, the company has started manufacturing centre-filled nutri vitamins and minerals candy with a total order worth around Rs 18 crore spread over one-and-a-half years.

These candies are currently being distributed free by the Micronutrient Initiative to lactating mothers, pregnant women, adolescent girls and school-going children in rural areas in the States of Andhra Pradesh and Bihar.

The West Bengal Government has also taken up similar project on its own recently, Mr Gurbani said.

Meanwhile, the company recently signed agreements with Nutrine Confectionery Ltd and Candico (I) Ltd for the manufacture of their products.

The long-term contracts would be valid for a minimum of five years, he said.

Though the Indian confectionery market with a size of Rs 1,500 crore was currently growing at 8-10 per cent per annum, the company expects to record a growth of at least 40 per cent during the current fiscal in view of the new initiatives, Mr Gurbani said.

For the fiscal ended March 2005, the company reported a turnover of Rs 13.4 crore, a growth of 121 per cent over Rs 6.1 crore in the previous year. The growth was mostly due to the business order of Micronutrient Initiative, he said.

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