MTR Foods goes in for expansion enters snacking category

Will compete in market dominated by Pepsi, ITC Foods, Haldirams.

MTR Foods, the legendary company which pioneered the ready-to-cook category in India, is setting its sights on a broader horizon to expand its operations. The Rs 300 crore company-controlled Norway-based Orkla Foods, is expanding its product range to step into the snacking category which growing at a fast pace in India.

MTR Foods, with this launch, is entering the space which is dominated by the likes of Pepsi, ITC Foods, Haldirams among other players like Britannia which is starting to make a national presence. MTR Foods, to start with, is focussing on the South Indian snacking market in which there are a number of unorganised players but few in the branded organised sector.

 

MTR Foods founder Sadanand Maiya, who exited MTR Foods during 2007, during last year entered this segment to become one of the major players in this sector.

According to data from Nielsen, the Indian snacking market is worth close to Rs 3,000 crore and the South Indian snacking sector is worth 6 per cent . MTR Foods VP-Marketing Vikran Sabherwal said that they have been preparing for this launch during the past six months and after complete due diligence they have entered the market during early August 2011.

“The market is growing at a pretty healthy pace and we have great brand recall. Based on this, we have entered this segment and in due course we will roll out our products across South India,” Sabherwal added. MTR Foods will be launching around ten products to start with and may look at expanding the range at a later date.

MTR Foods, ever since being acquired by Orkla Foods has been constantly innovating and has been making effective changes to expand its range of products. Better known for its range of instant ready-to-cook range of products and spices which is present in many a kitchen across India and with Indian living overseas.

In addition to these two main segments, MTR Foods has a growing presence in the sweet mixes, beverages, sweets, pickles, soups and few others.