1. Introduction and background
In 2010 we built a plant for Industrial chocolate with a capacity of 12,000 Mt per year. Since then we keep adding new capacities at our Baddi. Our present chocolate making capacity at Baddi is 30,000 MT chocolate and cocoa beans processing capacity is12,000 MT. All the capacities are fully utilised at Baddi.
As chocolate and cocoa industry is growing over 15% more capacities need to be added to meet the growing demand. Hence in the year 2019 we started building additional capacities at Sricity near Chennai. Due to Covid commissioning of the plant got delayed and finally it was commissioned in the send half of 2021. The plant presently manufactures 10,000 Mt of chocolate and the same is being doubled in the next couple of months. Enough infrastructure is created to make 40,000 MT of chocolate near Sricity.
In the year 2021, we started building a green field cocoa beans processing plant at a cost of over Rs 200 Cr having a capacity of 6TPH which can be expanded to 10 TPH. The plant is due for commercial production by end October 2023.
The new plants near Sricity are built with equipment supplied by industry leaders namely Buhler Switzerland, RDW Netherland and GSR Italy. The plants are fully automated which will help us to produce high quality products.
New chocolate plant will have a capacity of 20,000 of chocolate by end November and cocoa beans processing plant will have 48,000 MT of cocoa beans processing capacity. Both plants are from industry leaders and fully automated
2.Factory Functionality
Compared to Baddi plants chocolate manufacturing and cocoa beans processing plants near Sricity are fully automated. This will help less human intervention and ensures high quality.
3. Production capacity
Cocoa beans processing plant at its full production about 80,000 MT per year can cater over 50% of Indian domestic needs. About 85% of the cocoa powder and butter are imported from ASEAN countries. On commissioning of the plant and at its full capacity our dependence of import of finished products will drastically come down. Further chocolate plant at its full capacity can produce 40,000 MT various chocolate products required by the industry.
4. Supply chain and Raw materials
Cocoa plant needs cocoa beans which are mostly imported from Africa or South America. The plant is situated near Chennai and Krishnapattnam ports. This will help import of raw material and export of finished products. Further it is close to chocolate major who depends upon this plant. For chocolate plant main raw materials are sugar, cocoa powder and butter, vegetable fats and milk which are abundantly available close to the plant site. The chocolate plant is well positioned to serve to entire South India and parts of North Indian markets.
We source raw materials only from approved vendors. We have well-staffed quality control department which works independent of operations. From receiving materials, issues to production, while processing, and before dispatch all required mandatory quality control system is in place. This helps us to ensure food safety and produce quality products.
5.Growth Opportunities
India per capita consumption of chocolate base is about 200 to 300 grams against 5 to 10 kgs in Europe and American countries. Indian per capita consumption of sweets is over 5 to 10 kg every year. Chocolate shelf life is up to 18 months against few days in case of Indian sweets. While manufacturing chocolate so much care is taken to ensure food safety and quality. Indian sweets may be lacking in ensuring food safety similar to chocolate manufacturing. Hence there is a slow sifting from Indian sweets to chocolates or growth in chocolate is more than Indian sweets.
6. Market Demand
we keep observing chocolate markets from the last 20 years and on an average it is growing 15% to 20% cumulatively year after year.
I am of the opinion the growth in cocoa and chocolate will continue for the next 2 to 3 decades.
7. Export and Global reach
Presently we are venturing into exports to Gulf and African markets and getting reasonable response. Still it is long way to go due to bottle necks in export of our products, cost competitiveness as we do not proper level playing field compared to Europeans.
8.Corporate Social responsibility
Any viable commercial establishment should be treated as national asset. This is because it pays 18% GST on every Rs 100 sale, provide employment to surrounding villagers, pays Income tax, property taxes etc. and contributes improvement of quality of life in the surrounding villages.
9. collaboration and partnerships
We do not have any collaboration and partnerships.
10.Employee and work culture
Our policy is respect all human beings. We have good HR practices like safety, health etc. which are mostly followed by MNCs.
11.Conclusion & Future outlook
We do not relax on the past achievements. It is a continuous process to improve on the existing and keep challenging
our own products to improve. We keep exploring export possibilities.
Our key goal is to produce quality products and make our customers happy. Contribute to the society in enhancing quality of life.