The Ravalgaon Sugar Farm is planning to enter into a strategic alliance with foreign fast moving consumer goods (FMCG) companies for distributing and marketing the latter's products in the market.
Harshavardhan B Doshi, chairman & managing director of Ravalgaon Sugar Farm, said: "We are seriously looking at entering into a distribution and marketing arrangement with foreign food products companies, whereby we will be selling their products through our distribution network."
"We are in talks with some European companies," Doshi said. However, he refused divulge further details. "Through this alliance, we will be able to add more product lines to our basket," he said.
The Rs 100-crore Ravalgaon Sugar Farm's sugar confectionery products include Pan Pasad, Mango Mood and so on. It has a distribution network of 2,000 stockists through which its products reach 2.50 lakh retail outlets.
As part of its expansion plans, the company will be focussing on exports. It will be exporting Pan Pasad to countries such as UK and Middle East and Mango Mood to Germany.
Last year, Ravalgaon promoters, Doshis, hiked their stake in the company by 5 per cent through Carina Finvest, one of its group companies and at present holds around 54 per cent of the company's equity and the balance is with public.
According to FMCG analysts, the total sugar-boiled confectionery market in the country is estimated to be around 80,000 tonne in volume terms and Rs 700 crore in terms of value. Nutrine is the leader in the confectionery market with a 25 per cent share. It is followed by EID Parry's with 23 per cent.
