Popular 'Uswatte' steps in to next level of business expansion
Uswatte Confectionery Works (Pvt) Ltd, pioneers in the confectionery business and best known for the Glucorasa brand for more than 58 years, steps in to the next level of business expansion under the guidance of company Chairman/CEO Quintus Perera with the support of the third generation of the Perera family.
The company is now planning to expand its production capacity following the opening of the new super luxury state of the art factory at Milleniya, Bandaragama by President Maithripala Sirisena yesterday with an investment of Rs. 200 million, Mr. Perera, the second generation family member to head the company, told the Business Times.
Outlining the way forward of the company, he said: "We purchased this land in April 2012 in Milleniya, Bandaragama, and the foundation stone to build new factory was laid on the 7th of April in the same year".
Converting a jungle to a factory by building from stone to stone spending every rupee saved is a dream not so easy to realize, he said, adding that although the founda- tion stone was laid construction was a tough task amidst financial constraints.
"Within a short span of three years we were able to build the factory and the office complex in our own land where we are today which is a dream come true for all of us," he added. The company had moved to rented premises at Piliyandala some years ago after selling the Uswatte property at Ratmalana.
The company has all its production lines in operation in a state of the art factory building with opportunity to expand our horizons, he disclosed.
There are around 200 employees working in the factory at present.
Mr. Perera revealed that 208 perches of land belonging to his family company widely known as the House of Glucorasa at Ratmalana was sold to Toyota Lanka in 2010.
His desire to make it on his own and take the company to the next level of business after more than five decades has prompted him to take a challenging decision to shift the famous house of 'Glucorasa' from Ratmalana to Gorakapitiya, Piliyandala and then to the new location at Bandaragama.
After settling all financial and other liabilities, he has been able to raise the standard of the company to a new level by redirecting it towards a successful organization, focusing on re-branding and making some tough decisions.
"The company has been able to show an incremental growth in its revenue year on year over the past 5 years amidst financial and capacity constraints and prioratisation of objectives together with efficient and effective controls enabled the company to fasten its recovery process to be in the state we are today", he opined.
Uswatte's product range will be soon expanded with new additions of biscuits, chocolates, marshmallows, and wafers with new flavours, he added.
Uswatte Confectionery Works was started in1956 by two brothers - P.J. Perera known as Christy and F. P. Perera known as Anton with 10 employees in a small way at their house in Moratuwa producing Glucorasa jujubes.
"The dream that was Uswatte Confec- tionary for the Perera brothers saw life with the advent of Glucorasa around six decades ago, a sweet which ended up being a product loved by one and all, in all parts of the country by people of all ages. This was followed by savoury Tipi Tips, jellies and wafers that have made a mark on the local and international stage," he said.
He noted that he is committed to growing the family business for the benefit of future generations by continuing the manufacture and market of jujubes, jellies, snacks, wafers, candies, toffees, peppermints and instant drinks.
He noted that Uswatte products are being marketed through 65 wholesale agents and 80,000 retail outlets countrywide.
'Glucorasa' is made to the unique Perera family recipe and its products loved by all age groups for six decades and have been an all-time favorite with approximately 500 MT of 'Glucorasa' being sold every year.
Uswatte also has Pectin jelly products under the brand 'Din Din', a product made out of seaweed and catering to the vegetarian segment of the market
The company is now being expanded to become the market leader in confectioner- ies despite stiff competition of sweetmeat products and extruded snacks imported from India, Malaysia and Bangladesh.
Low quality confectionery products are flooding the local market and some of these products are coming into the country through illegal channels. This has become a problem for local manufacturers, he revealed.
Seeing the hard work put in by Mr. Perera, his son -Shanura Perera and daughter Ms. Suhanya M. Perera Ockersz joined the management team in 2011 to help him in his efforts to rebuild Uswatte.
Director of the company Shanura Perera, who underwent training to become a pilot and later joined his father's company, said "with the change of the business model the company was able to slowly begin the recovery process in incremental steps".
Recovery was very slow and the management together with the staff had to be patient with hope, he added.
The key success factors which aided the recovery was discipline, stringent management controls and making the right tough and quick decisions, he emphasised.