Business   

Parryware plans for East India

Indrani Dutta

To increase share of OEM exports; prefers organic route for growth

KOLKATA: Parryware, a known name in sanitaryware, is eyeing the original equipment manufacturer (OEM) segment for entering the export markets in the U.S., Europe and Australia, Vice-President, K. E. Ranganathan, said. Parryware, a division of EID Parry (India), is part of the Rs. 6,200 crore Murugappa group.

Talking to The Hindu, Mr. Rangnathan said through a mix of acting as OEM for some MNCs and as a outsourcing base for others, Parryware planned to increase the share of exports from a mere five per cent of the turnover to 20 per cent by 2008. The turnover stood at Rs. 200 crore in 2004-05.

Unwilling to divulge any names, he indicated that talks were on with a company, which wanted to fit Parryware sanitaryware in its caravans and similar type of vehicles. Talks were also on with companies in Australia and Europe for acting as their outsourcing base, he said.

These efforts, coupled with increased penetration of markets in South Africa, West Asia and Sri Lanka were likely to increase exports, Mr. Ranganathan said, adding that in many of these countries Parryware products were sold under the original brand. He said the new unit coming up in Perundurai near Erode in Tamil Nadu would facilitate the export efforts, given the proximity to port. The additional capacity, set to be ready by March 2006, would also boost exports.

Earlier, at a press meet, Parryware General Manager (marketing and sales), George Angelo, said the sanitaryware major was geared to ramp-up its presence in the eastern region. In the tap segment, in which Parryware has recently entered (by setting up a captive source in New Delhi), the division plans to market its products to bag an increasing share of the Rs. 400 crore organised sector market.

However, Mr. Angleo remarked that the size of the unorganised market, estimated at an aggregate of Rs. 1,150 crore for sanitaryware and taps taken together, was now shrinking because more people preferred branded products.

Printer friendly page  
Send this article to Friends by E-Mail

Stories in this Section

MPs panel for compulsory SSI registration
Blaupunkt plans to open 20 branded outlets
Sensex scales new peak
Parryware plans for East India
Sula Wines in talks with private equity group
Upset price for SML assets raised
Bullion rates
Exchange rates
VAT panel to meet on Aug 24
CII delegation to visit Australia
Coca Cola names India head
Kamdhenu group ties up with Belgian firm
Aurobindo Pharma raises $60m
Allahabad Bank ties up with small farmers
Netandhost's new storage service
L&T consolidates Gulf business
Tata Teleservices launches new handsets
Peninsular opens two branches in Tamil Nadu
Apere to set up centre in Hyderabad
ITC launches Sunfeast variants
NMDC hands over dividend cheque
NMDC hands over dividend cheque
SEBI nod for Talbros' equity offer

Copyright © 2005, The Hindu. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu