EHCL expands skin care interests with Pola tie-up
High tech Japanese cosmetics reach India via in-licensing agreement with EHCL
India’s Elder Health Care Ltd (EHCL) has formed an in-licensing agreement with Japans’s Pola Chemical Industries that will see Pola’s prestige skin care and cosmetics introduced onto the Indian market.
“Pola first drew our attention when we learned that Pola scientists spend three to five years on basic research, development and testing for each product before releasing it to consumers, says EHCL’s md Anuj Saxena. “The fact that the brand new findings in the field of skin fairness, obtained by the Pola’s long-term, intensive research, are introduced and that the products are evidence-based, also align with Elder’s philosophy.” EHCL is already involved in the manufacture of FMCG, R&D-based skin care products and has other licensing agreements with both Indian and international companies.
The first line to launch through this latest agreement will be Pola’s Bihaku whitening range, comprising White Wash, White Lotion, White Gel and White Mask, which will be distributed through OTC as well as dermatologist/cosmetologist routes. This will target high-end, socially active consumers.
EHCL says the organised skin care segment in India, currently valued at Rs2300 crore, is growing at 20%, with quality consciousness increasing with rising awareness levels and the spread of literacy. The company is aiming for sales of Rs7 crore from Bihaku within five years and in the longer term plans to develop a dozen complete product lines with Pola.
EHCL’s parent company Elder Pharmaceuticals Ltd is credited with pioneering the concept of in-licensing pharmaceuticals products in India from international companies and took this a step further by taking this business model to FMCG products under EHCL. The collaboration is EHCL’s tenth in-licensing agreement for providing health goods with therapeutic properties through OTC and dermatology/cosmetology channels.
Saxena adds: “Extensive market research has given us valuable insights into consumer preferences enabling us to launch innovative and high quality products. A well established supply chain – thanks to the support of our parent company – is an added advantage for EHCL launching brands quickly.”
