Packaged Food Industry
Sep 13, 2015
PowerPoint Presentation
Packaged Food Industry
Industry Overview
Sponsored By:Market ScenarioThe size of the packaged food market in India is estimated at $10 billion
The fifth largest sector
Attracted foreign direct investments (FDI) worth US$ 1,811.06 million from 2000-13
Been largely dominated by the ready to eat segment, which contributed nearly 90% of the total sales
Major playersITC,Britannia,Nestle,HUL,Haldiram, MTR
Major productBakery products, canned/dried processed food, frozen processed food, meal replacement products and condiments
Trends
Customers focus from price to the quality
Demographic changes
Awareness
Rise in price of vegetable
Entry of international companies
Rising business and product innovation
Internationally travelling Indians prefer of packaged food and frozen vegetables as they are convenient and economical
Independent small grocers continued to dominate the distribution of packaged food
Players ProfileIndustry PlayersBrandsKey ProductsMajor CompetitorMTR Food Private LimitedMTR, SnackUpRTE Foods, Masala Powders, Breakfast Mixes,Aachi, HaldiramsParle Products LimitedParle-G, Hide and Seek, krackjack, Parle NamkeenGlucose Biscuits, Cream Biscuits, CookiesBritanniaITC FoodsAashirvaad, Sunfeast, YippeeAtta, Cream biscuits, NoodlesParle, NestleHUL Food BusinessKnorr, Bru, Kwality WallsSoups, Beverages, Frozen DessertsAMUL, NestleNestle IndiaEveryDay, Cerelac, Nescafe, MaggiInstant Noodles, Beverages, Baby foodITC, HULBritannia Industries LimitedTiger, Good Day, Marie Gold, TreatBakery, BiscuitsParleANALYSTS VIEWS INDUSTRY PLAYERSDiversify products in the same segment with continuous innovation
New traditional salts and sweets segment new products
Tap rural market great market potential - largely captured by unorganised players
Financial Aspects Market CapitalisationINR : 8,895 crores Revenue : INR 5,600 croresPAT : INR 233 croresCompany margins : Sharp decline12.3% in FY 05 to 5.3% in FY 12
Market Capitalisation(Rs Crore): 47,872Revenue : 7,900 croresOperating profit : 18.5%
Market CapitalisationINR 291,408 croresFood Business Revenue : INR 4,600 crores
Macro Economic ProfileGovernment RegulationsLaws governing the food industry
Need for the new act
Key Regulations of FSSA
Penalties Impact of the Union Budget
No hike in excise duty hike on Food Industry
Rise in allocation for Ministry of Rural Development augment well for Food Industry
International LawsOwing to need of achieving a high degree of consumer confidence in the quality and safety of produced, processed, sold or exported food following laws have been enacted.
India prevention of food adulteration act, 1954
FDA- USA 1938
The food standards act 1999 UK
Food Safety Standards- ANZ
FDI in India
International Scenario
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