Britannia Industries has shifted its North American export manufacturing operations from Oman to Mundra in Gujarat as the company responds to ongoing geopolitical disruptions in West Asia and rising supply chain pressures.
Managing Director and CEO Rakshit Hargave said the relocation was undertaken to manage operational challenges linked to the regional crisis and disruptions around the Strait of Hormuz, which had affected export operations during the quarter.
Alongside the manufacturing shift, Britannia is also evaluating selective price hikes to offset a sharp rise in input costs. The company said fuel and packaging expenses have increased by nearly 20 per cent due to global geopolitical tensions and supply chain disruptions.
The biscuit and bakery major plans to implement the hikes through a combination of grammage reduction in smaller packs and direct price increases in larger packs priced above Rs 10.
The company said while wheat prices remain relatively soft, several other inputs continue to face inflationary pressure. Fuel costs, including LPG and PNG, have risen significantly, while laminate packaging materials have become more expensive amid global supply chain disruptions. Palm oil prices have also firmed up due to their linkage with fuel markets, though sugar prices remain stable.
Britannia added that quick commerce continues to emerge as a strong growth driver for the company’s digital business. According to management, nearly 70 per cent of its online sales currently come from quick commerce platforms, with the contribution expected to rise further as hyperlocal delivery formats expand.
The company also noted that quick commerce is helping accelerate premiumisation by boosting sales of indulgence-led and higher-value product categories.
Britannia Industries recently reported a 21.56 per cent rise in consolidated net profit to Rs 679.68 crore for the March quarter of FY26, while quarterly sales rose 7 per cent to Rs 4,685.95 crore. Consolidated revenue for FY26 stood at Rs 19,375.62 crore.