July 17, 2018
In an outstanding performance with a 13 percent increase in the revenue, Haldirams has emerged twice the size of Hindustan Unilever’s packaged food division; Nestle Maggi. Its revenue for FY16 crossed Rs 4,000 crore, conquering the combined turnover of the two American fast food rivals; Domino’s and McDonald’s.
Present with three distinct areas of operations within the country- Haldiram Snacks and Ethnic Foods (annual sales- Rs. 2,136 crore) , Nagpur based Haldiram Foods International (annual sales of Rs. 1,613 crore) and Haldiram Bhujiawala (annual sales Rs. 298) crore that cater to the northern, western- southern and eastern regions respectively. These figures hold a mirror to the fact that the good Indian palate prefers local savouries over the MNC brands.
Kamal Agarwal, member of the founding family stated, “We have increased our reach and developed products in-house that ensure quality control. We also understand Indian palate well and that comes handy while launching new products.”
According to various experts, Haldiram’s could have more than Rs. 5,000 crore in retail sales. With the years of genuine service, Haldirams has established quality standards in its field. While restaurants and casual dining was the beginning, packaged products now make up 80% of its revenues. Haldirams has surpassed various renowned brands including five of its regional rivals — Balaji Wafers, Prataap Snacks, Bikanervala, Bikaji Foods and DFM Foods — combined, and emerged as the leader in traditional snacks market.
It has been observed that the western snacks companies controlled primarily by Pepsi Frito Lays and ITCBSE -0.88 % Foods are gradually entering into Haldiram’s turf. For instance, Pepsico’s Kurkure has 16 variants of Indian namkeen while Paper Boat will soon enter the category. Certainly, the growing popularity of the Haldiram’s among people has made it the pioneer of snack food industry.