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Saturday, August 16 1997

Govt boosts HLL sales

ENS ECONOMIC BUREAU

KOCHI, Aug 15: Retail sales of consumer goods major Hindustan Lever Ltd has registered a turnaround in the last month of the first quarter. This follows the active support given by the Kerala government to distribute HLL products through state-run cooperative stores.

According to market sources, HLL sales went up with a series of court orders restraining the powerful traders' body, Kerala Vyapari Vyavasayi Ekopana Samithi, from disturbing the movement and sales of HLL products.

They said that consumers and many retail vendors were lifting HLL products from the state-run cooperative stores and the newly-opened Neeti stores.

These state-run stores now market a major chunk of HLL products in Kerala. Sources also said public sector undertakings in the state were lifting the products directly from HLL's clearing and forwarding agents in the state.Sources infer a tendency by consumers to resist the boycott call by the traders' body. HLL, however, is lying low and so far has not geared up its marketing strategy fearing reprisals from KVVES.

According to the HLL's C&F agents here, the company's sales turnover of about Rs 50 crore per month slumped to below Rs 10 crore in the first month of boycott by KVVES.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.

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