A company press release heralded the end to the joint venture proposed between Parrys Confectionary and Spanish company Chupa Chups.
Parry’s revealed that the deal had ended by mutual consent and it would now focus on restructuring its business operations. This may involve a “reduction of capital employed” and the streamlining of production facilities.
For the nine months ending 31 December, the confectionary company posted a total loss of Rs 6.09 crore, on sales that reached Rs 79.7 crore. This did represent some improvement on 1999 figures of a Rs 22.67 crore loss on sales of Rs 67.7 crore.
The company’s Tamil Nadu-based production unit ceased operation indefinitely lat October, and for the time being the full quota of market requirements are being produced at a unit in Nellikuppam.