CHENNAI: Eveready Industries India Limited (EIIL), maker of dry cell batteries, is embarking on a strategy of optimally using its distribution network, especially in rural areas, to market mosquito repellent coils and branded tea packets.

The mosquito repellent coils have been launched in the rural parts of Kerala and Eastern India. These products are sold across the rural India through the 1,000-odd vans it owns. The company is also developing battery-operated mosquito coil. This is expected to be launched soon.

It has begun marketing branded tea packets through these outlets, according to Ravi Grover, Executive Vice-President (Sales and Marketing), EIIL.

Addressing a press conference here on Thursday, Mr. Grover said Eveready had a big tea plantation in the Eastern part of the country. Last year, the company sold 7,000 tonnes of tea. This year, it was hoping to sell 10,000 tonnes of tea.

Mr. Grover said the company's 12th plant would go operational in Uttaranchal in March 2007. The total investment in this plant would be around Rs. 60 crore. This factory would produce `double A' batteries. At present, the company was producing 1,700 million batteries per annum. The Chennai and Hyderabad plants had a consolidated production of 640 million batteries per annum.

Mr. Grover said nearly 95 per cent of the batteries were sold through the trade route. Eveready's market share for 2005-06 was 47.2 per cent. The objective was to increase it to 50 per cent.

Regarding rechargeable batteries, he said it was a niche market. At present, the company was selling two million batteries. There was growth in "double A's and triple-A's. Eveready was working on improving the charging hours from 12 hours to 5 hours.

The company had launched a set of four new television commercials featuring Amitabh Bachchan as its brand ambassador.

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