THE FOOD PROCESSING SECTOR IN INDIA

- A Demopack of Select Slides -

Contents*
Food Industry in India : An Overview Processed Food Industry : Indian Scenario Processed Food Industry : Major Sectors Fruits & Vegetables Fish, Meat & Poultry Milk & Dairy Products Bakery Products Chocolates & Confectionery Packaged / Convenience Foods Alcoholic Beverages, Soft Drinks & Branded Water Profiles of Major Players Financials of Major Players Government Initiatives & Recent Developments Food Regulation & Control

* Note : This demo pack has only a few select slides of the contents

The Indian Food Sector : Introduction

India is one of the major food producers in the world The food sector contributes to about 28 % of Indias GDP In terms of world ranking India stands : 1st in the production of Cereals, Milk & Livestock population 2nd in producing Fruits & Vegetables Ranks amongst the top 5 in producing Rice, Wheat, Groundnuts, Tea, Coffee, Tobacco, Spices, Sugar & Oilseeds Total market for food products Of this, processed food Rs. 2,500 Bn. Rs. 1,400 Bn.

Fruits & Vegetables Processing : Capacity & Production (000 tonnes)

2500

2000

1500

1000

500

0 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

Installed Capacity

Production

Fruits & Vegetables Processing Introduction

India is the worlds 2nd largest producer of fruits & vegetables (next only to China) Total cultivated area of fruits & vegetables is around 12 Mn. Hectare e. 7% of total cultivation area) (i.

Main fruits produced in India are Mango, Banana, Citrus, Guava & Apple ; these account for almost 75 80% of total fruit production The country produces around 140 Mn. tonnes of fruits & vegetables p.a. & accounts for about 10 % of the global production in fruits & about 13.7 % of global production in vegetables India produces over 60 % of worlds mangoes & 12 % of worlds bananas 30 % of fruits & vegetables go waste due to lack of proper processing & packaging Only 2 - 3 % of the produce is processed in India as against Malaysia at 83 %, Thailand - 72 % & Brazil - 70 % No. of fruits & vegetables processing units : 5200

Fruits & Vegetables Processing : Processing Pattern - Global

Country Malaysia South Africa Philippines Thailand Brazil USA India % Processed* 83 80 78 72 70 65 2-3

* percentage processed out of total production of fruits & vegetables

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Sea Food Processing Units in India

State

No. of Units

Kerala Gujarat Andhra Pradesh Tamil Nadu Maharashtra West Bengal Orissa

124 56 55 48 41 36 21

Poultry Meat : Market Size

The poultry meat processing industry is still in its nascent stage Around 97 % of poultry meat in India is consumed in the fresh form Only 3 % or about 23,000 tonnes is processed at present Western Hatcheries (part of the Venkateswara Group) were the first to set up a poultry processing unit in India (1986) Top 10 major players contribute for 95 % of total processed poultry meat market

Milk & Dairy Products : Industry Structure

State co-operatives & privately owned Indian companies dominate the liquid milk sector India has around 70,000 village dairy co-operatives, 22 cooperative dairy federations at state level & 170 milk producer unions at district level Infant Milk Food, Milk Powder, Whitener, Condensed Milk, Malted Milk Food, Butter, Cheese, Ice Cream and Ghee are the major value added products from the Indian dairy sector Gujarat Cooperative Milk Marketing Federation Ltd. (Amul) and Nestle are the leading players in the value-added segment

Malted Milk Food : Major Players & Market Share (2001 - 02)
19%

12%

69%

GlaxoSmithKline Consumer Healthcare

Cadbury India

Others

In 2000, GlaxoSmithKline Beecham acquired Health drink brands Maltova & Viva from Jagatjit Industries

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Ice Cream : An Overview

Total Market Value Contribution from organised sector Growth Rate

Rs. 10 Bn. Rs. 6.5 Bn. 18 - 20 %

Per capita consumption of ice cream in India is around 250 ml. against 22 litres in the US, 18 litres in Australia, 14 litres in Sweden & 5 litres in the UK This market is dominated by a few large players & a number of regional players There are a sizable number of players in the unorganised sector

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Biscuits : Major Players & Market Share

Nutrine 4% SmithKline Consumer 8% Bakeman's 10% Kwality 4% Others 4%

Britannia 40%

Parle 30%

Britannia is the market leader in value terms; however, Parle has higher share in terms of volume

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Chocolates : Major Types & Brands

Type Brand

Moulded chocolates

Dairy Milk, Truffle, Amul Milk Chocolate, Nestle Premium, Nestle Milky Bar, Nestle Classic 5 Star, Perk, Kitkat, Picnic, Munch Gems (Cadbury), Nutties, Marbles (Nestle)

Count lines Panned products

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Potato Wafers (Crisps) : Market Size

The market has a few national brands, a large number of regional brands and a vast unbranded segment The market for potato wafer is estimated at around Rs. 26 Bn. Of this, branded potato wafer (organized sector) contributes to around Rs. 7.5 Bn. Frito Lays (subsidiary of Pepsi Foods) is the market leader in the organised potato wafers market In the last 4 - 5 years the market for branded wafers has been growing at 12 - 15 % While export market is estimated at around Rs. 14 Mn., import is almost nil

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Beer : An Overview
Market value of Beer industry is estimated at Rs. 22 Bn. (2002-03) Annual consumption of beer Growth rate 80 Mn. Cases 8 - 10 % p.a.

United Breweries (UB) is the market leader of Indian brewery industry with around 40 % market share Based on the content, beer is further classified as : Mild / Diet Beer Lager Beer Strong Beer Draught Beer ( 5 - 8 % alcohol) ( 8 - 13 % alcohol) ( 13 - 14 % alcohol) ( fresh keg beer)

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Fruit Drink Market : Major Players & Brands

Company Parle Agro Godrej Foods Hindustan HP Agri Modern Foods Pepsi Food NAFEED MIDCL * Coca-Cola Brand Frooti, Appy Jumpin, Real Grapy HPMC Rasika Slice Nafed NOGA Mazaa Products Mango, Apple, Lime, Guava, Pineapple Mango, Apple, Lime, Guava, Pineapple Red Grapes, Foods, Litchi etc. Apple Apple juice Mango, Guava Mango Apple, Mango, Guava, pineapple, Orange Pineapple Agro Mango

Mohan Meakins Gold Coin

* The Maharashtra Inds. Development Corp. Ltd.

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Fruit Drink Market : Major Players & Brands

Company Parle Agro Godrej Foods Hindustan HP Agri Modern Foods Pepsi Food NAFEED MIDCL Coca-Cola Brand Frooti, Appy Jumpin, Real Grapy HPMC Rasika Slice Nafed NOGA Mazaa Products Mango, Apple, Lime, Guava, Pineapple Mango, Apple, Lime, Guava, Pineapple Red Grapes, Foods, Litchi etc. Apple Apple juice Mango, Guava Mango Apple, Mango, Guava, pineapple, Orange Pineapple Agro Mango

Mohan Meakins Gold Coin

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