Snapshots of Food Industry News
ITC to set up 9 plants with an investment of Rs. 4,000 crores
Over the next two to three years ITC will set up 9 plants across the country with an investment of Rs.4000 crores. The FMCG major intends to use these factories to manufacture food products across different categories that ITC operates in. After cigarettes, food is the largest business segment for ITC. The company’s branded packaged foods division has shown a growth of around 11 percent in fiscal 2015-16 and have had a turnover of over Rs.7000 crores. The company is also in the process of testing new food products which they would launch in the near future.
ITC has also begun to target the health-conscious consumers and say that their products are tested in their laboratories and are scientifically based. They have expanded their healthy biscuit portfolio with the introduction of Sunfeast Farmlite biscuits. Sunfeast Farmlite biscuits are available in variants with Oats like Oats with Almonds, Oats with Raisins and Oats with Chocolate. The biscuit market in the health segment might presently be at one percent of the total biscuit industry but it is growing very fast. ITC intends to expand the health biscuit portfolio further through the new plants will manufacture food products in all categories. Another product they have introduced in the health segment is the ‘Aashirvaad Atta’ for people with diabetes. They hope to step up more firmly in the dairy segment and have recently launched their ghee and a dairy whitener in the North East as of now.
Starbucks to sell Tata’s roasted coffee globally
At a recent meeting in the USA, Howard Schultz, and chairman and CEO of Starbucks Coffee Company and Tata Sons Limited’s Cyrus Mistry decided to strengthen their partnership with the announcement of a number of joint initiatives. For the first time, Starbucks will offer a single-origin coffee from the Tata Nullore Estates located in the beautiful Coorg coffee growing area of India. Tata Nullore Estate’s coffee will be the first from India to be roasted at the Starbucks Reserve Roastery and Tasting Room and will be introduced first in Seattle, USA. This will give customers from outside the country an experience of tasting the rare, small-lot coffee. They also hope to further develop the Tata-Starbucks brand and build a unique company in India which already has 80 stores in six Indian cities.
Tata Coffee Limited has a roasting and packaging plant in Kushalnagar in Coorg, Karnataka. Here Starbucks India Estates Blend and Espresso Roast coffees are blended and soon they will roast Kenyan and Sumatran coffees for Starbucks stores in India. The two partners are also committed to cultivating high-quality, sustainable green coffee. Besides this Vistara – Tata Sons and Singapore Airlines joint venture- will also serve Starbucks’ fresh brewed coffee on all its flights. Starbucks also plans to make available Himalayan Mineral Water in Starbucks stores in Singapore and later in Starbucks China and Asia Pacific region. Presently it is available in Starbuck stores in India and is bottled by Tata Global Beverages.
Uttarakhand’s Sitarganj to get Coca-Cola plant
Coca-Cola is readying up to set up a bottling plant in Sitarganj, Uttarakhand. The plant will come up in 70 acres of land that will be provided by the Uttarakhand government. Coca-Cola will set up the plant with the total investment of Rs.400-500 crores and has already submitted an Earnest Money Deposit of Rs.1.26 crore. The land has been allocated to Coca-Cola in Sitarganj now as the beverage giant had to cancel its plan to establish a unit at Chharba village. The residents of Chharba village had opposed the setting up of the Coca-Cola plant in their village because of environmental issues. The Company had also asked the State Industrial Development Corporation of Uttarakhand Limited (SIDCUL) to clarify its stand on policy issues like water, Common Effluent Treatment Plant (CETP) that pertain 1,700-acre Sitarganj Industrial Estate and they have clarified all issues recently. Coca-Cola has completed field inspections and has hired a company as consultants for environmental issues in Sitarganj.
Global Frozen Food Company India Market 2016 Analysis and Forecast 2019
Renub Research study has published a report titled “India Frozen Food Company (Mother Dairy, McCain Food, Temptation Foods Limited (TFL), Venky’s India, Al Kabeer Exports, Innovative Foods, Darshan Foods) Analysis & Forecast” The forty-six page report provides comprehensive information on the frozen food market, volume and frozen food companies’ strategies and sales in India frozen food market. This report is based on data and information sourced from proprietary databases, primary and secondary research and in-house analysis by Renub Research team of industry experts.
The research study has researched Mother Dairy, McCain Food, Temptation Foods Limited (TFL), Venky’s India, Al Kabeer Exports Pvt. Limited, Innovative Foods Limited and Darshan Foods Pvt. Limited in three areas that are sales, forecast and the initiatives taken by the companies in the frozen food segment. According to the report sales of frozen food, some worthy highlights are that Temptation Foods has increased three times between 2009 and 2014. Venky’s India frozen food sale is expected to double by 2019 compared to their sale in 2014. Mother Dairy is expected to generate sales of more than USD100 million from frozen foods.
Wendy’s to partner with Instago for people on the move
Quick service restaurant (QSR) Wendy’s has partnered with Instago, India’s upcoming intra-city travel app. Any user who downloads and signs up on the Instago app is entitled to a burger- Railway Cutlet (Veg) or Crispy Chicken (Non-Veg) for free at any Wendy’s outlet in Delhi/ NCR. Users just need to download the Instago app and sign up and click once on Wendy’s promotional icon tab in order to redeem the free burger. Each user is assigned a unique code through which they can redeem the burger. If the user shares the promo code with three other users, who also download and sign up on Instago, then the original customer can redeem another burger free. The promotional offer will run till 13th July 2016 across all Wendy’s outlets in Delhi-NCR. Wendy’s says that they are happy to partner with Instago because that will make them accessible to a wider range of customers, many of whom could become potential customers. On the other hand, Instago users will be able to acquire quality and efficient transport services at affordable prices and also get a chance to enjoy Wendy’s burgers.
Mobikon acquires MassBlurb the automated online marketing platform for restaurants
Mobikon, a leading marketing platform for F&B has acquired MassBlurb, an automated online marketing platform for restaurants. Mobikon engages customers through in-store engagements with feedback, reservation management, loyalty, CRM, and order. The acquisition of MassBlurb will enable Mobikon to become market leaders in this segment in India. Mobikon will have a portfolio of 500 restaurant brands and more than 1000 outlets under their belt. They feel that they will be able to solve the problems for restaurants which are otherwise part of an unorganized sector.
The acquisition of MassBlurb will help Mobikon to offer customer engagement solutions to restaurants through social networking platforms so as to generate leads. They engage with ‘followers’ and ‘likers’ to convert them to business. Mobikon believes that the strategic acquisition will enable them to offer restaurants a single marketing platform as they have a vast experience in social technology engagements. They have successfully handled social networking platforms for Food and Beverage services in India and South East Asia. They have 650 brands across the region and offer their platform as a single stop solution that helps to increase revenues for the restaurant.