Reliance Consumer, the FMCG arm of Reliance Industries, has achieved a significant milestone in its inaugural year of operations. In the financial year 2023–24, the company recorded sales amounting to ₹3,000 crores, marking a remarkable debut in the FMCG market. Notably, the beverage brand Campa Cola contributed ₹400 crore to this impressive figure.
Comparatively, other established players in the FMCG sector, such as Emami and Colgate-Palmolive (India), took decades to achieve similar sales figures. Emami, with fifty years of operation, reported sales of ₹3,400 crores in the previous fiscal year, while Colgate-Palmolive (India) generated revenue of ₹5,226 crores in its eightieth year of operation.
Reliance Consumer Products, housing brands like Campa Cola and Independence, has ambitious plans to sustain its sales growth momentum, particularly focusing on staples and beverages. To address supply constraints and bolster production capacity for Campa Cola, the company intends to raise funds ranging from ₹500-₹700 crores in the current fiscal year. These funds will primarily be allocated towards setting up bottling plants strategically positioned to cater to consumers across the country, including kirana stores.
While Reliance Retail Ventures serves as the parent company of Reliance Consumer Products, the latter aims to diversify its revenue sources. Apart from sales through more than 200,000 kirana stores, Reliance Consumer Products also generates revenue from Reliance Retail’s network of grocery stores. The company has set an internal revenue target of ₹5,000 crore for the current fiscal year.
Plans are underway for a significant capital infusion into Reliance Consumer Products by its parent company, with a focus on setting up company-owned bottling plants. This strategic move aims to address supply challenges and facilitate the nationwide availability of Campa Cola. Reliance Consumer Products is also exploring opportunities to expand its product portfolio across various FMCG categories.
Despite repeated attempts, Reliance Consumer Products declined to respond to queries regarding its operations and future plans. The company currently collaborates with contract manufacturers for bottling Campa Cola and operates a facility in Gujarat for producing Sosyo carbonated soft drinks. Additionally, it has agreements with contract bottlers in several states across India. In early 2023, Reliance Retail Ventures invested ₹277 crore into Reliance Consumer Products through optionally fully convertible debentures, signalling the promoters’ commitment to the business’s growth and expansion.