RIL steps in the dairy segment to run an added venture

The company will focus on value-added products like curd, frozen desserts, ice-creams, and flavoured yoghurts. It may launch ice-creams under the independence brand beginning with Gujarat and is expected to start making them with a contract manufacturer in the same state.

The firm has hired Sandipan Ghosh as business head of dairy and frozen foods. The market is estimated to reach over INR 30-trillion by 2028.

The conglomerate had launched its brand independence in December. Under the brand, it sells staples, processed foods, and other daily essentials.

In March, Reliance Consumer re-launched the 50-year-old beverage brand, Campa, at prices lower than competition.

The home and personal care portfolio includes brands such as Glimmer beauty soaps, Get Real natural soaps, Puric hygiene soaps, Dozo dishwash bars and liquids, HomeGuard toilet and floor cleaners, and Enzo laundry detergent powder, liquid and bars.

The company is betting on its brand equity, wide range of portfolios and innovations to ward off competition, said Sameer Shah, CFO at Godrej Consumer Products, to PTI.

Shah believes the entry of Reliance in the FMCG segment would change the competitive landscape of the sector.

Reliance's target of reading a turnover of INR 50,000-cr in five years looked aggressive as it was trying to match Hindustan Unilever's FY22 turnover.

"On an optimistic note, category development with affordable pricing is likely to aid FMCG categories; but the sector is likely to be fraught with disruptions," it said.

IMARC Group had estimated the dairy market to reach INR 14.8-trillion in 2022, and expects it to reach around 31-tn by 2028, estimating a CAGR of 13.2%.