Gujarat Agarbatti Packers & Brand Owners Unite for Stronger Industry Future
Resolutions to be implemented from 1st October, 2025
The Gujarat Agarbatti Packers & BrandOwners Community (GAPBO) hosted alandmark get-together in Ahmedabad on 19thJuly 2025 at Hotel Hillock, bringing togetherleading incense brand owners and packersfrom across the state for a day of unity,collaboration, and decisive action on commonindustry issues. The meeting, held from 12:00PM to 6:00 PM with lunch and high tea, sawparticipation from 23 prominent members ofthe community. The aim was to addresspricing challenges, product standardization,labour concerns, and collective strategies formarket stability and growth.
Among the prominentattendees were PratikBataviya of Utsav,Sagar Popat ofSomnath, VasudevKotak of Shreeji, NitinPatel of Incense Parivaar Pvt. Ltd.,Anand Shah of Kalpana, RakeshPatel of Jesal, Jignesh Shah of ShreeSiddhi, Punit Shah of ShahFragrances, Bimal Acharya of Bimal,Milan Dudani of Zebra, KapeeshChandak of Kamdhenu, Chirag Shahof Neev, Prakash Lakhani of FlourishFragrance, Sandip Patel of NishanProducts, Brijesh Patel, HardikBrahmbhatt of Jyoti Products, SumitPatel of JB Products, Vinod Patel ofDhanlaxmi, Jayshilbhai Rajani,Manavbhai Rajani, Navnitbhai ofPushti, Nirajbhai Shah of Arsi, andrepresentatives from CharbhujaAgarbatti. Special guests invitedincluded Mr. Popatlal Rafaliya,President of GAMDA, and Mr.Mukesh Shah, Vice President ofGAMDA. Mr. Mukesh Shah waspresent and participated actively inthe discussions.
Core Agenda of theMeeting
- Get-Together & Networking
- Strengthening Unity AmongBrand Owners
- Standardization of 400gmPouch Weight & Other ItemWeight Issues
- Discussion on Daily Wages &Labour Concerns
- Open Forum: Addressing OtherCommon Industry Issues
Key Decisions andDiscussions
- Unity and Pricing AlignmentMembers emphasised theneed for unity amongmanufacturers on productofferings and pricing to preventunhealthy market competition.
- 400g Zipper Pouch Issue – Profitmargins are shrinking due to the400g zipper pouch. It wasproposed to shift weight to350–360g without changingselling prices, to protectmargins.
- Labour and Wage Concerns– Due to government wageregulations, manufacturers arefinding it difficult to payminimum wages, hencereduction in working days toadjust costs.
- Credit Period Issues – Paymentcycle is 6–8 months from thetime raw agarbatti productionbegins (as highlighted byDhanlaxmi).
- Salesman Salaries and Ethics– Sales staff salaries average₹50,000–₹60,000, but attritionis high. Concerns were raisedover salesmen working for twocompanies simultaneously — onpayroll with one, whilesupplying distributors toanother on commission.Members agreed to:Verify backgroundthroughmutual communication.
Request a No ObjectionCertificate (NOC) from theprevious employer beforehiring.
- Fraud Prevention – Membersproposed creating a dedicated“Fraud Party” group to alerteveryoneabout defaultingbuyers.
- Product Duplication andTrademark Protection – Allmembers pledged to avoidduplicating productsand torespect registered trademarks.
- Reduction of Schemes – Insteadof excessive promotionalschemes, members will focus onofferingbetter rates, improvedquality, and better service.
- Consumer Awareness &Branding – Consumers oftenrequest generic “agarbatti”without specifying a brand(unlike tea buyers asking for“Wagh Bakri”). Changing thiswill solve a lot of issues butrequireslong-term investmentin branding to build brandrecall.
- Friendly Cooperation OverCompetition – The communityurged all members to buildfriendships first, fosteringcooperation instead of rivalry.
- Brand-Building Innovation– Members were encouraged toinvest time and thought intouniquebranding rather thancopying competitors.
- Carton Packing Guidelines– Mixing too many differentitems in a single carton slowsproduction andcausesdistribution challenges.Members agreed to limit cartonsto 3–4 items and specify thisclearly in price lists.
- Two-Cheque Payment SecurityMethod – It was advised to taketwo cheques from buyers — onefor ₹5,000 and another blank. Ifpayment defaults occur, depositthe ₹5,000 cheque first to verifysignatures, then proceed withthe security cheque if necessary.
- Inventory Management –Reduce product variety andfocus on increasing sales offewer, stronger products tosimplify inventory handling.
- Industry Representation for BISStandards – AIAMA is workingto include the agarbatti industryin BIS standards. GAPBO willappoint a representative tocoordinate on this matter.
- Government Schemes forMSMEs –ZED Certification: Offersbenefits such as interest ratewaivers, processing fee waivers,exhibition expense subsidies,and up to ₹50,000 for foreigncourier costs.CGTSME Scheme: Higherinterest in the first year, thenreduced to around 9.5%, withno property mortgage required.
Conclusions & Resolutions
- Salesman hiring to be precededby direct verification or NOCfrom previous employer.
- Fraud parties to be posted in the“Fraud Group” or “BrandedIncense Makers” group.
- Credit Period: Maximum of 30days to be enforced for alldistributors.
- 400g Zipper Standardization:White 400g zipper to bechanged to 360g withimmediate effect; MRP cappedat ₹150. GAMDA will issue anofficial circular with allmembers’ signatures.
- Salesmen working for twocompanies to be reported andstopped immediately.
- Implementation Date forResolutions: October 1, 2025.The GAPBO meet closed on astrong note of unity,with membersreaffirming their commitment tobuilding a more organised, ethical,and profitable agarbattiindustry inGujarat — where cooperation, fairpractices, and brand value takeprecedence over short-termcompetition.
