Snapshots of Food Industry News
Top Beer Manufacturers to Launch New Premium Brands
The top three global beer manufacturers – Carlsberg, Heineken and Anheuser-Busch InBev – who collectively hold 90% of the Indian beer market is launching 12 new beer brands. Although the beer sales fell 2% in the last fiscal year, ending March 2017, the companies are confident that with the launch of these new products, sales will rise as high as 7% in the current fiscal year (April 2017 – March 2018).
United Breweries (UB) have indicated that they will launch some imported brands by May end, and two strong premium brands by October. Additionally, they have affirmed that Kingfisher will remain as their leading brand. Likewise, Anheuser-Busch InBev which manufacture the popular brands Fosters and Budweiser, are also confident that the newer products will boost their growth. It believes that consumer purchasing behavior in the premium sector remains unchanged despite the drop in sales in general. Furthermore, market experts believe that a major headway will be made in the craft beer segment too. It is expected that around 20 new beers will likely be launched in the current fiscal year. These developments are being closely followed by countries like New Zealand, Canada, Lithuania, and Iceland, which have shown a keen interest in the sector.
Nestlé’s “Masala Maggi” to be promoted by Paytm and Google
Maggi Noodles is all set to be promoted in a novel manner. Nestle, the fast-moving consumer goods (FMCG) giant is collaborating with Google and Paytm to promote new varieties of its popular Maggi brand of noodles. Paytm’s e-commerce platform Paytm Mall will host a Maggi brand store for displaying and selling newer varieties of Masala Maggi from this weekend. In order to encourage consumers and boost sales, Google is running a competition in which the consumers are required to guess 4 flavors that will be launched, from a choice of 8 flavors. This is aimed to raise expectations and excitement among the consumers. The flavors will resemble traditional cuisine, with exclusive regional spices from specific regions of India.
Drums Food International Planning to Expand its Greek Yogurt Brand “Epigamia”
Drums Food International is planning expansions in India. It aims at a revenue of Rs. 100 crores from its Greek Yogurt brand Epigamia by March next year. This will be achieved by introducing a new range of products as well as increasing the number of retail outlets. By 2020, the company plans to increase the number of retail outlets to 40,000, which is currently approximately 5,000. Even as early as the current year-end, its products will be available across 12,000 stores.
The company has recently launched Epigamia Greek yogurt snack packs in four different flavors. New savory variants of the yogurt may also be launched soon. Drums Food has garnered funds from various sources and has so far raised Rs. 65 crores. The investors include the private equity group Verlinvest (Belgium), venture capital firm DSG Consumer Partners, and even individuals like actor Kunal Kapoor and Apurva Salapuria (Salapuria Group). With currently one manufacturing unit in Maharashtra, the company plans to build more such plants across India, depending on the consumer’s response.
ITC Launches “ITC Master Chef” Range of Blended Spices
ITC has recently launched its “ITC Master Chef” brand in Delhi. This includes a unique blend of spices based on regional cuisines developed by the master chefs in ITC’s hotel chain across the country. The various blends have been procured from several states including Tamil Nadu, Rajasthan, and Andhra Pradesh by the company’s Agri-Business Division. This special blend of spices is being positioned as a premium range. The ITC Master Chef brand is being promoted as “super safe spices” as these spices have undergone extensive safety testing, with over 470 tests, to conform with Indian as well as European Union (EU) standards.
ITC has targeted a revenue of Rs. 1 lakh crores by 2030. It is also marketing its luxury chocolate brand “Fabelle” across malls, besides hotels, where it is currently sold. ITC has set-up new integrated factories dedicated to food manufacturing. Two such units are already operational in West Bengal as well as one in Guwahati, Assam. Another is coming up in Punjab soon, and one more in West Bengal. ITC is also expanding its fruit juice segment and aims to capture at least 20% of the market by 2022, which is currently worth Rs. 2,500 crores. The company plans to introduce new flavors, with an emphasis on locally available fruits. It is to be noted that ITC Food Division is currently the major contributor in the area of FMGC.