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A taste of Dilmah

by INDUNIL THENUWARA

Sri Lankans will now get the opportunity to taste Dilmah Tea, which is recognised internationally as the No. 3 global brand.

Dilmah, marketed by MJF Exports Ltd. in more than 90 countries for over 12 years, was introduced to the local market last week. Four varieties of tea have been designed by the company for the local market to suit local tastes. They are Dilmah Strong, Premium, Ginger Tea and Vanilla Tea, Chairman Merril J. Fernando told a media conference last week. Fernando had entered the tea industry in the 1950s when the industry was controlled by large European companies.

"Most companies, after they captured the market, stopped buying tea from Sri Lanka and started importing instead. I thought that this should not happen; that Ceylon Tea should once again be brought to the fore. That is why we were concentrating on the foreign market all this time," he said.

Despite operating in an industry dominated by multinational giants, courage, innovation and the drive to succeed had paid off and Dilmah is today one of the leading tea brands in the world. It is the only non-Western brand among the top 10 tea brands. It is exported as tea bags, loose tea, flavoured tea and specialty tea to suit the different requirements of the different markets.

Dilmah was launched in Australia in 1988 and is today the third largest tea brand in the country. It is the No. 2 brand in New Zealand and the No. 1 brand in the Baltic states. USA, UK, Canada, Italy and Egypt are some of the company's biggest markets. "Although the brand is known throughout the world, it is not so in Sri Lanka. That is why we decided to enter the local market. A lot of small-timers are operating in the local market and our entrance to the field may create difficulties for them. We are not trying to compete with them; we are aiming at a niche market," he said.

The Dilmah tea factory at Peliyagoda is the seventh largest in the world and is capable of producing around five million cups of tea every day in tea bags and packets. The 100 per cent pure Ceylon Tea brand is acclaimed for its quality which is further manifested by the ISO 9002 and Hazard Analysis Critical Control Point (HACCP) certifications it has received. According to the company, it is the first in Sri Lanka and probably one of the first in South Asia to receive HACCP certification.

Besides buying tea though brokers, the company has its own estates. These are the 15,000 acre Talawakelle Plantations, where the MJF Group holds 33 per cent (Hayleys accounts for the rest), a 33 per cent stake in Elpitiya Plantations where the other stakeholder is Aitken Spence and a 70 per cent stake in Kahawatte Plantations where the other partner is a British company. The company has all facilities in-house and does not need to outsource anything, the Chairman said.

Hemas Marketing will be responsible for distributing the product throughout the island.

HNB-Pathum Udanaya2002

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