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Wednesday, October 28, 1998

Ramesh Chauhan plans to re-launch Bisleri brand 

PRESS TRUST OF INDIA  
New Delhi, Oct 27: Ramesh Chauhan, former owner of the Thums Up and Limca brands, is planning an investment of about Rs 100 crore to relaunch Bisleri soda, whose licencing agreement with Coca-Cola ends in November.

"We are investing about Rs 100 crore in the next five to six months to relaunch the brand," Chauhan said.

The five-year licensing agreement with Coca-Cola to bottle and market Bisleri soda ends on November 11.

"There was a request to extend the agreement by one year. But somehow that did not take place," Chauhan said.

The relaunched Bisleri soda will have a new logo and new bottles, he said. Plans are also on to double the sale of Bisleri soda from 8 million cases per year in one year, he added.

Chauhan said the agreement with Coca-Cola did not help the brand as the sales remained stagnant at eight million cases during the last five years.

Despite the licensing agreement, both Coca-Cola and Chauhan have been flouting the pact by launching soda on their own in Goa.

After Coca-Colalaunched its Kinley soda six months ago, Chauhan also started marketing Bisleri soda in Goa on his own.

Chauhan said investments will be made in his existing manufacturing units in Chennai, Bangalore, Goa, Delhi and Jaipur. These units, at present, make Bisleri mineral water. Bisleri also has an agreement with Cadbury Schweppes to bottle soda in their units.

On whether Bisleri soda will compete with Coke's Kinley brand, Chauhan said Coca-Cola should "concentrate its energies in fighting Pepsi and not Bisleri."

He said Bisleri soda was started as part of a service when he owned the Parle Soft Drinks brands. "Now I am selling Bisleri as I have nothing else to sell," he said.

Chauhan said with the licensing agreement coming to an end in November, he will be completely disassociating himself with Coca-Cola.

Chauhan, who was a bottler for Coca-Cola, has entered into an agreement with the US soft drinks major to sell his bottling rights in Delhi.

He is also negotiating to sell the Mumbai bottling unit,which chauhan partly owns with his brother Prakash Chauhan.

The Chauhans had sold their soft drink brands -- Thums Up, Limca, GoldSpot and Citra -- to Coca-Cola when the latter entered the country in 1993.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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