Cavinkare eyes Rs 5,000 cr revenue in five years

Cavinkare Private, the Chennai-based FMCG major, is aiming at a 10-fold rise in revenues to Rs 5,000 crore in the next five years.

The company expects this growth to be mostly driven by the rapidly growing domestic packaged foods market.

The company's foods business reported a turnover of Rs 50 crore last year. It expects to double it every year over the next four years.

Announcing the launch of the company's pickle, spices and masala brand ""Chinni's Masala "" in Andhra Pradesh on Saturday, Ramesh Viswanathan, vice-president (marketing), Cavinkare, said the total packaged foods market in India was estimated to be Rs 50,000 crore.

"Packaged food business is one segment, where we see a significant growth opportunity for Cavinkare. The 'Chinni's Masala' brand is currently being sold predominantly in Tamil Nadu, and we have captured a market share of 10 per cent there. We intend to repeat the same performance in Andhra Pradesh," he said.

Cavinkare's food business has three brands, namely Ruchi, Chinni's and Health Plus.

While pickles and gulab jamoon mix are sold under the Ruchi brand, pickles, vermicelli and masalas are sold under Chinni's. Health Plus is a new brand under which Cavinkare sells peanut candies (chikkis).

"Considering that southern market accounts for 32 per cent of the Rs 15,000-crore spices market in the country, we are currently concentrating on Tamil Nadu, Karnataka and Andhra Pradesh. We, however, will also penetrate the market in north in due course of time," Viswanathan said.

Viswanathan said the company is also considering to add two-three products in snacks category under the Health Plus brand.

"We will go for traditional Indian snacks, and will make an announcement with regard to this at an appropriate time," he added.