Snapshots of Food Industry News
RJ Corp Unveils Salty Snacks Under Brand Name Kaabuli
Ravi Jaipuria Corp has unveiled its salty snacks brand Kaabuli which are may be similar to PepsiCo’s Kurkure. There is some speculation that PepsiCo’s former bottling partner has deliberately launched the Kaabuli brand of salty snacks to compete with its former partner. This has been denied by RJ Corp even though a number of the Kaabuli branded snacks seemingly bear a similarity to some of PepsiCo snacks. RJ Corp has stated that their Kaabuli is not in competition with Kurkure because Kaabuli snacks are entry level while PepsiCo manufacturers value-added products. Moreover, RJ snacks will be sold only through JMart, the Jaipuria retail stores.
RJ Corp has a no-compete contract with PepsiCo only for beverages. RJ has therefore, gone ahead to diversify into the snacks market as part of its goal to cross $5 million in revenues by 2020. Domestic salty snacks market is pegged at
Rs.17, 000 crores. Regional players provide stiff competition to established players by providing entry level pricing, local flavours and quick turnaround. However, PepsiCo’s high margin brands Lay as well as Kurkure have a fair share of this market and are gaining in the western snacks category.
Rajasthan Based Olitia Foods Launches First Processed Olive Tea
Olitia Foods Pvt Ltd has just launched Olitia the first processed olive tea. Olitia has been created after years of research by Olitia Foods. For the first time machinery has been customised to crush, tear and curl of olive leaves. Olitia Foods has entered into an agreement with UK-based Greanleaf Trading Company for distribution of olive tea called Olitia across Europe. In the first phase Olitia will be available only in the UK. Olives are being grown by farmers in Rajasthan, who began cultivation in 2007 with technology from Israel. While launching the tea CM Vasundhara Raje said this innovative product would earn an international identity for Rajasthan olive farmers, especially as government efforts to grow olives is now yielding positive outcomes.
An MoU was signed between the government of Rajasthan and Olitia Foods Pvt Ltd at the Global Rajasthan Agritech Meet (GRAM) in November 2016 for producing olive tea. Olive tea is called a modern day elixir because its health benefits are claimed to be more than any other tea. Packed with antioxidants the tea apparently clears toxins and carcinogens from the body. Lab tests have shown the presence of antioxidants like Luteolin in the olive leaves. After studies and the result of the lab tests it was decided to process the leaves into tea. Besides being anti-cancer olive tea is also anti-diabetic and can benefit people undergoing mental stress and cardiac problems.
ITC to Create New Brand For its Foray into Fresh Vegetables
ITC have become a highly diversified conglomerate and is now mulling over a brand name for its fresh vegetable foray. ITC is likely to enter this market with fresh potatoes followed by fresh vegetables. The fresh potato venture is a first of its kind in India as ITC is likely to launch low sugar and antioxidant potatoes. Later they could come out with dehydrated onions. Early this year they created ITC Master Chef brand for prawns and spices and dehydrated onions could also come under this brand.
ITC is devising its ‘India First’ strategy because they have always preferred to create indigenous brands and have almost 3000 India centric brands. To become a top food company ITC is also likely to launch fruit pulps and juices. The company means to focus on fruit, vegetables and sea foods as almost 3% perishables are being processed in the country. These products could be fresh, semi-processed or pureed like mango pulp. ITC will bring these products to consumers with enhanced shelf life. One of the reason ITC is taking up the semi-processed and fresh vegetable venture is to reduce waste in fruits and vegetables in India. ITC feels that food is a big opportunity for them as they have a strong agro backend and trade marketing network.
CG Corp Global Launches Wai Wai City Noodle Bar
Wai Wai Noodle parent company, CG Corp Global has introduced a quick service noodle bar concept for the first time in India named Wai Wai City. Wai Wai City will offer an array of noodle dishes cooked in interesting styles with oriental flavours and pocket-friendly prices. The bars will serve noodle options with a variety of sauces, vegetables and toppings. The menu has innovative options like Zucchini Masala Fries, Wai Wai Bhel and Honey Crispies with ice cream. Meals will be prepared fresh and can also be customised according to customer preference. The noodle bars also have the Make Your Own Dish option where consumers can prepare their own noodle bowl.
Wai Wai City means to remain innovative as well as provide region-specific menu as this is consistent with their expansion plans. One new creation which could be a north Indian favourite is Momosa which is a combination of momo and samosa. For the southern states Wai Wai City has some rice options to replace noodles. For the international markets they are going to take the distinctive Indian tikka masala. Wai Wai City has sold rights to 17 countries where they mean to create a new brand experience with diversifying flavours and tastes. They will also endeavour to create nostalgia where consumers can recall their school and college days as Wai Wai noodles were a favourite snack.
India’s Sugar Production to Rise to 25.1 Million Tonne in 2017-18
Indian Sugar Mills Association (ISMA) estimates that India’s sugar production could rise by 24 percent to reach 25.1 million tonne. These figures are for the next marketing year which starts in October 2017. India is the world’s second largest producer of sugar after Brazil and sugar production was estimated to be 20.2 million tonne in the on-going 2016-17 marketing year which concludes in September 2017. The production is expected to rise because of good monsoons and on the basis of higher sugarcane area. However, India’s sugar demand is 24-25 million tonne annually and the government had allowed duty-free import of five lakh tonne of sugar in April and May 2017 to boost the domestic supply. There is likely to be more sugar imports so as to check prices during the upcoming festive season.