Synopsis:
KRBL Ltd, the maker of India Gate basmati rice, is introducing new packaging across its product range to cater to the growing influence of quick commerce platforms. The move aims to enhance consumer pull and add value in a category perceived as largely undifferentiated. With the domestic basmati rice market seeing strong growth last year, this shift is part of KRBL’s strategy to maintain market leadership and adapt to evolving consumer behaviour.
KRBL Ltd., known for its India Gate brand of basmati rice, is undergoing a major packaging revamp across its entire product portfolio for the first time. The decision comes as quick commerce platforms—offering rapid delivery services—are becoming increasingly popular, even for large purchases like 10 kg rice packs.
Ayush Gupta, Head of Domestic Markets at KRBL, explained that this shift is about creating consumer appeal in a market where rice is often seen as undifferentiated. “Unlike traditional kirana stores, where products are physically displayed, today’s consumer is browsing through various brands on a digital screen. We aim to maximize value in this space by making our products stand out,” said Gupta.
He emphasized the growing importance of packaging in consumer decision-making, especially as e-commerce gains prominence. “It’s not just a packaging relaunch. Aesthetics play a crucial role in how our packs appeal to consumers. With the increasing relevance of online shopping, packaging design is becoming an essential factor in consumer choice,” Gupta added.
In addition to the domestic changes, KRBL and other rice exporters expect a significant boost in non-basmati rice exports after the Indian government recently lifted a ban on those products. Opportunities in bulk trading are also on the horizon, especially in countries like China and regions within Africa, where demand for Indian rice is strong.
Currently, KRBL holds a commanding 35% market share in the domestic basmati rice sector. Gupta pointed out that while the company is steadily gaining market share, the broader goal of the packaging revamp is to move away from the perception that rice is a commodity to be purchased loose, focusing instead on building consumer pull in a more brand-conscious market.
Last year, India’s basmati rice market saw an impressive 20% growth in revenue, driven by higher export demand and favourable market conditions. While growth is expected to moderate to around 4% this year, Gupta reassured that this is part of a natural progression. Revenues in the sector are projected to reach a record ₹70,000 crore, supported by both domestic and international demand as well as government policy measures.