Achal forays into almond retailing biz

Mangalore-based Achal Cashews Private Ltd, a group company of Achal Industries, a cashew processor and exporter, has forayed into the retail sales of almonds in the country under its own brand.

The company, which presently retails cashew kernels through its own retail outlets is now adding almonds to its portfolio in Mangalore and Bangalore.

Presently, the company sells around 550 metric tonnes of cashewnut in the retail market. Almonds will be introduced in consumer packs of 500 gms and 250 gms. It will also sell almonds to caterers and confectioners in a secure pack. It has started importing almonds from the US through a Dutch company which will act as its official buyer.

Said Giridhar Prabhu, Managing Director, Achal Cashews Private Limited, "Inclusion of almonds in our product portfolio is a natural line extension of our cashew business which is enjoying good customer preference in Maharashtra and North India." The company also sells pistachio, raisins, walnut and dates.

Achal Industries aims to launch its almonds in Maharashtra soon. The targetted sales will be 4 metric tonnes per month and eventually to 20 metric tonnes per month from its Maharashtra plant. It has identified 28 traders in Maharashtra and 150 in north India to sell its almonds.

This will be the first attempt by the company to sell almonds under its own brand after the huge success for its cashews. Apart from Achal, almonds are also sold by large retail chains like Big Bazaar, Foodworld and Reliance Fresh.

"We view almonds as complementary to our cashew business and not in competition. Almonds should be a regular part of diet for elderly people as an easily digestible food and for youngsters as a source of energy and micronutrients for the brain. A few cashews and a few almonds for the day should be a natural part of the upper middle class' diet and a higher level of consumption for those who can afford it," Prabhu added.

With the introduction of almonds, Achal Cashews aims to grow its business around 18 per cent during the present year. Last year, it recorded a turnover of Rs 16 crore, of which exports were worth Rs 5 crore.

He said prices of US almonds in India have declined from its peak prices and it is an opportunity for consumers to buy it in secure multi-layer packs.

Retail almond prices have dropped from Rs 600 per kg 18 months ago to below Rs 400 in north India. The wholesale price range is Rs 315-325 per kg for good quality almonds.

India recently overtook Germany in the shipment of almonds from the United States with a share of 12.86 per cent. India's in-shell almond imports from the US recorded a growth of 46 per cent at 43.21 million pounds during the August to November 2007 period compared to the same period last year.