Dam told shareholders that the company's overall market share in toothpaste has increased by 0.5 per cent to 52 per cent in the month of August while in the toothpowder it has increased by 1 per cent to 46.3 per cent. Colgate is currently locked in a fierce marketing battle in the dental-care market with ace rival Hindustan Lever which has notched up a 37 per cent share in toothpaste segment.

On this, Dam assured worried shareholders by giving instances of the US market where the parent company regained its leadership position from rival Procter & Gamble. He also dwelled upon the example of the market in China where despite the fact that Colgate is a late entrant, it has gained a leadership position.

``So we will do what is best for the company and shareholders. We have maintained our leadership position in the Indian market and the gain in share in an indication to better prospects ahead,'' Dam said.

He said that the company has registered a 9.5 per cent and 23 per cent increase in revenue during the last two quarters of 1999, and that the performance in the third quarter is expected to be as per estimates. ``The company is confident of achieving a positive revenue growth during the current financial year,'' Dam said adding that the company is on track to achieve goals set in terms of sales and profitability.

On the company's plans to increase its penetration on the rural market, Dam said that the target is to penetrate 1.4 lakh new villages by next year. Currently, two-third of the Indian population residing in rural areas account for only one-third of the company's sales, he said. ``With about 35 per cent of the population having access to modern dentrifices, the opportunity for your company to increase usage of modern dentrifices through better oral health care practices is tremendous,'' Dam added.