Hul Food and Drinks Coffee Ice Cream Tea Jam & Ketchup Atta Home Care Detergen T Toiletries Personal Care Shampoo Soap Water Purifier Pureit
Hul Food and Drinks Coffee Ice Cream Tea Jam & Ketchup Atta Home Care Detergen T Toiletries Personal Care Shampoo Soap Water Purifier Pureit
Food and
Drinks
Home
Care
Personal
Care
Coffee
Detergen
t
Shampoo
Ice
Cream
Toiletries
Soap
Tea
Water
Purifier
PureIt
Deo
Jam &
Ketchup
Atta
The above hierarchy describes the various products that HUL manufactures and
markets.In the Food and Drinks segment, raw Coffee prices are reducing and hence
margins might improve(Data from Coffee board).In the same segment milk diaries
have increased the prices of milk which is an important input to ice-creams. Tea
prices are said to be stable in the near future. Wheat commodity prices are showing
a steady decline. Hence in general in the near future the margins for HUL in the
food and drinks segment is either stable or increasing. In the Home care segment,
margins are likely to improve due to falling crude prices which is an important
inputs to chemicals used to manufacture Detergent and Toiletries. In the personal
care segment palm oil prices have remained relatively stable. This combined with
falling crude prices will ensure that margins are stable in the personal care
segment.
Threat from Patanjali: Patanjali a relatively new entrant into the business that HUL
operates in has grown to a company with Rs. 5000 Cr revenue. In a number of
segments Patanjali is a direct competitor to HUL products. Patanjali has undercut its
competitors to capture a significant market share. The competition from Patanjali
may stress HULs margins