Financial Daily from THE HINDU group of publications
Tuesday, Feb 07, 2006


News
Features
Stocks
Shipping
Archives
Google

Group Sites

Corporate - New Projects


Ginni Filaments forays into FMCG segment

Dharini Nagarajan

New Delhi , Feb. 6

IN what appears to be a forward integration process, textile company Ginni Filaments, has charted out a foray into the FMCG segment with the launch of personal hygiene and beauty care products for children and women.

The company is setting up a plant in Gujarat to manufacture non-woven spunlace. The unit, which would be operational in six to seven months, is being set up at an estimated investment of Rs 131 crore. While majority of the produce from the facility would be exported, the balance would be used to manufacture converted products mainly cleansing cloth and facial wipes to be sold in the domestic market.

Mr Saket Jaipuria, Chief Executive Officer of Ginni Filaments, is of the belief that the market potential for converted products such as baby wipes, cleansing cloths and medical aids such as gauges and swabs is tremendous in the country. He said, "Our research reveals that the market for personal care products is worth Rs 15,000 crore and it is expected to double in the next three years, providing us with a great opportunity."

The wipes made from non-woven spunlace fabric, are "first of its kind in India," Mr Jaipuria, added.

After test marketing the product range in Chandigarh, the company plans to make them available in eight cities (including Pune) by the month of June and hopes for a nation-wide launch by end December, this year.

While its primary focus would be on retailing the wipes and cloths in the local department stores, the company also plans to get into institutional sales targeting airlines and railways.

With regard to the pricing strategy followed by the company, Mr Sanjay Srivastava, Chief Operating Officer, Ginni Filaments, said, "We are pricing a pack of 80 baby wipes for Rs 105 and are looking to generate the revenue through volume sales."

The company has ambitious plans for the future. It aims to achieve a 50 per cent market share in three years' time and is aspiring to have a Rs 50-crore turnover in the non-woven wipes segment in 2007-08.

Although Ginni is currently marketing only personal care products, it would be expanding its product range to offer home care and medical aids by the year-end, Mr Srivastava added.

More Stories on : New Projects | Textiles

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page



Stories in this Section
Essar Steel units' operation


Sterling Holiday Resorts restructuring debt
JK Agri Genetics to hive off seeds biz
`Only 24 pc RIL promoters' equity transferred to Anil Ambani group'
No response to our offer yet: Nagarjuna Oil
ONGC to discuss power project plans at board meet
Orient Paper proposes Rs 210 cr investments
Ginni Filaments forays into FMCG segment
Diamond brand Orra sets up new facility in Mumbai
Phillips Carbon to shelve plan for power project — Net loss in two consecutive quarters
Ranbaxy in jt. venture for marketing AIDS drugs in S. Africa
Nuziveedu Seeds ties up with Rallis India
Tata AutoComp, GS Yuasa form joint venture
Sangam eyes military uniforms market
Confusion over ONGC plan to buy Nigerian blocks
TeamLease to offer blue-collar temps
Flakt Woods to make India sourcing hub
Removal of quota curbs lifts apparel co Gokaldas sales 53%
`Biggest high' is open culture in Sona Group



The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2006, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line