The future of incense industry is bright with changing market trends – Vakil Jajam
New Maharashtra Agency supplies Zed Black products in Gondia
The agarbatti industry holds a promising future and is poised for steady growth. However, the marketing and supply chain landscape has experienced significant shifts over the past few decades. Mr Vakil Jajam, owner of New Maharashtra Agency, Gondia, revealed in an exclusive interview with Sugandh India that the relevance of agencies is declining. He attributed this change to the dominance of large retail chains like D-Mart and other major players. “Large stores, malls, and dedicated product counters are weakening the traditional distribution network,” he said, predicting its eventual disappearance. Mr Jajam highlighted that many leading companies now operate through depots, reducing the need for intermediaries like agencies and distributors. He questioned why companies would continue relying on agencies when direct distribution offers greater efficiency. The surge in online sales further complicates the situation for traditional agencies. New generation increasingly prefer modern marketing channels, eroding the relevance of older models. Established in 1998, the ‘New Maharashtra Agency’ in Gondia (Maharashtra) supplies for over twenty companies, including Bajaj, Dabur, LijjatPapad, branded tea, and Zed Black. Several [of these] brands belong to the fast-moving consumer goods (FMCG) sector. The adaptability of the agency in this evolving market remains to be seen.
Mr Vakil Jajam stated in an interview with Sugandh India that his agency handles FMCG products for multiple companies. He started dealing in agarbattis in 2003, partnering with Zed Black. The agency sources products directly from the Zed Black depot and supplies them across most of Gondia, except for a few regions. Discussing market dominance, Mr Jajam revealed that Zed Black holds a 70% share in the agarbatti, dhoop, and puja materials market in Gondia, with the remaining 30% shared by other brands. He noted that annual sales of Zed Black products through his agency generated revenues of approximately one crore. The brand offers 200 to 250 products, all available at the New Maharashtra Agency. Manthan pouch is the top seller, followed by the 3-in-1, sandalwood, mogra, and rose fragrances, which are also highly popular. Other well-performing products include Ashtagandh Chandan Tika, flaxseed oil, ghee, rose water, attar, camphor, and havan materials, indicating a diverse and robust product range.
Mr Vakil Jajam shared insights into Zed Black’s extensive product range, which includes items priced between ₹10 and ₹1,500 per dozen. He highlighted that premium products experience a surge in demand during festivals. Popular offerings include Mishti Dhoop, Wonderful, Sandal, 3-in-1, and Arij, which dominate the local market. Mr Jajam noted that the agarbatti market in Gondia is expanding rapidly, with Zed Black holding a significant share. Sambrani and dry dhoop products, especially Shriphal Sambrani and bamboo-less incense products, are in high demand. The Zed Black agarbatti range performs consistently well, with dhoop products priced at ₹10, ₹20, and ₹100 being particularly popular. He further observed that the market for Bamboo-less products is growing swiftly, with dhoop accounting for 60% of sales and agarbattis for 40%. Among Zed Black’s offerings, ₹10 and ₹20 zippers are bestsellers. Mr Jajam explained that boxed products have a lower preference in Gondia, as consumers favour zippers for their higher weight and better value.
Mr Vakil Jajam highlighted the presence of several competing brands in Gondia, including Balaji, Cycle Pure, Big Bell’s Kaccha Bela, Amrutha, and Lakshmi. These brands hold a strong market share and directly compete with Zed Black. He noted that his agency caters to super bazaars and local markets to paan stalls, as agarbattis sell consistently well across all these channels. Despite Gondia being a relatively small market, its proximity to Madhya Pradesh (30 km) and Chhattisgarh (50 km) significantly influences its trade dynamics. Mr Jajam explained that this strategic location enables Gondia-based products to penetrate neighbouring states, where goods are distributed widely. Gondia serves as a central hub for these two states, offering factory-rate products that attract buyers from border areas. While goods from Madhya Pradesh and Chhattisgarh also reach Gondia, its unique geographic advantage positions it as a key player in the agarbatti market.
