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Sunday, 05 March 2006    
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Shaa soft drinks hit local market

by Elmo Leonard

Shaa, is the latest brand of carbonated soft drinks being introduced into the local market. The bottlers, Shaa Cola Beverages (Pvt) Ltd, Horana, said that their brand of soft drinks, Shaa Cola, Tambarine, Mandarin, Lemon and Soda is expected to be available islandwide by April.

The Shaa range is sweet and is targeted at the pre-teen and teenager segment while its range of products is expected to widen as the market grows.

Shaa's marketing director, Gamini Perera said that his company would treat the established multinationals as nonentities, and slowly, but surely, gain market standing.

Shaa is also possibly, the first brand of carbonated soft drink to be put out in PET plastic throw-away bottles in 350 millilitre sizes. Other carbonated soft drink manufacturers, such as Coca-Cola and Pepsi Cola used PET bottles for 1.5 litre volumes but are now beginning to use PET packs for smaller bottle sizes.

The local softdrink market is controlled by two multinationals and a conglomerate, according to the Shaa management.

A Sunday Observer survey reveals that the Colombo market has a large presence of Coca-Cola, and its brand of products, such as Sprite and Fanta. The same distributor has Club Soda and Ginger Beer among its product range.

Colombo also has the presence of Pepsi Cola. The Ole range of carbonated soft drinks. The age old Elephant brand soft drink range as EGB or Elephant Ginger Beer, Orange Crush, Lemon Crush, Ginger Ale and Elephant Soda.

We also found the small bottled, 190 millilitre Smak range of soft drinks such as Mixed Fruit, Mango, Chocolate, Woodappple, Anoja, Strawberry, Passion Fruit and Pineapple selling well in Colombo, in glass bottles. The Smak range have natural fruit or chocolate and milk in it, with preservatives.

Peace Cola, sold in the Colombo market a few months ago, but traders in Colombo 2, said that they were now, not receiving supplies. My Cola is another new brand of carbonated soft drinks, but now, not seen much in Colombo's retail outlets.

Smack had a number of competitors a few years ago, all putting out natural drinks in glass bottles, but, the outstation market has a higher concentrate of 190 millilitre bottled, lesser known soft drink brands available.

Space is the biggest constraint in the introduction of new brands of soft drinks. The stockist, often a 'snack bar' has to provide the room to store the soft drinks, and for collection of the empty bottles. Also, refrigeration space is needed while the big companies, who have the financial clout even to sponsor cricket tournaments around the world, have provided many thousands of refrigerators to the trade outlets throughout Sri Lanka. Thus, the Shaa strategy of putting out disposable PET bottles is to counter the problem of recollecting bottles.

The Shaa director marketing, Gamini Perera told the media that the washing of bottles causes water pollution. But, the Coco-Cola bottlers said that in their bottling plant in Biyagama, the water used for washing glass bottles is purified to such an extent, fish are bred in the purified water on its way to the Kelani river.

President of the Asian Packaging Federation, Dharmatillake Ratnayake said that carbonated soft drinks are retailed overseas in PET packages, and even brandy and whisky, are sold this way.

But, the PET package should be in polyster with the recommended proportion of food grade plastiser. There is a market for used PET bottles, and it could even be exported to recyclers in India.

Shaa is a 100 percent Sri Lanka company, in technical collaboration with Jon Mark Asia Pacific, Singapore, from where the syrup is imported, chairman Mahinda Ramanayake said. The company has invested Rs 400 million in a state of the art manufacturing facility, in Horana and has acquired ISO9001/2000 accreditation.

Shaa also puts out its drinks in PET bottles, of 1.5 litre, and milliletres, 500, 350 and 225. The company has also invested Rs 60 million on establishing a distribution network.


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