Muted demand for hand sanitiser sees many smaller players shut shop

A product which was in hot demand when the pandemic began has lost its appeal as COVID cases in the country witness a steady decline.

Companies made a beeline to manufacture hand sanitisers as the demand spiked to record levels just at the beginning of the second wave last year.

But as the wave subsided, the demand for sanitisers started dropping to a point where it became unviable for both the large and small players to continue.

Radico Khaitan, which supplied pure alocohol for sanitisers, has cut production.

“We had set up separate units during the onset of the pandemic in India to make alcohol for sanitation purposes for consumer companies as well as state governments,” Amar Sinha, COO at Radico Khaitan told TOI. “But currently low demand has forced us to consolidate that part of our business.”

FMCG major Dabur has already exited the hand sanitisers segment.

Even the Omicron wave didn't result in hand sanitiser sales picking up. Companies were forced to liquidate stocks by giving them free with certain other items.

The sales at the moment have fallen to just 10-15% of the peak COVID months.

“Apart from the branded players, most smaller ones have shut shop as the number of infected people are currently negligible due to vaccinations,” Times of India quoted Jagbir Singh, proprietor of Himachal Pradesh-based Symbiosis Pharmaceuticals, sa saying.