Cremica to set up new food processing facility in Haryana

Diversified food product entity Cremica Group will set up a food processing facility in Haryana to cater to domestic and export markets at an estimated cost of Rs 30 crore.

The company has set a turnover target of Rs 500 crore in 2009-10, a 40 per cent increase over sales last fiscal.

"The new unit, which is coming up at Rai in Haryana is expected to be operational within this fiscal," Mrs Bector's Food Specialities Limited (Cremica Group)Managing Director Akshay Bector said here.

The facility will be set up in the food park being developed by the Haryana State Industrial & Infrastructure Development Corporation Limited (HSIIDC) at Rai in Sonipat.

 

With the new plant, the company intends to foray into the ready-to-eat food segment. "We will be making ready-to-eat food products as well as snacks, including namkeen in this new plant for domestic and export markets, including Middle East, the US, Canada and England," he said.

At present, the company has a range of products, including ice cream, biscuits, bread, sauces, mayonnaise, jam, salad dressing and condiments. Besides, the company also supplies to brands like McDonalds, Pizza Hut, Barista and Cafe Coffee Day.

The company's sales reached Rs 350 crore in 2008-09, and it is expecting to touch Rs 500 crore in 2009-10 on the back of growing demand for food products in the domestic market.

Of the total sales exports are expected to account for 15 to 20 per cent.

The Ludhiana-based company also plans to launch its IPO, which may happen in next year.

"We intend to go for public offer but nothing has been worked out so far on raising quantum of money and diluting stake," he said.

In 2006, Goldman Sachs picked up 10 per cent stake in Cremica at a valuation of Rs 500 crore.