NEW DELHI: Multi-sector firm ITC Ltd on Thursday announced its foray into yet another segment through its FMCG division. Farmland, the brand under which the firm will market fresh fruits and vegetables, has been initially introduced in New Delhi.
For starters, four variants of potatoes have been launched under the brand. However, according to the firm, the brand will begin diversifying into other fruits and vegetables from the next quarter.
ITC will also begin introducing the brand in other metro locations. The four introductory products are naturally low sugar potatoes, potatoes with natural antioxidants, baby potatoes for special dishes and French fry potatoes. The next product likely to be launched under the Farmland brand is branded apples.
“We are introducing potatoes in Delhi. It will be available in seven metros in the next 12 months,” said S Sivakumar, group head - agri business and IT at ITC, adding that Farmland potatoes will be available in about 1,000 stores in Delhi over the next 2-3 months. The company will not rely only on large organised retailers and e-commerce but also focus on distributing Farmland products through neighbourhood stores.
“The total market for table potatoes in India in terms of consumer spend is valued at Rs 70,000 crore with consumption in metros and mini-metros alone close to Rs 5,000 crore, which is what ITC’s Farmland potatoes range will address in the first phase,” ITC said. Farmland products will be sold at 10-15 per cent premium over local prices.
FMCG major Ruchi Soya (RSIL) has announced that it will offload a majority stake to global private equity firm Devonshire Capital.
ITC plans to work with the Indian Council for Agricultural Research - Central Potato Research Institute to build the buzz of nutritional benefits of potatoes and dispel some of the myths around it, the company said in a statement. It claims that the value-added potatoes that they are launching are naturally low in fat and sugar with fat content below 0.2% and sugar level below 2% respectively