In a bid to boost profitability, Ambuja Cements Ltd and ACC Ltd has reduced the number of distributors it uses in the Gujarat region of India from 12 to three. The move is part of a trial by the Adani Group to reduce its reliance on distributors or wholesalers, reports Live Mint.
According to local sources, the cement producers plan to build stronger relationships with retailers, the last point of sales for cement. For large bulk projects, such as a flyover, sales will also now be handled directly with Ambuja or ACC instead of via a wholesaler.