Amway Enterprises India Pvt Ltd plans to become a full-fledged fast moving consumer goods (FMCG) company by 2012 and take the revenue up to Rs 3,500 crore from the present Rs 800 crore.
“The company generated a revenue of Rs 800 crore last year and by the end of this year, we are targeting Rs 1,000 crore,” said Diptarag Bhattacharjee, vice president (east) of the company, told FE.
Amway India, a wholly-owned subsidiary of US-based $7.2 billion Amway Corporation, has launched household goods like oil, tooth brush, shaving cream, energy drink etc in the past six months to become a full-fledged FMCG company.
“In the next few months, we would be launching more products in the nutrition, wellness and cosmetics category, which is the backbone of the company. Around 70% of the revenue is contributed by these segments around the world,” he said.
At present, the country has 127 branches and will be having more than 150 branches by 2009. Out of these, 22 branches are there in the east. When asked about the contribution of the eastern region to the total turnover in the country, Bhattacharjee said: “Eastern region contributes 20% to the total turnover in the country.” The company is growing at a rate of 25% year-on-year, he added.
While speaking about the eastern region, he said the target is to earn a revenue of Rs 275 crore by this year-end from Rs 210 crore last year. Though east contributes around 20% to the total revenue, the southern part of the country remains the highest selling region, contributing more than 30%.
The company has 4.5 lakh distributors across the country at present out of which the eastern region has 1.2 lakh, he told FE on the sidelines of a press conference to announce the corporate social responsibility (CSR) of Amway Opportunity Foundation. This CSR arm of Amway India will provide funds for education and healthcare of the children in orphanages in 15 towns in the east. The foundation will gradually provide support to 52 orphanages across the country.