THOUGH tobacco and cigarettes continue to be ITC’s mainstay, the groups’ mindset
has undergone a significant change in recent years. The fresh thrust is on partnerships,
for discovering growth in new areas and adding increasing values to the enterprise as a
whole.
Yogi Deveshwar, chairman and managing
director of ITC amply captured this spirit in his words: "An Indian’ company,
whilst recognising the need to create a fair reward for shareholders, will go to the extra
mile in partnership with participants in the economy, to create conducive conditions for
international competitiveness towards maximising value for the Indian society of which it
is a part."
As an extension of its tobacco business,
ITC is focusing on agriculture to stress on its Indianness. Other businesses like hotels,
consumer and lifestyle products, etc, have also assumed importance, though more to
leverage the strong brand value that the conglomerate has built over the long years of
existence.
Once again, Mr. Deveshwar understood the
importance of the Indian rural sector when he said: "…entrepreneurial energies
need to be harnessed to bring about competitiveness of India’s rural sector. As the
company globalises, liberalisation in the trade of agri-products will pose formidable
threats and exciting opportunities…"
The partnership that Mr. Deveshwar is so
fond of is geared more towards the rural areas. The company’s approach is to
constantly endeavour to contribute to enhancing the competitiveness of Indian agriculture
by helping the farmer improve crop quality and productivity. The company is also engaged
in imparting a revolutionary dimension to its rural partnership by leveraging information
technology to elevate the Indian farmer to a new order of empowerment. Project e-Choupal,
ITC’s pioneering click and mortar initiative, links a large community of Indian
farmers with domestic and international markets for realising better values for their
products.
This apart, ITC’s biotechnology-based
R&D project has already provided farmers with 12 million saplings, bringing over 7,000
hectares under plantation in rural Andhra Pradesh. The Bhadrachalam clonal propagation
programme is being further accelerated to green 20 hectares over the next five years, with
diversified pulpwood species like Eucalyptus, Subabul, Casuarina and Bamboo, as mentioned
in the company’s annual report for the year 2001-2002.
And, it is perhaps the continued effort
towards excellence that has helped the company to turn out another satisfying performance
during the year ended March 31, 2002. The gross turnover has increased to Rs 9,840 crore,
with post-tax profits swelling to Rs 1,190 crore during the year under review.
According to the directors’ report,
the results have been achieved despite severe cost and revenue pressures stemming from a
steep increase in cigarette taxes, tobacco crop holiday in Andhra Pradesh, the gestation
of new hotel investments and the incubation of new businesses for future growth.
