Page 12 - HPIC E-Magazine (January-2021)

Indian News Indian News

COVID IMPACT PRIVATE EQUITY PLAY
Facial cosmetics sales hit even as hygiene Everstone to acquire controlling stake in

products take precedence Mumbai-based Calibre

With health and hygiene products Pre-COVID, the Indian beauty which are lighter in texture and claim
taking priority, and people largely market, valued at $6.5-bn in 2017, to provide skincare benefits for daily Singapore-headquartered private
staying home or wearing masks was expected to exceed $20-bn by occasions, casual outings and even in equity firm, Everstone Capital, has
when they venture out, facial prod- 2025. However, with the global pan- the home, brand experts said. signed an agreement to acquire a
ucts have remained unused, accord- demic severely impacting the Indian BB cream stands for blemish controlling stake in Mumbai-based
ing to an analysis by news website, economy and consumer spending, balm, basically a make-up formulated Calibre, a manufacturer of specialty
Moneycontrol.com. Consumers aren’t this will impact more discretionary with skincare benefits. Products mar- ingredients for pharmaceutical, nutri-
buying more, for now, and this has sub-sectors in beauty such as face keted as BB creams are generally de- tional and personal care segments.
hit the facial cosmetics segment of cosmetics, say brand experts. Almost signed to serve as a foundation, mois-
the beauty industry hard, with one half of Indian women use loose pow- turiser and sunscreen all at once. CC However, the PE firm did not dis-
top brand saying it has seen sales of der as facial cosmetics and less than cream stands for colour correcting close the financial terms of the deal
such products plunge 90%. a third use compact powder. nor the quantum of stake acquired.
cream or complexion corrector cream.

As things stand today, when it Skincare to the fore Brand experts also feel, maskne “This is a game-changer mo-
comes to cosmetics, health and hy- While facial care has taken the – acne from mask wearing – will set ment for us at Calibre and it marks
giene products dominate the purchases backseat, skincare has gotten a in, and consumers will look for skin- the transformation of the company
of consumers, and facial cosmetics boost. Consumers in the 18-34 years care products that do not cause these from a family-owned to a professional
have become a discretionary purchase age group are using BB/CC creams, breakouts. one where we will continue to parti-
figuring very low on the shopping list cipate actively. We could not have
as they do in times of crises. found a better majority partner than
NEW PRODUCTS Everstone as we together embark

Sharp decline CIFT launches seaweed-based on a journey that looks both promis-
Aside from the fact that many ing and fulfilling,” Calibre Founder, Founded in 1984, Calibre is a spe- across the US, Europe, Asia and ex-
women aren’t stepping out much, anti- nutraceuticals and sanitisers Chairman and Managing Director, cialty ingredients manufacturer of ports contribute to about two-third of
COVID masks make the use of face Mr. Ranjit Bhavnani said in a state- iodine derivatives, persulfates and revenue. The company has manufac-
cosmetics irrelevant, brand experts ment. perchlorates. Its customers span turing facilities at Sarigam, Gujarat.
say, adding that this has hit demand Central Institute of Fisheries
for foundations, compacts, and high- Technology (CIFT) has introduced
lighters. seaweed-based nutraceuticals and TRADITIONAL METHOD
sanitisers in the market. To commer- FMCG players focus on expanding Ayurvedic
“Women are not venturing out as cialise the product, the Kochi-based
they used to earlier so the demand research organisation has tied up oral care portfolios with ‘pulling oil’
for face cosmetics has gone down with Bodina Naturals Pvt. Ltd., an
tremendously, and secondly, no one ayurvedic manufacturing company.
does make-up at home, so these cate- Two of the major FMCG players minutes as an oral detox therapy.
gories will continue to take a hit,” According to CIFT’s Director – Dabur India and Colgate-Palmolive So far, the mouthwash category is
said Mr. N. Chandramouli, CEO of Mr. C.N. Ravishankar, seaweeds are (India) – have decided to expand dominated by alcohol-based mouth-
TRA Research, a consumer analytics good source of anti-oxidants, dietary their oral care portfolios with the wash products. Dabur India said it
and brand insights company. fibre, essential amino acids, phyto- launch of pulling oil, when Indian is entering the mouthwash category
chemicals, vitamins, and minerals. coastline have immense nutritional consumers are increasingly seeking with the launch of ‘Dabur Red Pull-
“Usage of face cosmetics has The bioactive compounds present in potential. natural and Ayurveda-backed propo- ing Oil’. This product is based on a
stalled across the country. Sixty- seaweeds have scientifically proven sitions. This is expected to boost process defined in Ayurvedic scrip-
eight percent of Indian women used health-promoting properties like anti- In the harvest and post-harvest the Ayurvedic mouthwash category tures and serves as an oil-based oral
face cosmetics in 2019,” added diabetic, anti-inflammatory, anti- fisheries sector, he said CIFT has in the country. detox regiment. Colgate-Palmolive
Ms. Tanya Rajani, Beauty & Personal oxidant, besides bone-health, heart- been working on seaweeds and has (India) said that it is expanding its
Care Analyst at Mintel, a market health and mental-health benefits. It developed and commercialised many Oil pulling is an ancient method natural portfolio with the launch of
research firm. is found that seaweeds along Indian aqua-nutraceuticals from seaweeds. of swishing oil in the mouth for a few ‘Vedshakti Oil Pulling’.
12 Home, Personal & Institutional Care India January 2021 Home, Personal & Institutional Care India January 2021 13