Bullish about KSDL’s growth, says company MD Prashant

Bengaluru, NT Bureau: Karnataka Soaps and Detergents Limited Managing Director Dr Prashant PKM sought to impress upon people that the company wasn’t limited to Mysore Sandal Soap, adding that it was merely the most well-known product they manufactured.

Speaking exclusively to News Trail, the Indian Forest Services officer said that he was optimistic about the state-owned KSDL’s growth trajectory under the Chairmanship of Congress MLA from Muddebihal (Vijayapura district) Appaji CS Nadagouda. Here are the excerpts of the interview:

Q. Would it be fair to say that the KSDL is mainly known for Mysore Sandal Soap? Would you concede that the lack of awareness of other company products is a marketing failure?

A. You asked the right question. When KSDL’s name comes up, Mysore Sandal Soap is spoken of rather than our detergents, cosmetics, and perfumery items. In all, there are 58 products in KSDL, but only soaps are being highlighted. It is because people are unaware.

Also, they’re not in a position to convince consumers about our products. So, our role in marketing our detergents, cosmetics, and the like has to be definitely improved. As for the other question, I wouldn’t call it a marketing failure.

If you take Hindustan Unilever Limited, Colgate (toothpaste) is popular. If you take Nestle, Maggi (noodles) is the iconic brand. Among all brands, one item will surge ahead of others. However, our share in detergents, cosmetics, and perfumery items is less. That has to be improved. We’re working on this.

Q. What is the turnover and profit of KSDL? Is the company doing something else to boost its revenue?

A. For the first time in the history of KSDL (since it was rebranded) in the last 40 years, we crossed Rs 1,500 crore turnover with a net profit of Rs 250 crore in the 2023-24 financial year.

We give farmers the opportunity to sell their locally grown sandalwood to our factory, and we pay them well. We are increasing our capacity with more branches. We are constructing commercial complexes (in Bengaluru) on the PPP (Public-Private Partnership) model.

This will provide us with huge revenue in terms of rent. We are better utilizing our land in Shivamogga and Mysuru by constructing similar commercial complexes, hotels, and convention halls, which will yield revenue.

Q. The bribery case against former KSDL chairman and ex-BJP MLA Madal Virupakshappa has been dropped by the high court after his son Prashant was caught by the Lokayukta accepting a bribe of Rs 40 lakh. Do you think people who have pilfered PSUs are getting away with it?

A. That matter is in the court. That decision was taken by the honourable court. I don’t want to interpret the order. As an officer, I shouldn’t interpret the decision of the court, the legality, and the methodology they have followed. However, I believe that good people should be appreciated and the wrong people should be punished.

Whatever decision the court has taken in their wisdom may be good. There is no truth to ingredients being bought at appreciated prices. In fact, we have called tenders at decreased prices compared to last year.

Q. A number of PSUs were sold off under the liberalisation of the 90s. Since then, criticism against the running of PSUs has been that they are run like fiefdoms of ruling party lawmakers and functionaries rather than competing to provide quality goods. What is your response?

A. There are two issues here. The right person at the right place at the right time will deliver, but definitely, I will say that they (PSUs) have a huge scope to improve. I believe in myself. I believe in God.

I believe in good deeds. All PSUs have got the inherent capacity to exceed expectations. I won’t say that all PSUs will fail. The important thing is to take these companies in a better direction.

Q. Do you think PSUs are still relevant as far as social justice is concerned since they provide reservation and thereby representation to historically marginalised groups such as SCs, STs, and OBCs?

A. It is a policy decision which isn’t appropriate for me to answer, but according to the constitution, we give reservations to employees under the SC, ST, and OBC categories. Every Indian born and brought up in India or Karnataka is a citizen of this country and has the right to live.

Q. Can you tell us more about the products KSDL sells apart from Mysore Sandal Soap?

A. Earlier, we had restricted ourselves to sandal-based products, but the availability of sandalwood and sandal oil is decreasing. So, in order to overcome that burden, we have diversified to manufacture products extracted from jasmine, rose, aloe vera, neem etc, alongside sandalwood-based products.

This is so that our share in the market is increased, the dependence on sandalwood is reduced, and the sustainability of the institution is maintained. Some of the products we manufacture are Mysore Sandal hand wash. In the coming days, we will manufacture soaps in the form of gel, which is shower gel.

We are also planning to launch ‘Deepam’ oil for festivals. We will also be developing kits for babies, grooming, travellers, etc. We are planning to enter the cosmetics segment as well.