Weekly Newsletter #Food Processing sector

1. ©
Gyan
Research
and
Analytics
Pvt.
Ltd.,
2015 1
Industry
News
❑ Sales
of
packaged
fast
food
hit
by
ban
on
Maggi;
sales
fall
by
10
per
cent
As
a
result
of
loss
of
consumer
confidence
on
instant
foods,
annual
sales
of
packaged
food
have
fallen
by
10
per
cent.
Sales
of
instant
pasta
have
fallen
by
10
per
cent,
chips
and
packaged
namkeen
by
8
per
cent,
etc.
Both
domestic
and
international
packaged
snacks
which
had
a
growth
rate
of
13-­‐14
per
cent
in
May
2015,
reduced
to
single
digit
in
June
2015.
Following
Maggi,
Knorr
and
Top
Ramen
brands
have
also
perished
off,
leaving
ITC’s
Yippee
as
the
only
surviving
brand
at
present.
❑ Gujarat
government
has
extended
ban
on
Maggi
for
another
one
month
There
has
been
extension
of
the
ban
on
Maggi
for
another
month,
on
account
of
failure
of
the
company
in
providing
safety
standard
reports.
As
much
as
2.8
PPM
to
5
PPM
of
lead
was
found
in
14
of
the
27
samples.
However,
the
prescribed
limit
was
2.5
PPM.
Investment
News
❑ Britannia,
HUL
and
Dabur
making
fast
growth
in
historically
feeble
states
Marico,
Britannia
and
Hindustan
Unilever
(HUL)
are
making
disproportionately
higher
investments
in
historically
weaker
states.
State
clusters
of
Chhattisgarh
and
Madhya
Pradesh,
Orissa,
Bihar
and
Jharkhand
together
account
for
only
16
per
cent
of
the
total
fast-­‐moving
consumer
goods
(FMCG)
sales
of
India.
As
a
result
of
this
investment,
these
states
now
have
become
growth
drivers
of
FMCG,
some
of
which
record
growths
higher
than
even
the
national
average.
❑ FMCG
companies
that
are
high
on
advertisements
keep
spending
even
in
midst
of
slowdown
In
spite
of
the
recent
slowdown,
the
FMCG
firms
have
been
increasingly
spending
on
sales
promotion
and
advertisement.
There
has
been
a
10
per
cent
rise
in
the
companies’
investments,
even
during
a
decline
of
sales
by
about
9
per
cent
in
2014-­‐15.
HUL’s
spending
on
advertisements
was
INR
3,675
crore
in
FY2014
which
increased
by
7.3
per
cent
to
INR
3,944
crore
in
FY15.
Also,
advertisement
spending
of
Emami
increased
by
41
per
cent
and
amounted
to
INR
392
crore.
This
year,
Emami,
HUL
and
ITC
have
introduced
various
new
products
which
will
call
for
extensive
spending
on
sales
promotion
in
quarters
to
come.
Food
Processing
News
July
4,
2015
–
July
10,
2015

2. ©
Gyan
Research
and
Analytics
Pvt.
Ltd.,
2015 2
Food
Processing
News
July
4,
2015
–
July
10,
2015
Source:
Ministry
of
Consumer
Affairs
Weekly
Snapshot
Projections
of
Household
Food
Demand
for
2020
-­‐
All
India
Food
Items Quantity
(million
tonnes
per
annum)
Rice 118.93
Wheat 92.37
Other
Cereals 15.57
All
Cereals 221.11
Pulses 19.53
Foodgrains 240.64
Milk
and
Milk
Products 165.84
Edible
Oils 10.94
Meat
and
Fish 10.80
Sugar
and
Gur 25.07
Fruits
and
Vegetables 113.17
Allocation
(Lakh
tonnes) Offtake
(Lakh
tonnes)
Year Rice Wheat Total Rice Wheat Total
2011-­‐12 22.29 4.84 27.13 19.17 4.49 23.66
2012-­‐13 23.83 4.67 28.50 20.74 4.23 24.97
2013-­‐14 22.79 4.67 27.46 19.86 3.91 23.77
2014-­‐15 23.42 4.20 27.62 20.07 3.63 23.7
Source:
Ministry
of
Consumer
Affairs

3. ©
Gyan
Research
and
Analytics
Pvt.
Ltd.,
2015 3
GYAN
RESEARCH
AND
ANALYTICS
PVT.
LTD.
Corporate
Office:
LG
37-­‐38,
Ansal
Fortune
Arcade,
Sector
-­‐
18,
Noida
-­‐
201
301
Delhi
NCR,
INDIA
Phone:
+91-­‐120-­‐4235181
Regd.
Office:
298-­‐A,
Pocket
2
Mayur
Vihar,
Phase
-­‐1
Delhi
-­‐
110
091,
INDIA
Central
Delivery
Centre:
BD-­‐9,
Sector-­‐1,
Salt
Lake
City
Kolkata
-­‐
700
064,
INDIA
Phone:
+91-­‐33-­‐40060084
E-­‐mail:
reports@gyananalytics.com
Website:
www.gyananalytics.com
Food
Processing
News,
July
4,
2015
–
July
10,
2015
OUR
BUSINESS
PRACTICES
Business
Research
Market
Entry
Strategies Surveys
Pre-­‐Feasibility,
Feasibility
&
TEV
Studies
Business
Match
Making
Economic
Intelligence
Quasi
Consultancy,
CSR
Solutions,
etc.