Chocolates are flying off shelves faster than hot cakes. The growth is above 12.6 per cent in the current year, irrespective of all the negative factors.
This surprising performance comes at a time when agricultural output is expected to decline owing to a deficient monsoon, resulting in decline in life style spending, especially in the food market.
Low priced unit packs, increased distribution reach and new product launches have helped the chocolate sector grow well even as growth in biscuits sales has slowed to a lower rate of about 10.1 per cent.
According to retail audit data for the year to date, growth of other lifestyle foods such as malted beverages and milk food have actually declined by 3.7 per cent and 11.7 per cent, respectively.
The launch of lower-priced, smaller bars of chocolate in the last two years and positioning of chocolate as a substitute to traditional sweets during festivals, have boosted consumption.
