IE Parahat Focuses on Domestic Market

IE Parahat Focuses on Domestic Market
For the first time in Turkmenistan, IE Parahat produced juices in aseptic containers

Parahat individual enterprise made the first steps in entrepreneurship with the production of furniture. In 2013, the company switched its main focus to food and beverage production. The company has achieved notable success over the past six years by producing import-substituting products. IE Parahat produces Joş and Eçil juices, Dat tomato products, Süytli dere and Däp milk and dairy products, Han iced tea, carbonated and non-carbonated drinks Özi and Arma, baby food Yeserje, as well as different types of sausages.

Business Turkmenistan Information Center interviewed Jennet Hojamuradova, Marketing Manager of the company. Hojamuradova told BT about products, main export directions, and also social activities of the IE Parahat. The interview was conducted at the production plant of the enterprise located in the Buzmeyin etrap of the capital Ashgabat.

Please, tell us about your cooperation with Tetra Pak?

— In 2012, our company signed an agreement with Tetra Pak. After procurement of the necessary equipment, IE Parahat started production of Joş juices. Thus, for the first time in Turkmenistan, our company produced juices in aseptic containers, which can be stored for a very long time and do not deteriorate. Currently, we use aseptic containers of Tetra Pak for the milk and dairy products under the brand name Däp. Aseptic containers allow long-term storage of products and prevent rapid spoilage without use of chemical impurities. Tetra Pak is actively investing in all our projects.

After entering the market with Joş, you started to produce juices with different brands. What is the reason?

— It is based on the needs of the market and customers. The juices differ from each other. We also launched production of Bişen juices. However, we are currently producing only Joş and Eçil. In 2015, we received ISO 22000 certificate for food safety management system.

The number of producers of juices and carbonated drinks is growing in the domestic market, and the market is more competitive than ever. How do you promote your products?

— We hold regular promotions. We also supply our customers with technical equipment and provide marketing services. We deliver goods without delay. The prices of our products satisfy our customers. For example, before launching Yeserje, we analyzed the market thoroughly. We carefully worked on the shape of the container. So that the child did not accidentally swallow the lid, its size has been increased. It is possible to connect the lids for making different shapes. Thus, the Yeserje covers can be used as a toy, they are completely harmless. The package of the product is easy to carry. According to the results of laboratory studies, it was found that the production of 90 grams of puree requires 6 medium-sized apples. This information was used in promotional products. The product logo is a well-known fairy tale character Yartygulak, who is an integral part of the national culture. To portray a fabulous hero, we worked with local and foreign experts. Currently, we are working to release new types of baby food under the brand name Yeserje. We are going to use cereals, such as rice and buckwheat with fruits, melons and vegetables, in its production. We use fruits and vegetables which are grown in Turkmenistan. The second product will be made using cereal products and milk. With increasing production volume of Yeserje, we aim to be top baby food producer in domestic market.

You said that you use products grown in Turkmenistan. Who are your suppliers?

— We have our own garden. However, our garden alone is not enough for production. At the beginning of each season, we announce about fruit and vegetable procurement. Before purchasing, we check their quality in our laboratories. We buy only from those manufacturers whose product quality meets our requirements.

What do you focus on when choosing a brand name? For example, where did the trademark name of the carbonated drinks Özi come from?

 — Firstly, we decide on customer profile. Then we come up with several names. We choose one of these names. For example, we had been thinking on the name of Däp for a long time. Kefir and dairy products occupy a special place in our national kitchen. Therefore, we chose the name Däp, which means tradition. When choosing the name of Yeserje, which means agile, we were guided by the character of the hero of our national fairy tale Yartygulak. The name Özi for carbonated drinks was chosen based on the slogan "Hakyky tagamyň ÖZI" ("The real taste"). Before choosing a name, we check quality of each product.

What are your main export products?

— We export all types of our products, except sausages. We export juices, tomato and dairy products to Oman. Our main export direction is the Russian Federation. There is a demand for concentrates produced from fruits and vegetables grown in Turkmenistan. We are currently negotiating with buyers in Qatar and China. Our main focus is to increase the volume of our products in domestic market. After achieving our target in domestic market, we are going to search for new markets for export.

Have you received Halal certificate for your sausage and meat products?

— We are working on it. It is not so easy to get Halal certificate. There are 137 types of Halal certificates issued by several companies. Firstly, we learn about Halal requirements of the country where we plan to export our products. For example, to export to the United Arab Emirates, you must obtain a certificate from the relevant UAE authorities.

What is your share in domestic market?

— I can say that our share in the domestic juice market is on average 50%. It was calculated by Tetra Pak. Sometimes, it reaches 70-80%. In fact, if you go to any store or shopping center and look at our products on the shelves, you will immediately understand our market share.

Products of Parahat can be found almost everywhere. We can say that you are set to become a national brand. Have you done any social projects?

— We work with community organizations and constantly support them. We carry out work to ensure the safety of our products. For example, we do not use sugar substitutes, but use real sugar in the production of carbonated beverages. We started to use glass containers. Fruits and vegetables for the production of concentrates are carefully checked in the laboratory. Fruits that are not grown in Turkmenistan, such as orange, are purchased from companies that are known worldwide as reliable partners. From 2013 to 2019, our company built several production facilities. Joş and Eçil are produced in different production plants. The entire production process takes place in a closed environment. A sample of the product is taken for microbiological analysis in every 30 minutes during the production. We constantly go to the stores where our products are sold. We place our own representatives at the large shopping centers.

What can you tell about products you export?

— As an example, I can say that at the Golden Autumn-2014 exhibition, which was held in Moscow, Joş and Eçil juices were awarded a gold medal. This was a surprise for us. Our products were sent to the exhibition by the Union of Industrialists and Entrepreneurs of Turkmenistan. Despite the strong competition, our products were considered worthy of this award. We customize our export products to the standards adopted in the destination countries. For examples, our packaging used to contain information in Turkmen and Russian, but now we have added product descriptions in English and Arabic languages.