ITC to foray into dairy, beverages

Announcing its plans to foray into dairy and beverages segments, Kolkata-based conglomerate ITC Wednesday said it will continue its diversification drive to become India's largest fast-moving consumer goods (FMCG) company by 2030.

"Anything that can be categorised as FMCG, ITC wants to get into that segment," chairman Y.C. Deveshwar told media persons here announcing the company's plans to enter categories such as fruit juice, tea, coffee, chocolates and dairy products.

"This is the best time to absorb the cost of gestation of new area and build the company for tomorrow," he said, adding that the company was aiming for Rs 1 lakh crore from new FMCG businesses alone by 2030.

Despite its hotels segment registering a fall of 22.4 percent in its revenue from last year to Rs.248.69 crore, the company said it will be adding at least 3000 more rooms in the next 2-3 years.

Deveshwar said the company was pursuing 65 projects across India with a budgeted outlay of Rs.25,000 crore. These projects are under various stages of implementation.

Talking about the projects, he said the plethora of procedural clearances from governmental bodies make it virtually impossible to speedily implement projects.

"A mere reform from the government will not work. Rather the whole system of clearance needs to be reformed," he said.

Deveshwar also appreciated the assistance the company has been getting from the Mamata Banerjee government in West Bengal where it has several upcoming projects with an outlay of over Rs.3,500 crore.

Calling for emphasis on food processing and agro-forestry, he dwelt on the need for owning and nurturing intellectual capital to propel India to a developed economy.

"Indian companies must invest in cutting g-edge R&D to build intellectual capital. Unless we create global brands through ownership of intellectual property, India will continue to be at the sweat-end of value addition," he added.