33 / 140
31
Segment: Performance & Other Chemicals
2011-12
2010-11
% change
Sales (
`
cr
)
1157
1016
14
Share in total sales (%)
66
67
(1)
Aromatics
Products
p-Cresol, Others
Aromatics Business mainly comprises
p
-Cresol and its
downstream products. The products are mainly used by
customers belonging to Flavour & Fragrance and Personal Care
industries. The Business comprises 29 products.
During the year, sales increased by 34% to
`
252 cr. Sales in India
increased by 38% to
`
80 cr. Export sales increased by 32% to
`
172 cr and formed 68% of the total. Growth on accounted of
volume was 14%. The Company undertook capacity expansion
of
p
-Cresol.
World market of
p
-Cresol is estimated at 55,000 mt and is
growing at about 3%. Though earlier the product used to be
manufactured in the UK and the USA, China and India are now
the major suppliers of the product.
The main user industries, namely, Flavour & Fragrance and
Personal Care, are growing well because of the increasing
population on the one hand and improving standard of living
on the other. The Company will participate in this growth
by i) expanding capacities, ii) introducing new products,
iii) improving efficiencies and iv) widening its market reach.
The prices of key raw materials which are derived from crude
oil fluctuate almost monthly whereas the customers in the user
industries expect the prices of the finished products to remain
firm for a quarter or even more; on such occasions, it is possible
to get affected adversely. Fluctuations in foreign exchange will
impact sales realisations.