Essar eyes 40% market share in Rajasthan

Essar Steel today said it will open more retail outlets in Rajasthan in the next one year to expand its rural base and increase its market share to 40 per cent in the state.

"We are seeking to expand the company's market share in steel retail segment to 40 per cent in Rajasthan which at present is 30 per cent," Essar Steel Executive Director (Sales and Marketing) Vikram Amin told reporters here.

As part of its marketing strategy, the company would open three hypermarts and 16 expressmarts in the state mainly to tap the growing rural demand.

"Essar Hypermart currently operates seven hypermarts and 34 expressmarts in the state which will be increased to 10 hypermarts and 50 expressmarts, respectively, by the year 2011," he said. All retail outlets fall under Essar Hypermart, an Essar group entity.

Financial details of the expansion programmes were not immediately known.

Present on the occasion, Essar Hypermart Chief Executive Officer Girish Rao said: "The rapid industrialisation of Rajasthan offers great potential for growth and we are part of this growth by providing quality steel."

The company plans to lure the small and medium enterprises, which consume steel, with their hypermarts while expressmarts would help in taping the demand of a general customer.