As part of the revival strategy, the company on Saturday unveiled three new products - Mysore Sandal baby powder, Mysore Sandal Gold and Freshmate air freshner - aimed at the premium segment.At the launch here on Saturday, Karnataka chief minister JH Patel said: ``We will issue a circular shortly to see that all the state government organisations use products of KSDL. The chief secretary will take further action to this effect.''

He said in this age of competition, quality of products will determine the volume of sales and thereby the bottom line of the companies. ``Many state-owned firms are in the process of closing down its operations due to globalisation. These enterprises should adopt the revival strategy of KSDL to come out of the red,'' he added.

KSDL managingdirector P Ganeshan said the company was planning to launch new products in coming years. The company is likely to report a net profit of Rs 20 crore this fiscal. KSDL is aiming to have the ISO 9002 certificate by March 1999.

``The emphasis on single product hit the bottom line of KSDL. Neglect of detergent, agarbati and other products was another reason for the company's poor performance,'' he added.Ganeshan said the company is spending around Rs 10 crore on advertisement against the multinational's average of Rs 350-650 crore. For the launch of the new products KSDL has earmarked about Rs 1 crore.

Among the new products, Mysore Sandal Gold is aimed at the younger generation. Containing natural Mysore sandal oil, this is a premium quality soap, which took about two years of research in the company's R&D wing. The product has been developed for the international market and a small quantity will be made available to the domestic market in select cities. The company says it has received enquiries from 90countries to market this soap.

Manufactured using eco-friendly ingredients, Freshmate has no negative effects on the ozone layer. It will be available in three fragrances - sandal, aqua and petal fresh.