Balrampur Chini Mulls Foray Into Branded Sugar

Balrampur Chini Mills (BCML) is weighing the option of introducing branded sugar in the market. However, BCML will venture into this area only after extensive market research, said BCML managing director Vivek Saraogi at the companys annual general meeting in Calcutta yesterday.

Saraogi said BCML is on the lookout for acquisition of sick sugar mills besides setting up greenfield projects. BCML will focus on eastern Uttar Pradesh for acquisition as well as new projects before fanning out to other parts of the country, said Saraogi. BCML recorded a post-tax profit of Rs 23.60 crore in 1996-97 and has announced a dividend of Rs 3.50 per share on 75,04,310 equity shares of Rs 10 each. Saraogi said the company plans venture into corporate farming once the government policy is changed and land acquisition rules are liberalised.

This will help the company in having control over the raw materials and enable it to produce quality cane in larger quantities, he said. Besides, it can easily implement innovative farming methods or use good quality fertilisers once it starts cane production, he said.

A BCML director said the company, along with the farmers lobby and other producers of sugar, had repeatedly met the government and the ministries concerned to provide a level playing field to the domestic sugar mills vis-