MUMBAI, India, February 16 /PRNewswire/ -- Rallis India Limited, a Tata Enterprise, was conferred the Growth Strategy Excellence Award in the Indian Crop Protection Chemicals Market. The award was presented to Rallis for excellence in sales strategy. It recognized Rallis's ability to best perceive consumer needs and develop marketing strategies that elevate the brand's quality, style, and image to create an overall value perception. In the $1,620 million Indian market, Rallis has a market share of around 15 percent and is the most recognized brand among end users.
Congratulating Rallis on getting the Award in this category, Mamta Wadhwa, Sr. Director, Chemicals Material and Foods Practice, Frost & Sullivan, South Asia and Middle East said, "Rallis has received the award for strategy encompassing its Zonal Profit Center that has decentralized the decision-making, resulting in decrease in the turnaround time. Rallis has also reduced operational costs with regular process improvisation. This has resulted in the company's consistent growth."
Rallis's unique sales strategy includes its distribution network covering around 80 percent of India's districts, technical collaborations with global majors and several promotional avenues to increase market share and revenue growth. Reaching farmers with focus group discussions and one-to-one technical support has added to the better reach of the brand and aided in proper usage of pesticides. The company over the years has gained good understanding of the needs of end users and has incorporated them in its marketing and product avenues.
The crop protection chemicals market in India is on a higher growth stage compared to the past five years and is characterized by high-level consolidation. The seasonality and the dependence on various external factors make it difficult to derive growth projections in this market. The industry witnessed double-digit growth of about 10 percent for the year 2007 and is expected to grow at a CAGR of 7 percent over the next 4-5 years. The industry is witnessing an increasing trend towards usage of effective chemicals at lower dosages and usage of eco friendly options.
On receiving the award Mr. V Shankar, Managing Director and CEO, Rallis India Limited said, "I am pleased Rallis has been recognised by Frost & Sullivan for Excellence in Growth Strategy in the Indian Crop Protection Market. Rallis has over a century old connect with the Indian farmers and we continually strive to serve them better through value creating products and superior serrvices. The success of our recent offerings such as Applaud and Takumi reflects the strength of this relationship.This recognition acknowldeges the contribution Rallis makes to enriching farmer lives and we are well poised on our growth agenda."
The recipient of this award is evaluated on specific predefined criteria through primary and secondary research methods, which include tracking companies' market revenues; those exhibiting significant growth are noted for their strategy implementation. Revenues are then compared year-on-year to monitor growth patterns. When a company continues to show high growth rates in unit shipments, revenues and profitability, it is a candidate for the Frost & Sullivan Growth Strategy Excellence Award.
In addition to the above methodology, specific criteria are used to determine final competitor rankings within the industry. These include ability to grow in a mature market, unique sales strategy, technological innovation, and brand image.
About Frost and Sullivan
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About Rallis:
Rallis India Limited is one of India's leading agrochemical companies with a century-old tradition of servicing rural markets and a comprehensive portfolio of pesticides for Indian farmers. The Company is known for its deep understanding of Indian agriculture, sustained relationships with farmers, quality agrochemicals, branding and marketing expertise along with its strong product portfolio.
During the financial year 2007-08, the Company posted Profit after Tax of Rs. 125.19 Crore and Revenues of Rs. 760.74 Crore. Rallis also significantly improved its EBITDA margin to 12 percent in the year 2007-08 as against 7 percent in the previous year.
Rallis recently posted a profit before tax (before exceptional items) of Rs 105 Crore for the first nine months of the fiscal 2008-09; recording a growth of 81 percent over the last year's PBT from operations of Rs 58 Crore. Rallis improved its profitability with an EBITDA margin of 17 percent during the first nine months of the current year against 13 percent over the same period last year.
Media Contact:
Remi Chatterjee
Corporate Communications - South Asia
P: +91-22-4001-3419
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E: remi.chaterjee@frost.com
Nimisha Iyer
Corporate Communications - South Asia and Middle East
P: +91-22-4001-3404
F: +91-22-2832-4713
E: niyer@frost.com
