Kandhari Global Beverages plans to double its turnover in the next 5-6 years and is open to further Coca-Cola bottling opportunities, including in international markets. The company recently acquired Coca-Cola’s North Gujarat bottling operations and is set to invest significantly in its supply chain, sales execution, digitalization, and sustainability.
Kandhari Global Beverages is positioning itself for expansion, both within India and abroad, as it continues to strengthen its partnership with Coca-Cola. The company’s Managing Director, Varinder Pal Singh Kandhari, expressed optimism about future bottling opportunities and reaffirmed their commitment to growth.
“We have ambitions that go beyond India’s borders, and we trust that Coca-Cola will eventually provide us with such opportunities,” said Kandhari.
The company, which recently acquired Coca-Cola’s bottling operations in North Gujarat, aims to double its turnover of Rs 4,500 crore within the next five to six years. The move aligns with Coca-Cola’s global strategy of divesting assets and franchising regional operations to local partners as part of its asset-light business model.
Kandhari Global Beverages was among three bottlers to whom Hindustan Coca-Cola Beverages (HCCB) transferred its Rajasthan operations in January 2024. The company already operates in Delhi, Himachal Pradesh, Haryana, Punjab, Chandigarh, Jammu & Kashmir, and Ladakh.
As part of its expansion in Gujarat, the company plans to make substantial investments over the next decade. This will include strengthening the supply chain, route-to-market strategies, sales execution, and initiatives in digitalization and sustainability. While the exact value of the North Gujarat acquisition was not disclosed, industry sources estimate the deal to be around Rs 2,000 crore.
Kandhari emphasized the company’s strong relationship with Coca-Cola, highlighting its long-standing association since 1993 when the beverage giant re-entered India. “We invest ahead of the curve. We stand by Coca-Cola in both challenging and prosperous times,” he said.
On competition from Reliance Industries’ Campa Cola, which has entered the market with aggressive pricing and higher margins, Kandhari remained confident. “Competition helps expand the market. We are confident in our product range, pricing, and market positioning. Ultimately, the consumer is king, and we ensure they get the right beverages at the right price,” he stated.
Regarding the possibility of a price war with Campa Cola, Kandhari suggested a strategic approach. “We will respond as necessary, offering competitive pricing and promotions tailored to different markets and occasions,” he added.
Coca-Cola recently announced that its North Gujarat bottling operations would be transferred from its Indian bottling arm, HCCB, to Kandhari Global Beverages. Following this transaction, HCCB will continue to operate 15 plants in India, producing popular beverages like Coca-Cola, Thums Up, Sprite, Minute Maid, Maaza, SmartWater, Kinley, Limca, and Fanta.
In the December quarter, Coca-Cola divested a 40% stake in HCCB to the Bhartia family in a deal estimated at Rs 10,000 crore. Previously, in early 2024, it franchised bottling operations in Rajasthan, Bihar, Northeast India, and parts of West Bengal to its existing partners for $290 million (approximately Rs 2,420 crore).
With India ranking as Coca-Cola’s fifth-largest market globally, Kandhari Global Beverages is poised to play a key role in the company’s evolving business strategy.