 SAYANTI BERA
 PGDM-2016-2018
 INSTITUTE OF ENGINEERINGAND
MANAGEMENT
 Increase in research and development (R&D)
spending
 Cutting edge technology
 Expansion into new markets
Tata chemicals
Living
Tata salt, pulses,
besan , spices
I shakti
Bio- fules
Bio-ethanol,
Bio-diesel
Cement Tata shudh
Industrial
Tata swatch
(water purifier)
Soda ash,
Sodium bicarb,
Chlorine,
Caustic soda
Farm essential
Urea, STPP,DAP
PRODUCT
consumer product
industrial
agri
nutritional
PRICE
competitive pricing
flexible pricing
premium pricing
PLACE
strong distribution network
at every nook and corner
PROMOTION
social programme
promotional channel
sponsorship activity
4P’S
STAR
I- shakti,
sodium
bicarb, STPP,
urea.
QUESTION
MARK
cement,Tata
shudh, bio-
ethanol,
fertilizer
CASH
COWS
soda ash, salt,
pulses
DOGS
tata salt
flavouritz,
agriculture,
gossence
BUSINESS
GROWTH
RATE
RELATIVE MARKET SHARE
PORTER’S 5 FORCE..
Threat of new entrants: Huge capital
requirements and patent protection are
specific requirements.
Substitute products: There is no direct
substitute for a specific chemical product.
Bargaining power of suppliers: Suppliers
rely on supply from large plants.
Bargaining power of customers:
Customers have multiple source of supply.
Brand image attracts customers.
 Aditya birla chemicals ltd
 GHCL ltd
 Gujrat alkalies and chemicals ltd
 Caprolactum chemicals ltd
 Whereas Market Capitalization ofTata
chemicals is Rs.18,204.88 crore
 Tata Chemicals Ltd acquired 100 % stake in
US-based GeneralChemical Industrial
Products Inc (GCIP)
 Tata Chemicals acquired 25% stake in
ammonia-urea fertilizer complex in Gabon
for US$290 million.
 Tata Chemicals sold its urea business to Pune-
basedYara India, part of the Norwegian
chemical company,Yara International.
• Earns revenues of Rs 1,000 crore from salt and pulses, lentils and spices
and water purifiers
• Neutraceutical, agri and consumer business will grow to 50 percent in
next four years.
MARKET
• (DSIR)- focuses on five technology verticals: food formulations, microbial
biotechnology, separation and purification, emerging materials and agri-
formulations.
TECHNOLOGICAL
• Supply of mechine parts from foreign states.SUPPLIERS
• Growing market of Soda ash.ECONOMIC
• Soda ash business drives the total power of tcl
• Growing market for I-shakti, tata pulsesREGULATORY
• No political barrierPOLITICAL
• In UK the magnitude of impact of BrexitINTERNATIONAL
TATA CHEMICALS
MAR'16 MAR'15 MAR'14 MAR'13 MAR'12
INCOME 12mnths 12mnths 12mnths 12mnths 12mnths
Sales Turnover 10,906.26 10,334.58 8,926.23 8,756.33 8,155.18
Excise Duty 256.35 252.52 236.59 226.46 158.93
Net Sales 10,649.91 10,082.06 8,689.64 8,529.87 7,996.25
Other Income 157.63 194.75 -14.85 196.54 175.47
Stock Adjustments -557.15 850.84 -130.19 -273.78 409.36
Total Income 10,250.39 11,127.65 8,544.60 8,452.63 8,581.08
EXPENDITURE
Raw Materials 5,964.14 6,912.78 5,169.20 4,719.02 5,319.34
Power & Fuel Cost 947.41 1,034.95 814.75 726.36 685.22
Employee Cost 369.9 330.17 267.05 273.56 239.75
Miscellaneous Expenses 1,784.80 1,616.17 1,380.58 1,490.78 1,137.55
Total Expenses 9,066.25 9,894.07 7,631.58 7,209.72 7,381.86
Operating Profit 927.87 927.87 927.87 1,046.37 764.35
PBDIT 913.02 913.02 913.02 1,242.91 177.75
Interest 185.32 185.32 185.32 203.25 586.6
PBDT 727.7 727.7 727.7 1,039.66 764.35
Depreciation 158.82 158.82 158.82 214.29 177.75
Profit Before Tax 568.88 568.88 568.88 825.37 586.6
PBT (Post Extra-ord Items) 568.88 568.88 568.88 825.37 764.35
Tax 132.81 132.81 132.81 182.05 177.75
Reported Net Profit 436.07 436.07 436.07 643.32 586.6
Equity Dividend 254.76 318.44 254.76 254.76 254.76
 Export materials include Soda ash, Calcium
carbonate, Iodized salt
 Import of fire bricks, centrifuge machinery.
 Project Manthan and other operational
efficiency initiatives drive down input and
energy costs enabling company to become a
strong global player as well as combat
imports.
 Tata Chemicals has exited from its troubled
fertiliser business with the sale of its
phosphatic fertilisers business to IRC
Agrochemicals, a subsidiary of Indorama, for
₹375 crore.
 The food and nourishment platform and the
farm input platform as two key pillars for
growth
 Intensify investments in this business of agri
production
 The company was focusing at making
oligosaccharides, sweeteners, anti-obesity
products through green routes.

TATA CHEMICALS

  • 1.
     SAYANTI BERA PGDM-2016-2018  INSTITUTE OF ENGINEERINGAND MANAGEMENT
  • 3.
     Increase inresearch and development (R&D) spending  Cutting edge technology  Expansion into new markets
  • 4.
    Tata chemicals Living Tata salt,pulses, besan , spices I shakti Bio- fules Bio-ethanol, Bio-diesel Cement Tata shudh Industrial Tata swatch (water purifier) Soda ash, Sodium bicarb, Chlorine, Caustic soda Farm essential Urea, STPP,DAP
  • 6.
    PRODUCT consumer product industrial agri nutritional PRICE competitive pricing flexiblepricing premium pricing PLACE strong distribution network at every nook and corner PROMOTION social programme promotional channel sponsorship activity 4P’S
  • 7.
    STAR I- shakti, sodium bicarb, STPP, urea. QUESTION MARK cement,Tata shudh,bio- ethanol, fertilizer CASH COWS soda ash, salt, pulses DOGS tata salt flavouritz, agriculture, gossence BUSINESS GROWTH RATE RELATIVE MARKET SHARE
  • 9.
    PORTER’S 5 FORCE.. Threatof new entrants: Huge capital requirements and patent protection are specific requirements. Substitute products: There is no direct substitute for a specific chemical product. Bargaining power of suppliers: Suppliers rely on supply from large plants. Bargaining power of customers: Customers have multiple source of supply. Brand image attracts customers.
  • 10.
     Aditya birlachemicals ltd  GHCL ltd  Gujrat alkalies and chemicals ltd  Caprolactum chemicals ltd  Whereas Market Capitalization ofTata chemicals is Rs.18,204.88 crore
  • 11.
     Tata ChemicalsLtd acquired 100 % stake in US-based GeneralChemical Industrial Products Inc (GCIP)  Tata Chemicals acquired 25% stake in ammonia-urea fertilizer complex in Gabon for US$290 million.  Tata Chemicals sold its urea business to Pune- basedYara India, part of the Norwegian chemical company,Yara International.
  • 12.
    • Earns revenuesof Rs 1,000 crore from salt and pulses, lentils and spices and water purifiers • Neutraceutical, agri and consumer business will grow to 50 percent in next four years. MARKET • (DSIR)- focuses on five technology verticals: food formulations, microbial biotechnology, separation and purification, emerging materials and agri- formulations. TECHNOLOGICAL • Supply of mechine parts from foreign states.SUPPLIERS • Growing market of Soda ash.ECONOMIC • Soda ash business drives the total power of tcl • Growing market for I-shakti, tata pulsesREGULATORY • No political barrierPOLITICAL • In UK the magnitude of impact of BrexitINTERNATIONAL
  • 13.
    TATA CHEMICALS MAR'16 MAR'15MAR'14 MAR'13 MAR'12 INCOME 12mnths 12mnths 12mnths 12mnths 12mnths Sales Turnover 10,906.26 10,334.58 8,926.23 8,756.33 8,155.18 Excise Duty 256.35 252.52 236.59 226.46 158.93 Net Sales 10,649.91 10,082.06 8,689.64 8,529.87 7,996.25 Other Income 157.63 194.75 -14.85 196.54 175.47 Stock Adjustments -557.15 850.84 -130.19 -273.78 409.36 Total Income 10,250.39 11,127.65 8,544.60 8,452.63 8,581.08 EXPENDITURE Raw Materials 5,964.14 6,912.78 5,169.20 4,719.02 5,319.34 Power & Fuel Cost 947.41 1,034.95 814.75 726.36 685.22 Employee Cost 369.9 330.17 267.05 273.56 239.75 Miscellaneous Expenses 1,784.80 1,616.17 1,380.58 1,490.78 1,137.55 Total Expenses 9,066.25 9,894.07 7,631.58 7,209.72 7,381.86 Operating Profit 927.87 927.87 927.87 1,046.37 764.35 PBDIT 913.02 913.02 913.02 1,242.91 177.75 Interest 185.32 185.32 185.32 203.25 586.6 PBDT 727.7 727.7 727.7 1,039.66 764.35 Depreciation 158.82 158.82 158.82 214.29 177.75 Profit Before Tax 568.88 568.88 568.88 825.37 586.6 PBT (Post Extra-ord Items) 568.88 568.88 568.88 825.37 764.35 Tax 132.81 132.81 132.81 182.05 177.75 Reported Net Profit 436.07 436.07 436.07 643.32 586.6 Equity Dividend 254.76 318.44 254.76 254.76 254.76
  • 15.
     Export materialsinclude Soda ash, Calcium carbonate, Iodized salt  Import of fire bricks, centrifuge machinery.  Project Manthan and other operational efficiency initiatives drive down input and energy costs enabling company to become a strong global player as well as combat imports.
  • 16.
     Tata Chemicalshas exited from its troubled fertiliser business with the sale of its phosphatic fertilisers business to IRC Agrochemicals, a subsidiary of Indorama, for ₹375 crore.
  • 17.
     The foodand nourishment platform and the farm input platform as two key pillars for growth  Intensify investments in this business of agri production  The company was focusing at making oligosaccharides, sweeteners, anti-obesity products through green routes.