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The Global Green Group (Global Green), a large processed food exporter owned by Gautam Thapar-led $4 billion Avantha Group, is set to accelerate its India business. The fruits and vegetables food-processing player with revenues estimated at a little over $200 million, will be pushing its 'Tify' brand of gourmet processed food, after testing the market for a year.
"We have built capacities, expertise and the knowhow in this segment and we have been closely working with almost all globally renowned retail chains for the past many years. Given that India is developing as a major destination of gourmet food, we have started to increase focus here," says Vijai Gill, MD & CEO.
Restaurant and hospitality chains such as Subway, Dominos, the Taj Group are some of its key customers. Gill says, "With the growth of quick service restaurants, there is a lot of demand for our range of offerings. As of now, the share of revenues from India is small, but we aim to have around 25 per cent over time," Gill says.
But the key to growth would be a ramp up of retail presence. Tify is present in Modern Bazaar in New Delhi, RIL's Reliance Retail, Future Group's Food Hall, RPSG's Spencer's and Nilgiris in the south, with plans to expand reach to more of their outlets.
Global Green, which has Rabo Private Equity as an investor, shot to fame as the largest exporter of gherkins with a worldwide presence across retail, food services and industrial segments. The company has since extended its range to jalapenos, pearl onions, capers, pritamin peppers, sweet and sour cherries etc. Tify's range includes condiments, sauces and conserves for both the retail and QSR segments.
Global Green has converted one of its 100-per cent export-oriented units into a domestic tariff area, which enables it to sell its produce locally.
Tarun Jain, vice-president, food services at Technopak Advisors says owing to the rise in gourmet food consumption, sauces and condiments have occupied substantial shelf space in gourmet outlets. "While mayonnaise, ketchup , balsamic, olive oils and olives are the most common items in gourmet retail stores, other categories have also gained wide acceptance," Jain says.
Tify's expansion comes at a time when the Indian consumer, having watched cookery shows and contests like the Master Chef franchise, and travelled globally, has a curiosity towards international cuisines and semi-processed ingredients, especially sauces which are in great demand as they promise authentic flavours and convenience.
For QSRs, gourmet retail products ensure shorter preparation times, consistent taste and less dependence on the chef's skill. Heinz, Tabasco, Barilla, Prego are some of the popular imported brands who have a similar footprint in service and retail. Technopak says that the gourmet food market is around Rs 15,205 crore. Separately, processed food which includes jams, jellies, juices, sauces and ketchups of all price-points comprise Rs 10,300 crore market, where sauces and ketchups are high-activity categories.
Jain says newer categories that are being adopted are "fresh/frozen berries, Greek yogurt, preserved lemon, salad leafs (radicchio, kale, Chinese lettuce, arugula, watercress), grains (quinoa and couscous), egg replacements and gluten-free foods". Global Green would be retailing nuts, spices and a host of ready-to-eat products in the near future.
