INDIA – Britannia industries,
According to a reports by ET Retail, the group plans expanding into the non-biscuits segments through the launch of salty snacks under its existing brand, Time Pass.
Varun Berry, managing director at Britannia Industries, unveiled that the group will capitalise on its high production capacity in the production of the new variants.
“It will be a differentiated product range and we will leverage on the fact that we have about 80 factories making our products.
In snacking segment, transportation is the biggest cost but with our manufacturing footprint, our costs will remain tight and efficient,” said Varun Berry.
Britannia had earlier on ventured into the snacks category buts exited after few months of operation.
“This time, the outlook in the
segment, our capabilities and the product characteristics are completely
different,” Berry explains.
The US$3.385 billion salty snacks sector faces stiff competition from major players, PepsiCo and Haldiram’s, with the entry of Britannia anticipated to agitate the industry.
Since his appointments as CEO at the firm, Varun Berry has propagated fast forward move in the company, pioneering investments and diversification through a broader product portfolio.
According to a recent Edelweiss report, the company has als0 managed to double its distribution reach and diversify from its previously premium products.
“If we take three years’ average, then Britannia’s volume growth is the best in industry.
The company’s journey towards becoming a total foods company is gaining flavour with entry into new categories and geographies and rising share of premium products that will keep the company in good stead,” said a recent Edelweiss report.
Britannia, in its effort to become a total foods company, has identified opportunities in biscuits, snacks and dairy sectors evidenced by its recent launch of swiss rolls, layer cakes, creme wafers, croissants and milk shakes in tetra packs.
India’s biscuits and snack industry
In India, biscuits, snacks and dairy are the three largest categories in packaged consumer products and account for a third of the nearly US$47 billion