Adani Wilmar expects to double its staple foods business in three years
Adani Wilmar aims to double its food and FMCG business to ₹10,000 crore in three years, following a 42% growth in e-commerce sales in FY24. The company plans to expand direct distribution to 8.25 lakh outlets. MD & CEO Angshu Mallick expects stable commodity prices, projecting 10-12% volume growth this fiscal.
Adani Wilmar aims to scale up its food and FMCG business to about ₹10,000 crore in the next three years. In FY24, the food and FMCG segment revenues stood at about ₹5,000 crore, almost doubling in two years. The packaged food major is also aggressively ramping up its direct and indirect reach.
Angshu Mallick, MD & CEO, Adani Wilmar, told businessline, “We expect this growth momentum seen for our food and fmcg business to continue. We aim to have a ₹10,000-crore food business in the next three years. This will be supported by strong demand trends for branded staple food products.”
The company recorded 42 per cent growth in the e-commerce channel in FY24. “We are seeing in top cities, more than 50 per cent of the grocery buying is happening from e-commerce and quick commerce channels. Our brands enjoy strong share in the e-commerce channel across categories due to consumer preferences,” he stated.
At the same time, physical distribution expansion is a key growth pillar. “We have been aggressive in terms of both direct and indirect distribution expansion. Currently, we are covering about 7.2-7.3 lakh outlets directly and by next year we want to increase direct coverage to 8.25 lakh outlets, with a strong focus on rural region,” Mallick said.
The company expects commodity price outlook for edible oils to be fairly stable in the coming months. “ As far as edible oils is concerned, the markets are expected to remain fairly stable unless there is some external issues. Globally, the edible oil production has been good. There has been good crop of wheat. So unlikely that wheat prices will see great fluctuations but normal fluctuations of 7-8 per cent may happen during the course of the year,” he added.
Asked about volume growth projections in the current fiscal, Mallick said, overall at a company level, volume growth should be to the tune of 10-12 per cent.
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