Rate and quality, a challenge in Agarbatti industry: Om Sawlani
Shriraj Agarbatti is in business for three generations
Om Sawlani, the head of Shri Raj Agarbatti Gruh Udyog, Nagpur, a family-run firm engaged inthe agarbatti business for three generations, expressed optimism about the future of theindustry in a conversation with Sugandh India. Mr Sawlani highlighted that the trade is expandingrapidly, but the growth comes with increasing challenges. He noted that larger companies oftenundermine smaller firms by pressuring them on pricing and quality. Additionally, alot ofcompanies fail to innovate— they copy products from established brands. Sawlani stressedthat only high-quality products can be sustained in the market, as substandard offerings erodecustomer trust and damage the reputation of quality providers. He believes that resilience andcommitment to quality are key to survival in this competitive market. To address thesechallenges, Salwani called for collective decision-making within the industry. He emphasisedthat collaboration and adherence to quality standards are essential for maintaining a thrivingand sustainable market.
Mr. Sawlani detailed the evolution of his familybusiness during a conversation with SugandhIndia. Sawlani said that his grandfather startedselling raw agarbattis. He operated a groceryshop before venturing into the agarbatti business. His fatherexpanded the business further. Approximately two decadesago, Sawlani introduced a diversified product range, includingscented agarbattis, masala agarbattis, flora agarbattis, sambranicups, cones, and dhoop sticks. Since 1980, the company hasmarketed its products under the Shri Raj Agarbatti brand,earning strong recognition in the market. Sawlani attributedtheir success to an established setup, which eliminated the needfor extensive marketing efforts. Most of their produce is sold[loose] directly to customers and distributors. The companymanufactures unique 1.5-inch dhoop sticks, available in fivefragrances, along with in-house production of sambrani cups.
Their masala agarbatti range includes over 20 varieties, whilethe flora agarbatti line offers approximately 25 fragrances. ShriRaj Agarbatti offers a wide range of scented agarbattis with over50 fragrances, available in various colours and price segments,including black, brown, and other shades. By prioritis in gunparalleled quality and an expansive product variety Shri Raj Agarbatti is decisively securing its dominance in the competitive market. This strategy not only bolsters its reputation but also positions it as a formidable leader in the industry.
“Mr Sawlani revealed that their products are tailor-made to meet market demands. The company primarily focuses on bulk production and whole sale distribution. A strong emphasisis always on quality. This commitment has helped them establish a nationwide presence. Sawlani credited their association with IndiaMART fora significant portion of their business, allowing them to supply products across India.”
Mr Sawlani revealed that their products are tailor-made to meet market demands. The company primarily focuses on bulk production and wholesale distribution. A strong emphasis is always on quality. This commitment has helped them establish a nationwide presence. Sawlani credited their association with IndiaMART for a significant portion of their business,allowing them to supply products across India. Their primary markets include Vidarbha, Maharashtra, Madhya Pradesh, and Chhattisgarh, with additional distribution to South Indian states and Rajasthan through the platform. He emphasised that regional preferences vary, with some states favouring low-cost products and others, particularly in South India,preferring premium offerings. The company produces both economical and high-end products to meet these diverse demands. While Sawlani highlighted the consistent success of their new products due to their quality, he acknowledged pricing challenges. Unlike competitors who compromise on quality to sell products cheaper, he maintains high standards.“I prefer to sell at ₹5 higher than reduce quality,” he stated,reinforcing the company’s commitment to excellence.
Mr Sawlani shared that in response to changing market trends, the company is developing innovative products,such as dhoop sticks made from cow dung and bamboo-less products in sizes of 4, 6, and 8 inches. Sawlani shared that they are actively conducting research and development to bring these products to market, with additional innovations in the pipeline. While acknowledging market challenges, Sawlani emphasised that businesses delivering quality and excelling in their operations are growing rapidly. Here affirmed his commitment, maintaining high standards and noted their steady progress despite market difficulties.He expressed optimism about the future of the agarbatti industry. He remarked that, while some individuals may hold a negative outlook, he believes such perspectives will not significantly impact growth. According to Sawlani, the trade remains poised for continued expansion.
