Manufacturer of instant fruit-based concentrates, Rasna, has entered the sweet snacks segment with the launch of Rasna Vitos. The company also said it is looking to launch ethnic products specifically for European and US markets to boost exports.
Piruz Khambatta, Chairman & MD, Rasna Pvt Ltd, said that the company is looking to launch ethnic products specifically for European and US markets as part of its export push. These products include jal jeera and a variety of pickles catering to local tastes. The company, which claims an 80 per cent market share in powdered soft drinks, now exports to 53 countries in five continents.
The company will also looking to enter the uncovered regions of Africa such as East Africa.
For African countries, the company is in talks with local governments to participate in their subsidised or free food supply programmes. It plans to extend this initiative to Latin America and Cuba.
Currently, exports constitute around 30 per cent of the company's revenue. Khambatta said he was expecting around 15-17 per cent growth in exports while the domestic markets were expected to grow along similar lines.
He said Vitos will drive the proposition of healthy evening snacking. The focus will now be on increasing the product's penetration by leveraging the company's existing marketing and distribution network. Rasna is targeting a revenue of around Rs 250 crore from the snacks' segment in another three years.
According to market researcher Euro monitor, sweet and savory snacks have grown by 26 per cent, which is the highest within packaged food segment for the period 2010 to 2015. Sensing this opportunity, Rasna has targeted the sweet snacks segment with a focus on kids returning home from school. As of now, Rasna Vitos will be available in chocolate and strawberry flavours.
Khambatta said a new Rs 50 crore production facility in Andhra Pradesh will strengthen company's overall production capacity. This plant which will be an integral part of Rasna to strengthen the market share in the powder drink segment and will add around 20 per cent to the existing capacity.
Rasna Instant has more glucose, vitamins, minerals than the earlier version and dissolves easily in five seconds, Khambatta claims. Priced at Rs 115 for 500 gm, Rasna Instant is for the energy and health seeking consumers.
On the new plant at Chittor, he said, this will be an integral part of Rasna to strengthen the market share in the powder drink segment.