Kathmandu: The Gurgaon-headquartered Ravi Jaipuria group has begun consolidating business in Nepal by launching its first residential project in Kathmandu and announcing plans to bring Pizza Hut and Costa Coffee to Nepal.

"Already 50 percent of our luxury condominiums have been booked," said Kamlesh Jain, country manager for Varun Beverages, RJ Corp's bottling agency for Pepsi in Nepal. The group is the sole bottler for Pepsi in the country.

In 2006, Jaipuria Sunrise, the real estate arm of the group, had announced it would invest about Rs.3.5 billion ($89 million) to develop residential complexes in Sri Lanka and Nepal.

The booking for the 185 upmarket condominiums in Kathmandu's Dhapasi area began in January and the first possessions will be given from 2010.

The flats cost between 9 and 23 million Nepali rupees and are said to be the first to get environmental clearance from Nepal's government.

Varun Beverages, which started business in Nepal in 1999, has also seen its soft drink business grow, currently accounting for about 38 percent of the market.

"When we started, Coke controlled 90 percent of the market," Jain told IANS. "Today, its share is about 63-4 percent. We are growing every year."

For a big push in business, the group is now signing a lease for a property where massive construction will be undertaken to launch the first Pizza Hut and Costa Coffee outlet in Nepal.

"There are no multinational pizza chains in Nepal," Jain said. "We see a good market."

The first outlets, to open probably next year, will be used to test the waters.

Pokhara could be the next destination for all three new businesses. The group has already started scouting for another residential project in Kathmandu.

Militant trade unionism recently saw the shutdown of ITC's tobacco factory in Nepal while local residents padlocked Nepal Lever's factory.

The Maoist trade union especially has been targeting Nepal's bigger companies, resulting in new unease in industry and business.

In addition, Nepal now faces an acute power scarcity. While there is an eight-hour power outage daily, Nepal's electricity authorities Friday warned that in another fortnight, it could go up to nearly 11 hours a day.

However, Jain feels things will improve after the constituent assembly is held in April.

"Conditions will improve," he said. "More investors will be willing to come to Nepal."

Source : IANS