PackMan’s weekly highlights: Namkeens up for investment; rural expansion
Here’s the weekly update from FMCG companies. Multiple namkeen companies are expanding their portfolio, and some are up for investment. Apart from this, a look at P&G India’s growth, Kerala’s latest GST decision, and the changes in rural purchasing power.
12 Nov 2024 | By Anhata Rooprai
Namkeen brands across the country are seeking investment for expansion (Image: Wikimedia Commons)
Indian namkeen: A magnet for investment
Balaji Wafers crossed the annual sales mark of Rs 5,000-crore in FY 2023. Bikaji Foods is being eyed by investors aplenty.
PackMan also heard that Pantomath’s Bharat Value Fund (BVF) picked up a minority stake in Kolkata-based Haldiram Bhujiawala. As part of the Prabhuji brand, the company sells namkeen and sweets. The company is operated by the owners of the nationally known Haldiram’s.
Haldiram’s was in talks to acquire a majority stake in rival Prataap Snacks in January too.
P&G India’s sales surpass USD two-billion
P&G India saw USD 2 billion in sales in FY24. PackMan observes that this marked an 8% growth. Despite a market slowdown, the company’s focus on product innovation contributed to its success. P&G’s largest division, of household products saw a 37% profit increase.
Kerala AAR: 18% GST on ready-to-eat foods
PackMan heard that Kerala’s Authority for Advanced Ruling (KAAR) ruled that pre-cooked and packed ready-to-eat foods like puli-inji, avial, and kappa puzuhukku, will attract 18% GST henceforth.
Rural consumers’ purchasing power increased: Kantar and GroupM
As PackMan reported earlier, the rural areas have been showing a revival in the demand for FMCG products. According to a new report by Kantar Worldpanel and GroupM, there has been a 60% increase in the FMCG basket size among consumers. The growth has been from 5.8% in 2022 to 9.3% in 2024. Rural customers have increased spending on convenience goods, something the report attributes to a diversity in sources of income.