Mumbai: Eveready Industries has reentered the alkaline batteries segment with the launch of Eveready alkaline max batteries.
Earlier, Eveready used to distribute alkaline batteries of Energizer under a joint venture agreement. Following termination of the agreement, Eveready started importing alkaline batteries from a Japanese company and is selling them in the domestic market.
The Eveready batteries will be available in two versions - 'AA' and 'AAA' - which are widely used in such equipment as cameras, calculators, personal cassette players, toys and CD players. The company, with its vast dealer network, hopes to garner a 30-per cent market share in this segment in a year. The total battery market in India is Rs 1,200 crore, of which Eveready commands over 40 per cent share.
The company has no proposal to manufacture these batteries in India because of economies of scale. A project could become viable only if it had a capacity of manufacturing 60 million batteries annually at an investment of Rs 70 crore to Rs 80 crore. As the domestic demand was for only 15 million to 20 million batteries, manufacturing could not be a viable proposition.