Greater Noida plant will double our production by year-end: Mahesh Gupta

With an innovative marketing, ambitious growth plans and passion for healthcare, Mahesh Gupta, founder and chairman, Kent RO, has completely changed the way this country drinks water in less than two decades. An IIT Kanpur graduate and alumni of Indian Institute of Petroleum, Gupta started his journey from the small garage of his home with only Rs 20,000 as his first investment. Today, his company holds the biggest 35% share of the total 3,500 crore water-purifier industry. Kent RO is now all set to come up with new products and launch its third plant in Greater Noida, which will double its production. In an exclusive interview with Cheena Kapoor, Gupta spoke about future plans.

Kent was the first brand to start a retail business in water purifiers. How did it help and how many distributors do you currently have?

While water purifiers are being retailed along with refrigerators and washing machines these days, it was not the case in 1999. We were the first brand to start selling water purifiers through retail outlets. Today, we have over 600 distributors, 1,000 retailers and 1,000 dealers across the country. Besides this, we have also opened 150 exclusive Kent Shoppes through franchise model in key cities of India.

Where does Kent RO stand in the water purifier industry? How has been the growth?

About 65% of water purifier business is an organised industry with a 3,500 crore size. Kent is the leader here and holds up to 35% of market share. Demonetization affected our business as we had expected a 25% growth, which only came to about 15%.

Which new products have been launched by the company? Where are you focusing apart from the water purifying now?

We have recently launched a new water purifier with zero water wastage, with our patented technology. The in-house designed technology product Kent Supreme ensures zero wastage. Current water purifiers waste 80% of water, but this new technology reduces it to 50%, and for the remaining 50% we have inbuilt an extra tank from where water can be used for other household purposes. This is only Rs, 1,000 more expensive than the current water purifiers.

We believe in the Drink Pure, Eat Pure and Breathe Pure mission and thus, have launched a series of new products including air purifiers, cold press juicer, vacuum bed cleaners, veggie washers and noodle pasta maker.

What are your expansion plans?

We are coming up with a new manufacturing plant in Greater Noida with an investment of over Rs 100 crore, which will double our production. This new plant in a 25,000-meter area will be ready by the end of this year and will start producing our patent products in 2018. For the first year, we believe that our sales would go up from 800 crore to 1,100 crore after this plant starts production.

The GST Bill has been passed by the government. Has it affected the water purifier industry?

I believe everyone should have access to clean drinking water. This is not just a want but basic need. Currently, we pay 6% excise duty and 13% value added tax making it total 19% in taxes. We let the government be the best judge on this, they know better.