New Delhi: It takes two to Tang - particularly, in the Indian marketplace. That's why, perhaps, Philip Morris's 100 per cent food subsidiary Kraft India has tied up with Dabur Foods, a subsidiary of Dabur India to distribute its orange flavour concentrate drink Tang in India.This will be the first time ever that a Dabur company would be getting into the distribution of products of any transnational. The company apparently used to manufacture and market Helene Curtis products for the Russian market, about a decade ago.
Though details about the alliance are not known, industry sources say that the alliance is purely a distribution agreement between Dabur Foods and Philip Morris. Kraft India which has little knowledge about the local market here is banking on Dabur Foods' distribution and retail strength which industry observers feel is highly underutilised. Dabur Foods is present nationwide with a reach of about 75,000 retail outlets. Apart from its fast-growing natural juice brand Real, Dabur Foods' has in its kitty slow moving brands Hommade and Lemoneez.
Dabur Foods CEO Mr Amit Burman recently hinted that the company plans to expand its product portfolio by launching fruit-based beverages and products by launching new brands. According to Mr Burman, majority of the ground work needed for the launch of new products had already been completed. Mr Burman, who was speaking at the relaunch of Real brand, however, had refused to elaborate at that time.
To be released shortly through a formal distribution channel, Tang, has been present in the Indian marketplace for quite sometime through the import route. However, the brand has had little success owing to a stronghold of Pioma Industries' Rasna brand.
Copyright © 2001 Indian Express Newspapers (Bombay) Ltd.