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Doel Ceramics bullish on china -- To bring SCL porcelain to Indian tables 

Jyotsna Bhatnagar  
Ahmedabad: For lovers of the fine things of life, here's news that's bound to churn a storm in the teacup. After European and American audiences, the Bangladesh-based Shinepukur Ceramics Limited (SCL) is all set to bring the finest in porcelain tableware to upper middle class households in over fifty cities of India. It is also planning to go in for an aggressive marketing campaign.

Speaking to The Financial Express, Paresh Kapoor, managing director of Doel Ceramics, which markets SCL's porcelain tableware worldwide, said he was considerably enthused by the test marketing of Doel Ceramics in Delhi as well as some cities of Punjab, UP, J&K, Karnataka, Kerala and West Bengal where it has been retailing its products since December last. In less than six months of this relatively low-profile soft-launch, the company has notched up sales of over Rs 1.5 crore which it hopes to increase ten-fold to Rs 15 crore by the end of this fiscal.

In a bid to achieve this ambitious objective, Doel Ceramics plans to have in place outlets and dealerships in over 50 cities of India by August this year. This, Kapoor maintains, "is because the buying season for such products commences with the festive season in September-October with major festivals such as Diwali and Durga Pooja at this time. With the wedding season also falling at this time, we believe that Doel tableware would not only find a market as bridal gifts but also as ideal corporate gifts for festivals." While porcelain tableware is a relatively unknown product in the Indian market since its availability has thus far been limited to the grey market where it is available at exorbitant prices after been smuggled in from the West and countries like Japan which has two of the internationally-renowned porcelain tableware manufac- turers, Nikko and Noritaki, Kapoor is confident that the Doel range of tableware would be able to create a market among discerning customers in India. "The aim is to createbrand awareness about our product," said Kapoor.

In view of this, Doel is all set to kick off a major national advertising campaign shortly in both the print as well as electronic media. " A channel such as Zee would give us visibility even in the UK, US and the Middle East," says Kapoor.

And after making its presence in the Indian market, Doel is planning to enter the Pakistan, Far East and Middle East markets as well. Is the company not scared of competition? Avers Kapoor,"We have no competition in India at present since porcelain tableware is virtually an unknown commodity so far.

Our only competition would come from international porcelain tableware manufacturers who may decide to target the same markets as us seeing the response our products have evoked but here too we have a distinct advantage." According to Kapoor, Doel ceramic products would be available for one-fourth the price compared to any similar imported product since the parent company, SCL, being based in Bangladesh not only gets an additional duty advantage being part of the SAARC group but also on account of its being located in a lesser developed country (LDC). Thus, while 40 per cent duty is levied on SCL products, the rate of duty is 60 per cent for non-SAARC countries.

SCL was set up with an investment of $40 million in Bangladesh in 1999. The company hopes to break even within the next 18 months and is even exploring possibilities of setting up a design studio and finishing facility in India at an estimated investment of $10 million some time in the near future. Doel porcelain tableware is translucent, chip and stain resistant and 100 per cent environmentally safe being free from lead and cadmium.

The company also pioneers in applying microwave-proof gold, a state-of-the-art user friendly technology in edge decoration in tableware which is strong enough for use in dishwashers, refrigerators and freezers. The porcelain tableware, though three times more expensive than the bone china tableware manufactured in the country thus far, is expected to give it a run for its money .

Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.

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