India is one of the top five markets globally for bathroom products designed specifically for the elderly and differently abled, according to Hans Løve Høegh, Commercial Director, Pressalit Care, Denmark.

He says his company might look at establishing a manufacturing facility in India once it gets a foothold into the Indian market and there is sufficient demand in the country.

Speaking to Business Line here after signing an agreement with Covai Property Centre (India) Pvt Ltd to market its products in the country, he said Pressalit had been supplying specialised bathroom products- EWCs, washbasins and showers- in India through a Mumbai-based distributor for more than a decade but they were limited to hotel and airport segments. But now the company will focus on a bigger market of senior citizens and differently abled persons, a market that is growing because of increasing affordability and awareness about them.

He said the first shipment from Denmark to India is expected in the next two or three months. While the landed cost may be higher because of strong euro and the substantial import duty, the products come with "number of values our main competitors do not have' since the company has been active in the healthcare sector for over 4 decades and `no one else has been like that'.

This has provided Pressalit Care with a unique insight into the needs of these segments and its products were more "solutions' adapted to serve this need. He said the company’s bathroom products could be adjusted vertically or horizontally to suit the requirements of the users depending on their age/physical disability, physical size etc and the flexibility made the aged and disabled persons’ bathroom experience stress-free. They also spared the aged/physically disabled from sustaining injuries requiring costly treatment due to any fall.

Høegh said the import duty and other taxes pushed up the cost but was hopeful of this being rationalised with better understanding about the role of these products in improving the quality of life of disadvantaged people and senior citizens. In many other markets such products are treated as medical devices, attracting lower levels of taxation and he felt that India could emulate this example.

Col (retd) A Sridharan, Managing Director, Covai Property Centre, said while the customs duty was only 15 per cent on ceramic products, with additional taxes, VAT etc the overall duties balloon to 27 per cent. But if treated as medical device, the customs duty would come down to a mere 5 per cent, thus reducing the overall cost substantially. He said he would urge the government to extend to these specialised bath products preferential tax treatment extended to medical devices.

He said his company would be an all India distributor for Pressalit excluding the segments like hotels for which it has an existing distributor. Initially he would focus on the South Indian market and also Pune and Baroda with on going projects for senior citizens. While the thrust would be on large projects for senior citizens/assisted care, he would also target retail buyers, hospitals etc.

Sridharan said he expected to sell about 3,000 bathroom sets every year for the next three years. The approximate cost of one bath set (EWC, washbasin and shower) would come to about ₹1.7 lakh to ₹ 2 lakh including all fittings/accessories in India. There was a saving in cost of about ₹30,000-₹40,000 as no additional expenses were to be incurred for fittings/accessories.

Nicolai Staflin, Area Sales Manager, Pressalit Care, Denmark, said the Indian market for his company’s products was at a nascent stage but the potential for growth was enormous. He said India’s growth potential puts it among the top five global markets-North America, China, India, Russia and the Middle East, in that order.

On whether his company would go for a manufacturing unit in India to cut costs, Høegh said if the business turned out to be promising, his company would look at the option.

Related Topics
comment COMMENT NOW