Paras Pharmaceuticals Ltd
Strategic Direction
·
Paras Pharmaceuticals is
planning to build sales dramatically for its Moov brand through investment in
aggressive advertising campaigns, with print advertisements, television
commercials and outdoor advertising. The company is particularly keen to
acquire foreign OTC healthcare brands or companies with brands with a strong
potential for growth.
Key Facts
|
Full name
of company:
|
Paras
Pharmaceuticals Ltd
|
|
Address:
|
Paras
House, 6B, Sattar Taluka Society, Near Navjivan Press, Ahmedabad 380 014,
India
|
|
Fax:
|
+91 (79)
2754 4484
|
|
www:
|
www.paraspharma.com
|
|
Activities:
|
Cosmetics
and toiletries and OTC healthcare
|
Source: Euromonitor International from
company reports, Trade press
Company Background
·
Paras Pharmaceuticals is one of
only a few companies in India to focus solely on OTC healthcare.
·
Paras started its operations in
1965 as an ethical products company in Orissa, with a range of antipyretic,
analgesic and antibiotic preparations. The company was founded with two
partners: Mr NA Patel and Mr BJ Saraf.
·
The first OTC healthcare brand
launched by Paras was the analgesic antipyretic Stopache in 1968. With the
success of Stopache, the company completely shifted to OTC healthcare and
stopped the manufacture and sale of ethical brands.
·
In 1984 the company shifted its
operations to Ahmedabad, which continues to be the location for its
headquarters and production.
·
For the distribution of its
manufactured products, the company has 18 clearing and forwarding
agents/consignees and 2,000 distributors.
Production
·
Paras’ production facility is
located at Ahmedabad in West India. It has an annual a production capacity of
over 5,550 metric tonnes of cream, ointment and powder.
·
The company is currently
expanding its production facilities by setting up a new plant costing an
estimated Rs380-400 million in Himachal Pradesh.
·
The company also outsources the
manufacture of some of its products.
·
Paras exports its products to a
wide range of countries, including Kuwait, Malaysia, the Maldives, Oman, Kenya,
Saudi Arabia, Uganda, Singapore, Myanmar, Ukraine, Panama, New Zealand,
Australia, Fiji Islands, West Indies, UAE, Sri Lanka and Bangladesh.
Competitive Positioning
·
Paras Pharmaceuticals ranked
ninth in the overall OTC healthcare market in 2007 with a value share of just
over 2%.
·
The company’s sales are mainly
derived from topical analgesics/anaesthetics, where its flagship Moov brand
ranked fourth in 2007 with a value share of just over 10%.
·
The success of Paras can be
attributed to the company providing effective remedies at a competitive price.
·
The company is also famous for
the extensive research work it conducts before the launch of its brands, with a
high reputation for quality.
·
The company also invests
significantly in advertising, ensuring that its range retains high levels of
consumer awareness.
|
Product
type
|
Value share
(%)
|
Rank
|
|
Topical
analgesics/anaesthetics
|
10.3
|
4
|
|
Oral
decongestants
|
10.0
|
1
|
|
Topical
antifungals
|
5.0
|
4
|
|
Antipruritics
|
14.0
|
2
|
|
Topical
germicidals/antiseptics
|
7.1
|
6
|
|
Lip care
treatments
|
37.0
|
2
|
Source: Trade press, Company research, Trade
interviews, Euromonitor International estimates
