IS THERE LIFE AFTER BRANDS FOR DCW?
Article Abstract:
DCW sold its Captain Cook brand and two of its salt plants to Best Products for Rs77 crore in August 1998. The brand holds one- fifth of the iodised salt market. DCW also sold its other salt plants to Gujarat Heavy Chemicals Ltd for Rs28 crore and is scouting for a buyer for its flour mill, which used to produce Captain Cook flour. DCW is back as a commodity player and also manufactures caustic soda, polyvinyl chloride and soda ash. However, oversupply in the market and an increase in raw material prices have put pressure on DCW's margins. DCW registered sales of Rs431 crore in 1997-98 (Rs423 crore in 1996-97) with net profits dropping to Rs3 crore (Rs17 crore). Caustic soda and chemicals like chlorine account for less than 30 percent of DCW's revenues with PVC chipping in 53 percent and soda ash around 18 percent. The PVC market has shown a slight recovery with the stabilisation of raw material, vinyl chloride's prices. DCW has also made profits by manufacturing a chlorine derivative, synthetic rutile. DCW is trying to increase its commodities portfolio and its operations are flexible enough for it to manufacture any chlorine derivative. DCW's synthetic iron oxide project has been put on hold due to paucity of funds. The project requires an investment of around Rs300 crore to Rs500 crore. (tsm)
Comment:
DCW sold its Captain Cook brand and two of its salt plants to Best Products for Rs77 crore in August 1998.
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1998
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The mineral magnet
Article Abstract:
This article focuses on mining developments in Africa. The Fifth Annual African Mining Investment Symposium, which was held in November 1997, described Burkina Faso, Ghana, Tanzania, Cote d'Ivoire and Zambia as being among the top ten countries for prospecting investment.
Publication Name: Asian Review of Business and Technology
Subject: Business, international
ISSN: 0956-3784
Year: 1999
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