Svenska to re-enter Indian hygiene mart

After ending its joint venture with Godrej Consumer Products Ltd (GCPL) in 2009, Nasdaq-listed hygiene products company Svenska Cellulosa Aktiebolaget (SCA) re-entering India.

The company is setting up a greenfield manufacturing facility at Ranjangaon MIDC near Pune while simultaneously building up its local team.

Milind Pingle, SCA Hygiene Products India’s newly appointed managing director, said, “The facility will call for an investment of Rs 145 crore and will get operational by 2015. Till then we will continue to import our products for sales into the Indian market,” said Pingle.

In India, SCA will operate in three business categories — existing (baby hygiene products like diapers, baby soap, baby shampoo, baby oil etc), emerging (tissue paper used in institutions like corporate offices, hotels and restaurants) and nascent (adult diapers).

Among SCA’s hygiene product brands include Libero (baby diapers), Tork, Tempo and Lotus (consumer tissue) and, Tena (adult diapers).

SCA has chalked out a marketing and advertising strategy to reach out to consumers.

The company works with the Publicis Groupe globally and Carat Media, which will implement the advertising strategy in India.

The company is also looking at acquisitions in India.  “We should be looking to acquire a couple of brands in the near future for sure,” said Cecilia Edebo, vice-president – consumer goods, SCA India.

SCA had a recorded sales of 9.8 billion euros in 2012.