The recently rolled out Goods and Services Tax (GST) has forced Dindigul-based vermicelli maker Anil group to defer its expansion plan at least by three to four months.
“For the next 3-4 months, our focus is on helping wholesalers and retailers regain confidence,” said N. Sugumar, executive director, Top Anil Marketing Company. “Right now, they are confused about the new tax regime.”
Rolling out GST Mitr, an initiative to help retailers under the tax regime, he said the ₹230 crore group plans to help thousands of retailers get registered free of cost so that they do not face any hassle under the new system. Besides, the company will also continue to hand hold them in accounting and taxation processes by setting up the right infrastructure.
Right now, the Anil group has a 40% market share in Karnataka and Tamil Nadu for Anil semiya/vermicelli. It has 18 production plants in Tamil Nadu. Plans are on to enter Andhra Pradesh, Telangana and Kerala in a big way. “Currently, export accounts for 4% of turnover and it is poised to touch 10% this year. We will be introducing five new products, but details will be announced after a few months,” Mr. Sugumar said.
