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Hindustan Gum is an agro-processor in Jodhpur, Rajasthan. It is primarily in the business of processing guar gum. The market volatility in demand and prices have shot up due to the need of guar gum in the new and growing shale gas fracking, primarily in the US. Hindustan Gum has been trying to respond to this by considering options like expansion in processing, and contract farming for guar seed sourcing.

Licensed re-use rights only. Cases of the Indian Institute of Management, Ahmedabad are prepared as a basis for class discussion. They are not designed to present illustrations of either correct or incorrect handling of administrative problems.
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