Adani Wilmar eyes Rs 50,000 cr turnover in 5 yrs, pins hope on packed food

Completes 20 years of Fortune brand of edible oil and foods with a turnover of over Rs 30,000 crore; sees packaged staples biz at 3x that of cooking oil in 5 years

Having clocked a turnover of over Rs 30,000 crore, predominantly through edible oil products along with fast growing foods business, even as it completes 20 years of 'Fortune' brand, Adani Wilmar is eyeing Rs 50,000 crore turnover in next five years.

Moreover, with consumers increasingly preferring packaged staple food products to loose ones, the company anticipates growth from food business to be thrice its edible oils business growth over the next five years. 

Commenting on the completion of 20 years of Fortune brand of edible oil and staples, Adani Wilmar's deputy CEO Angshu Mallick stated that while the company's history so far has seen it emerge as the country's leading edible oil brand, the coming years will see a major change in its revenue mix amid a strong food portfolio.

"Of the total estimated revenues of about Rs 30,000 crore, edible oils under Fortune brand is still about 80-85 per cent of the business. Food business is about Rs 2,000 crore, which we expect to grow three-times faster than edible oils due to increased consumer preference for packaged branded foods," said Mallick.

The company has grown its food business beginning with staples like besan, wheat flour, basmati rice and pulses to go on to add other categories like sugar and ready-to-cook products including khichdi and soya chunkies. 

With oil prices rising up by 20 per cent this year, the same has also reflected in the company's turnover despite a fall in volumes. "Even if the volumes may have gone down due to Covid-19 disruptions, but the price rise in recent months reflects on the higher turnover," Mallick added.

Adani Wilmar, which was set up as a 50-50 joint venture between Adani Group and Singapore's agri trading player Wilmar International Limited had set up its first edible oil refinery at Mundra port with capacity of 600 tonnes per day, which has now reached to 5000 tonnes per day.

"We have sufficient capacities to meet the growing demand for the next three years. But we will continue to focus on local oils such as mustard oil. If farmers in Punjab and Haryana turn to mustard seed cultivation it will be a big boost," Mallick stated.

The company has also gone on to set up a soap manufacturing facility which is being expanded from 400 tonnes per day capacity to 800 tonnes per day capacity, even as Adani Wilmar looks to grow its presence in personal care category as well. The company is present in the personal care category with soap, handwash and sanitizers under the 'Alife' brand.