INDIA – Xotik Frujus, a Daman-based beverage company, has announced its entry into the Rs 28,000-crore (US$3.39bn) packaged drinking water segment in two months.
The company, which is among the leaders in the ethnic beverages category and known for its jeera masala drink, Jeeru had previously announced its aim of expanding operations by making highly strategic decisions.
The decision saw the appointment of the first external CEO to bring a fresh perspective and cutting-edge approach to the business, and drive strategic growth and market share. The company tapped the services of former FMCG veteran, Anjana Ghosh.
Rajeev Sehgal, chairman, and MD of Xotik Frujus pointed out that in a few years, water would constitute around 20% of its business while ethnic beverages would constitute 80%.
Currently, the company has a presence only in the jeera masala segment, the biggest in the ethnic drink category.
The ethnic beverages category is worth Rs 700-800 crore (US$96.85m), nationally, according to Et Retail Media. Jeera masala is the biggest category in the ethnic beverages segment.
Meanwhile, the overall non-alcoholic beverage industry in India is worth Rs 70,000 crore (US$8.47bn) with a growth projection of a CAGR of 16.5%. The carbonated soft drinks segment contributes 55% to the overall category and 50% to 55% of consumption in tier-I cities.
With such exponential growth in the category, Sehgal revealed that in beverages, Xotik would continue to focus on ethnic drinks.
“We want to be a leading Indian beverage company that continues to provide refreshing and innovative products and beverages to delight our consumers.”
With a high-recall Masala drink like Jeeru in our portfolio, we strive to offer the finest quality beverages which will serve the very India Ethnic Flavours with a twist of Masala at a reasonable price, bridging the gap and bringing the brand closer to a younger audience,” Sehgal stated during the appointment of Ghosh.
The company has an expanded portfolio from a superhit apple juice-based jeera masala drink to exotic still fruit drinks, tantalizing sparkling fruit drinks, and carbonated fruit-based drinks.
For 2022, Xotik director Ankita Sehgal said the beverage company targets to touch a revenue of Rs 130 crore (US$15.74m)from Rs 100 crore for the year 2021-22.
For all the latest food industry news from Africa and the World, subscribe to our NEWSLETTER, follow us on Twitter and LinkedIn, like us on Facebook and subscribe to our YouTube channel.
