In India the Rs. 2,500-crore ice cream industry is on an expansion drive eyeing a 15% growth this year despite increasing prices between Rs 1 and Rs 10 across product categories since January, 2012
The branded ice cream market with leading players such as Amul, Kwality Walls, Vadilal and Mother Dairy is banking on a large variety of regional flavours, distribution network and expansion of retail outlets to strengthen their share in the market dominated by unorganized players.
Gujarat Cooperative Milk Marketing Federation (GCMMF) which markets the Amul brand of products. With a 40% market share, Amul is focusing on expanding its reach.
Mr. R. S Sodhi, MD, GCMMF said, “Ice cream demand is increasing annually by 25%. We are going to raise the number of outlets by 12,000 to 92,000. We are adding 1,500 pushcarts to take the number to 4,000 and adding 700 scooping parlours to a total of 1,700 in the next one year,”
Gujarat based Vadilal group, the second largest player, is making efforts to achieve a sales growth of 30% this summer.
Mr. Rajesh Gandhi, MD, Vadilal said, “There is a huge scope for ice cream business in the country with a large segment still in the unorganised sector. We will be increasing our ad spend by 40% this year compared to the previous year”
According to industry statistics, the Chinese ice cream market is worth about Rs. 20,000 crore, where as the total Indian market size is Rs 2,500 crore, with the organised sector market estimated at Rs. 1,500 crore.
Considering that the per capita consumption of ice creams in India is currently at nearly 250ml to 300 ml compared to 23 litre in the US, 14 litre in Sweden and 800 ml in Pakistan, there is a huge opportunity for organised players in the industry.
SrC: ET
The branded ice cream market with leading players such as Amul, Kwality Walls, Vadilal and Mother Dairy is banking on a large variety of regional flavours, distribution network and expansion of retail outlets to strengthen their share in the market dominated by unorganized players.
Gujarat Cooperative Milk Marketing Federation (GCMMF) which markets the Amul brand of products. With a 40% market share, Amul is focusing on expanding its reach.
Mr. R. S Sodhi, MD, GCMMF said, “Ice cream demand is increasing annually by 25%. We are going to raise the number of outlets by 12,000 to 92,000. We are adding 1,500 pushcarts to take the number to 4,000 and adding 700 scooping parlours to a total of 1,700 in the next one year,”
Gujarat based Vadilal group, the second largest player, is making efforts to achieve a sales growth of 30% this summer.
Mr. Rajesh Gandhi, MD, Vadilal said, “There is a huge scope for ice cream business in the country with a large segment still in the unorganised sector. We will be increasing our ad spend by 40% this year compared to the previous year”
According to industry statistics, the Chinese ice cream market is worth about Rs. 20,000 crore, where as the total Indian market size is Rs 2,500 crore, with the organised sector market estimated at Rs. 1,500 crore.
Considering that the per capita consumption of ice creams in India is currently at nearly 250ml to 300 ml compared to 23 litre in the US, 14 litre in Sweden and 800 ml in Pakistan, there is a huge opportunity for organised players in the industry.
SrC: ET
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