Snapshots of Food Industry News
Functional food industry witnessing double digit growth
Ancient grains like chia, flax and quinoa that are used as ingredients in functional foods have seen a surge in the last 10 years. The seeds have become popular all over the world as they are gluten free, rich in proteins, omega fatty acids, antioxidants and fibre. The seeds are known to reduce the risk of chronic diseases like cancer, diabetes and some cardiovascular diseases. The global market for these seeds is USD 194.22 million for chia, USD 561.97 million for flax and USD 248.54 million for quinoa seeds. A report by Mordor Intelligence says that during the period 2015-2020 the CARG for the seeds is expected to be more that 20 percent. Chia seeds are likely to witness the highest growth at a CARG of 46 percent.
The rise in demand is due to an increase in the market for health foods and beverages. North America is the leading market for these seeds followed by Asia Pacific and Europe. In 2014 North America saw the launch of a number of foods and beverage products that contained chia, flax or quinoa seeds. Presently it is the inorganic variety of these seeds that are popular but organic seeds are now being preferred and the demand for them is increasing. In North America the demand for certified organic flaxseeds has surpassed the production by more than 300 percent. Since these are ingredients in functional food the demand for the seeds has come from industries like food and beverages as well as pet foods.
Tea Box gets funding from Singapore based angel investor
Tea Box which is an online retail start-up has raised funds from an angel investor in Singapore as well as from tea connoisseur Comeron Jones. The tea speciality retailer, through a statement, has shared that they have also raised venture debt from DBS Bank Limited. Teabox provides an online platform through which it ships fresh Indian tea to customers globally. Though this year they have not disclosed the amount of funds last year Tea Box raised $6 million in Series A funding led by Singapore-based VC firm JAFCO Asia and existing investor Accel Partners, along with Keystone Group LP and Dragoneer Investment Group. In January, Ratan Tata also invested an undisclosed amount in the tea start-up which works with about 200 plantations in Darjeeling, Assam and Nepal. Tea Box was founded in 2012 by Kaushal Dugar and is operated by Bengaluru- and Singapore-based AsianTeaxpress Pte Ltd.
CavinKare launches India’s innovative ready to serve fruit milkshake
FMCG, CavinKare has become the first company to enter the fruit milkshake segment of the beverage market in India after they launched their fruit milkshakes. The fruit milkshakes were first launched in Tamil Nadu. The product has no preservatives but will have a shelf life of six months. Presently flavoured milk is available only in apple and mango flavours but the fruit milkshake introduced by CavinKare will see have a combination of milk, honey and real fruits that are available in the market.
The company says that the product is tricky to manufacture and cannot be developed easily. So far they have invested around Rs.40 crore and have plans to invest another Rs.30 crore to expand their fruit milkshakes market. Presently Cavin’s Fruit Milkshakes are available in mango, apple and guava flavour which will be priced at Rs. 25 for a 200 ml pack. Over the next three months the company will cover the rest of south India and the whole of India this fiscal. CavinKare, has a turnover of around Rs.1, 200 crore and has a portfolio that includes shampoo, hair wash powder, fairness creams, hair colours, dairy and retail salon products.
PepsiCo to launch new Mountain Dew variant – Game Fuel
PepsiCo India has announced the launch of their new variant of Mountain Dew which will be called Mountain Dew Game Fuel. As part of the launch they will also have the Dew Arena. This is a gaming championship which will engage more than 30,000 participants during the nine week duration of the launch campaign. The best gamers in India will see their profiles on the Game Fuel bottles, besides winning something from the prize pool worth Rs.10 lakh. The launch will also see Game Fuel reach out to gaming enthusiasts physically in the form of a massive, 50-city gaming truck activation. The launch will culminate on September 25, 2016, when the best gamers will be announced.
Globally Mountain Dew Game Fuel is a quite popular and therefore the company has added it to their India portfolio. The idea of adding Dew Arena to the launch has come from the fact that gaming is growing in India and so gaming enthusiasts will be able to “switch their Hero Mode On and unleash the hero within.” For this launch event PepsiCo for Mountain Dew Game Fuel is partnering with Microsoft India. Microsoft India said that they have witnessed overwhelming response for their ‘Xbox One’ releases in the country and so the Indian gaming community will have an unmatched and memorable experience at the launch. Game Fuel is likely to be available in 600 ml PET bottle and 250 ml can and will be priced at Rs.35 and Rs.25, respectively.
Tea Trails to move towards expansion trajectory
Tea Trails is all set for a pan Indian expansion after its success in Mumbai. In the current year the brand plans to open 100 outlets across the country in Mumbai, Pune, Bangalore, Hyderabad, Delhi NCR and Ahmedabad. In the next five years Tea Trails is looking to expand its network to 500 outlets. Expansion will be based on a combination of company owned and franchised outlets. Indian tea industry and the beverage café market are currently valued at Rs.19, 500 crore and Rs.1800 crore respectively. Tea Trails has the advantage of first mover in this space.
India is the second largest tea consuming market in the world but the Tea Café market is only now catching on. Tea Trail has popularised the trend and offers the finest teas from around the world. Tea is served along with suitable tea accompaniments. They also offer tea-infused food menu like the Burmese Tea Salad, Tea Marbled Eggs, Tea Infused Thai Bowl and more. Tea Trails also proposes to sell select blends of teas that would be available at premium retail stores and niche online portals, apart from the Tea Trails outlets.
Leave a Reply