| All Illustrations by Bilash Rai |
REGION
The world according to Dabur
Political unrest in Pakistan and Nepal is forcing Dabur India to reconsider its business strategy in these countries. Currently, the company operates in Nepal through a subsidiary, while the operations in Pakistan are handled by its Dubai corporation. Of the INR 3.8 billion at which Dabur is currently valued, the Nepal operation accounts for around INR 400 million and Pakistan for INR 100-120 million. But prolonged instability has disrupted operations and reduced profits in both places.
Due to both the political disturbances as well as an increase in import taxes, Dabur experienced flat sales in Pakistan last year. This year, the company has predicted better growth, expecting, or hoping, that the recently formed democratic government would normalise politics and stabilise the market. Indeed, Dabur even planned to establish a full manufacturing unit in Pakistan; currently, only basic packing operations are taking place for goods shipped into the country for domestic sales.