ITC Ltd is planning to broaden its reach in the Indian market by expanding its ready-to-drink dairy beverages portfolio to the rest of the country by next summer. The company is eyeing to grab a 5-10 percent market share in the first year of its operations.
ITC’s food division has already been selling fruits-based beverages for the past four five years and also dairy-based beverages which have been soft-launched in the South last December.
With the launch of Sunfeast Wonderz Milk, ITC entered the ready-to-drink milk-based beverages market last December. The milkshake market is around Rs 1,000 crore.
Sanjay Singal, chief operating officer for dairy and beverages unit at ITC said, “We would be extending our dairy beverage business and will be launching across the country by the next summer. We expect to clock 5-10 percent of the Rs 1,000-crore market in the first year of operations.”
The company is also planning to export its dry fruits-based dairy beverages badam milkshake to Dubai and Saudi Arabia. It had also rolled out packaged milk and curds under its Aashirvaad brand in Kolkata and Bihar.
Singal also added that the company would focus only in the Eastern markets for the packaged milk business in the foreseeable future, where there is less competition.
ITC has recently launched three fruit beverages under its B Natural brand in PET bottles. It currently sells nine flavours of fruit juices in tetra packs and has a market share of 9-10 percent in the Rs 2,000-crore fruit beverages segment. Singal also said within a month, it will launch vegetable juices and is evaluating opportunities in the water segment.