KRBL Ltd., the maker of the iconic India Gate basmati rice, is set to diversify its portfolio by entering the mixed spices and edible rice bran oil segments. The company aims to leverage its strong brand equity to tap into the premium market, starting with biryani masala and unrefined rice bran oil.
Spices Expansion Underway
India Gate’s biryani masala has already been available on e-commerce platforms for a year. The company now plans to bring it to general stores in the upcoming financial year, alongside a broader range of spice mixes. “Consumer convenience drives our decision to expand into the spice mix category,” a senior company official stated during a visit to the Dhuri rice milling facility.
Healthy Edible Oils on the Horizon
KRBL is set to launch a “healthy” edible oil range in January 2025, starting with rice bran oil. The move builds on its existing production of unrefined rice bran oil at its plants. “It’s a natural extension to process and retail it. Our retail network will complement this venture,” the official added.
Strategic Diversification
The diversification into spices and oils is part of a broader strategy to build on the success of the India Gate brand, which has become synonymous with high-quality rice. The company sees opportunities in other product categories such as atta, pulses, and edible oils, according to its leadership.
Record Paddy Procurement and Export Focus
KRBL is also gearing up for it’s largest-ever paddy procurement, targeting one million tonnes from the recently harvested kharif crop. The move comes in response to increased export opportunities following the removal of the minimum export price (MEP) on basmati rice.
“We foresee higher exports this year compared to last, driven by strong global demand,” said Kunal Gupta, Head of KRBL’s Dhuri Plant. Currently, the company exports 30% of its 700,000-tonne annual basmati production, contributing significantly to India’s basmati exports, valued at ₹40,000-50,000 crore annually.
Brand Strength Shields Volatility
KRBL’s leadership emphasized the role of the India Gate brand in mitigating risks in the volatile rice trade. “Creating a brand safeguards you from market fluctuations,” said Ayush Gupta, Head of India Business at KRBL.
With a cumulative processing capacity of 1.2 million tonnes across six plants, KRBL is well-positioned to expand its footprint domestically and globally. The new ventures in spices and oils are expected to bolster its growth trajectory while enhancing its product portfolio.