The country's largest paint-maker Asian Paints today said it is working towards substantially increasing its revenue share from overseas operations from the present 16 per cent.
"Revenue from our overseas markets is 16 per cent now and we expect further growth this fiscal," Asian Paints Chairman Ashwin Choksi told reporters here on the sidelines of the company's AGM.
The company is now concentrating more on Nepal, Bangladesh and Egypt as the business is really doing well in those markets, he said, adding the company has divested its subsidiaries in Malasia, Thailand, Hong Kong and China.
The company will review its overseas strategies and take steps to strengthen its presence in key markets like the Middle East and South Asia, he told the AGM.
Asian Paints has bought land for a manufacturing plant for decorative paints at Kesurdi in Maharashtra with a capacity of 4 lakh tonne per annum, he said. The total cost of the plant is Rs 735 crore and the first phase of production is expected to start in 2012-13, he said.
Inflation and fiscal consolidation are major areas of concern as it would impact the sales. Monsoon is also critical because the paint demand from the rural areas is dependent on a good monsoon, he said.
Though the company is optimistic about this fiscal, the rising inputs could make operating margins achieved in the last fiscal unsustainable, he said.
