Vidhi Dyestuff Management Meet

1. As you can see from Sensient’s website, they are now focusing on Naturals market. Due to high entry barriers (explained in note) and small market size, there are only four major players globally. Sensient with its deep pocket can buyout Vidhi (that question is covered in the note).
2. In past few years Vidhi and Roha has gradually taken up a decent market share. How they did it? They are able to produce 30% cheaper than Sensient and they have established a brand as 2nd/3rd largest player in the industry.
3. As explained by the MD, Mr. Manek, India had a poor reputation globally until a few years ago i.e. nobody believed we could be able to manufacture high quality colours. In last decade the scenario has changed substantially and Vidhi and Roha both have taken a huge market share from Sensient.

Now how will Sensient give a comeback or are they even interested in a comeback? Is synthetic colour market too small and insignificant for them? Will they acquire Vidhi and Roha? Story yet to be unfolded