In beauty and personal care, the company has serviced primarily multinational companies with some of the most globally recognised brands.
However, the company believes there are untapped opportunities beyond the household names.
“Almost 90% of our business is international, not domestic. But it’s a new generation and so we are checking out the market for what is potentially available. We would like to diversify and expand within the same family,” said Ajay Jindal, managing director, Jindal Drugs.
In particular, the company is eyeing new opportunities among smaller companies in the oral care category.
“While traditionally we work with multinationals, we want to penetrate the middle-level manufacturers across the globe. Their volumes may be smaller, but the value might be more attractive,” said Ishaan Jindal, director, Jindal Drugs.
In recent years the oral care category sees an influx of new brands. Many of these stylish brands have turned a basic health-related product into a beauty and lifestyle essential.
Ishaan elaborated that working with multinationals in the oral care space can be extremely price competitive. He added that the firm faces competition not just from other natural ingredient producers, but synthetic ones as well.
“As for the newer companies, they tend to value quality and they prefer using natural ingredients. That’s where we are able to fit in.”
Ajay added: “Besides cleaning, oral care products want to achieve a fresh feeling with the coolant. Menthol ingredients will always be needed, so it’s very promising.”
High demand for essential oils
On the flip side, the firm has observed a greater appreciation of essential oils after the COVID-19 pandemic.
“During COVID, some essential oils were in high demand as a disinfectant, especially in mouthwash. There was a spike in demand and now it has stabilised, but it will continue to follow the trend so we can expect demand to grow. After all, if it’s toothpaste, something you put in your mouth, many would prefer to use a natural product,” said Ajay.
Founded in 1992, Jindal Drugs specialises in producing natural menthol products, including peppermint, spearmint, and eucalyptus oils. It is based in Mumbai, India, one of the major producers of mint in the world.
“Almost three million farmers cultivate peppermint in India. It’s reserved for small farmers mostly in the state of Madhya Pradesh, Bihar,” said Ajay.
Moving forward, the company has its sights set on emerging markets in South East Asia.
“While markets like Japan and Korea are good for us, we want to expand into other markets like Vietnam, Malaysia, and Indonesia. The per capita income of these markets is growing, new players are coming up in the market, so we see good potential in these markets,” said Ajay.