Second Quarter - Dabur India Limited

Dabur India Limited Q2/H1Earnings Conference CallOctober 31 st , 2008perhaps it is indicative that the demand of our products will not slacken, I would have beenlittle bit more uncomfortable as we have been sitting on top of 10-12% price increasesbecause then I may have a situation in which demand would erode, so perhaps in our case itwould not happen with that 5% increase.Aniruddha Joshi:Are we happy with around 10-12% volume growth or we would like to draw it much higherspace means what would be our internal expectations?Sunil Duggal:I think, let us put it this way, I am happy with the growth in aggregate terms, I think weneed to improve performance in certain components of our business, some haveoutperformed, some have underperformed. We need to raise the bar for the underperformers and maintain the growth for the out performers as the overall growth goes up. Ifyou do a quick scan you see our international business and some of the healthcare portfoliosdoing extremely well, some others not doing so well, so we need to just pick up and plan abit.Aniruddha Joshi:Okay, fine, we were trying to do something about our CHD business, probably on thedistribution network as well, so there were some initiatives which were supposed to betaken, so have you started on that?Sunil Duggal:Yes. This has shown a very good result. We have substantially improved our OTCportfolio both in terms of product as well as in terms of distribution through chemists, so wenow have a coverage of around 120000 chemists and a very high-quality coverage, whichhas driven the growth of those OTC products very substantially, so I think that part hasworked. What we perhaps need to do now is to build more scale in to this business.Aniruddha Joshi:Okay fine. My last question. How is our performance of cooling oil?Sunil Duggal:Cooling oil is a float product. So, I think we would have got 3-4 crores of sale but wehaven’t really spent much money on it this year. One of the reasons why we did not spendmuch money this year was that it was a very funny summer, it had periods of heat and coldand not very conducive to cooling oil usage so we decided not to invest behind the brandthis year, precious little was spent, in fact we did not spend any money above the line. It isnot something, which we are still devoting a lot of time and attention to because I think thewhole focus in CHD is now shifting towards OTC and Thanda Tail does not belong in thatcategory.Aniruddha Joshi:Okay sir. Thank you very much.Richard Liu of JM FinancialRichard Liu:Good evening Mr. Duggal.