In a bid to focus purely on the FMCG business, Elder Health Care Ltd (EHCL), part of Elder group, today said it is in talks with a Japanese MNC to introduce its products under the skin care segment into the country.
However, the company didn't disclose the Japanese firm's name as the talks are still on.
"We are planning to introduce products of a Japanese company in India in the skin care category through an in-licensing tie-up.
However, I can't disclose the name as our talks are still on," Elder Health Care Managing Director Anuj Saxena told PTI.
Also, the company has entered into a marketing and distribution alliance with a leading South India based ayurvedic company for the launch of its health tonic across Elder's 3,00,000 outlets across the country.
Confirming the development, Dr Saxena said that "We are soon relaunching an ayurvedic cough syrup brand 'Solo'. Besides, we are all set to introduce 'Solo Lozengez' in polypack which may be unveiled by March. Moreover, we are seriously working on the launch of its inhaler version, 'Solo Veporub' too. The company is currently busy restructuring the entire group.
"As of now, we have 'Respite', an ointment for muscle pain which is available in sachets weighing 50 gm and 25 gm and we have recently launched it in 2 gm sachet too. However, in our bid to increase the reach of the product, we are planning to shortly launch 'Respite Spray' too for curing spot injuries and backache," he said.
The company is also planning to increase the range of colour cosmetics and introduce line of lip glosses, eyeliners and other makeup items as a part of growth plans in the colour cosmetic segment under 'Rhyme' brand in near future, he added.
Talking about future plans in the FMCG sector, he said, "We are looking at below the line (BTL) activities for our products which include in-store marketing. We have got a budget amounting to Rs 10-15 crore for undertaking promotional activities over next one year.
Elder Pharmaceutical has entered the Rs 2,500 crore pain management segment with the launch of muscle pain relief rub 'Respite' for both men and women with backache, joint pain and neck pain sometime back.
At present, the company is earning revenue amounting to Rs 20 crore from FMCG segment. However, it has ambitious plans to increase its revenue from the segment in future.
"Currently, we are earning revenue to the tune of Rs 15-20 crore from FMCG segment, but we are looking at increasing it to Rs 50-70 crore over next one year," he said.
"We want to consolidate our own brands in future.
Also, we want to foray into hair colour segment, which boasts of enjoying the domestic market size of Rs 2000 crore, by March-end," Dr Saxena said.
Some of the already existing players on the space include Godrej and Lakme.
