Successful story of Mysore Sandal Soap factory

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 The Mysore Sandal Soap factory, now known as Karnataka Soaps and Detergents Limited (KSDL), has a rich history dating back to 1916. Here's a brief overview of its success story:

Early Years

KSDL was established by Krishna Raja Wodiyar IV, the Maharaja of Mysore, and his Diwan, Mokshagundam Visvesvaraya, to utilize excess sandalwood stocks that piled up after World War I halted exports. The duo set up the Government Sandalwood Oil factory in Mysore to extract sandalwood oil, which was then used to produce high-quality soap.

Innovation and Expansion

- Soap Development: Visvesvaraya invited technical experts from Bombay to develop a unique soap-making process incorporating pure sandalwood oil. Sosale Garalapuri Shastry, a young industrial chemist, played a crucial role in standardizing the procedure. - Unique Packaging: Shastry designed innovative packaging resembling a jewelry case with floral prints and carefully chosen colors, setting the product apart from others. - Marketing Strategy: The company launched a systematic advertising campaign, using neon signboards, tram tickets, and matchboxes to promote the soap.

Challenges and Revival

- Facing Competition: In the 1990s, KSDL faced stiff competition from multinational companies, leading to declining demand and losses. - Rehabilitation Package: The company received a rehabilitation package from the Board for Industrial & Financial Reconstruction (BIFR) and implemented reforms to streamline its operations. - Profitability: KSDL successfully wiped out losses and repaid its debt to BIFR by 2003, achieving consistent profits.

Current Status

- Flagship Product: Mysore Sandal Soap remains KSDL's flagship product, made from 100% pure sandalwood oil and other natural essential oils. - Geographical Indicator Tag: The company was awarded a Geographical Indicator (GI) tag in 2006, ensuring that only KSDL can rightfully claim its product as "Mysore Sandalwood Soap." - Sustainability Efforts: KSDL runs a "Grow More Sandalwood" program, providing affordable sandalwood saplings to farmers and promoting sustainable practices ¹.

 Mysore Sandal Soap offers a range of products, including:

- Mysore Sandal Soap: Made from 100% pure sandalwood oil, this soap is available in various sizes, including 150g and 450g packs. - Mysore Sandal Baby Soap: Designed for infants, this soap is part of KSDL's effort to target a wider market share. - Mysoap: A newer line of soaps introduced in 2017, available in variants like: - Rose Milk Cream - Jasmine Milk Cream - Orange Lime - Cologne Lavender - Fruity Floral - Other Products: KSDL also manufactures: - Incense sticks (Mysore Agarbathi) - Talcum powder - Detergents

These products are manufactured by Karnataka Soaps and Detergents Limited (KSDL), a government-owned company that has been producing Mysore Sandal Soap since 1916 ¹.

 Mysore Sandal export orders have seen significant growth, with India exporting 779 shipments from October 2023 to September 2024. This marks a 9% growth rate compared to the previous 12 months. In September 2024 alone, there were 93 export shipments, representing a 107% year-on-year growth and 0% sequential growth from August 2024.

Top Export Destinations:

- United States: Receives the majority of Mysore Sandal exports from India, with shipments including: - Mysore Sandal Soap (150g x 100 units) worth $37,199.53 - Mysore Sandal Soap Trio (150g x 3 x 30 units) worth $22,926.24 - Singapore: Imports Mysore Sandal soap and powder from India, with shipments including: - Mysore Sandal Soap (75g x 200pcs) worth $925.46 - Mysore Sandal Powder worth $57.14 - United Kingdom: Also a significant destination for Mysore Sandal exports - Other countries: Malaysia, Kenya, Brunei, Australia, South Korea, New Zealand, and Kuwait

Product Variants:

- Mysore Sandal Soap: Available in different sizes (75g, 125g, 150g) - Mysore Sandal Soap Trio: A pack of three soaps - Mysore Sandal Gold Soap: A variant of the Mysore Sandal soap - Mysore Sandal Powder: Also exported to countries like Singapore - Mysore Sandal Incense Sticks: Exported to countries like the United States and Malaysia

- Mysore Sandal Talc: Exported to countries like Malaysia ¹ [2:41 pm, 15/04/2025] Dad: Mysore Sandal Soap's turnover can be understood through its parent company, Karnataka Soaps and Detergents Limited (KSDL). Here are some key financial highlights ¹ ²:

- Annual Revenue: KSDL reported an annual revenue of ₹1,380 crore ($167 million) as of March 31, 2024. - Net Profit: For the financial year 2024-2025, KSDL posted a net profit of ₹416 crore, marking a 13% increase

As a prominent player in the soap industry, Mysore Sandal Soap contributes significantly to KSDL's revenue. In 2004-2005, the soap had an average monthly sale of about ₹75 million ($1.87 million), with annual sales figures around ₹900 million ($22.5 million) ³. However, current sales figures are not publicly available.