The Hindu Business Line : Galla Foods to enter fruit beverage segment

Chennai, Feb. 12 Galla Foods Pvt Ltd, owned by the promoter family of the Rs 600-crore Amara Raja Batteries Ltd, is set to foray into the fruit beverage segment with mango nectar soon.

The company, which is into mango puree and concentrates export business, is planning to tap the domestic market with its mango drink during the ensuing summer. “Mango nectar will be our first product in the market. Later on, we may consider other products including purees,” Mr Ramachandra N. Galla, Chairman of the company, told Business Line.

While fruit drink is a synthetic product and fruit juice is 100 per cent juice, fruit nectar is fruit juice with added water and sugar. According to industry sources, of the overall fruit beverage market size of Rs 1,900 crore, mango accounts for over Rs 700 crore.

Currently, Galla Foods exports its mango (Alphonso, Totapuri) puree, concentrates and okra to the US, Japan, Russia and some countries in Europe and West Asia. “We are also producing guava and papaya puree on a trial basis now, and soon plan to start commercial production,” said Mr Galla.

According to him, the company has roped in farmers in the Chittoor belt to grow quality mangoes for processing purpose by providing them with suitable education and technology. Galla Foods also has a facility for grading and packaging vegetables and fruits apart from a facility for controlled ripening of bananas. “We are supplying these vegetables and fruits to several retailers in the domestic market too,” he said.

Started in 2005, Galla Foods has so far invested around Rs 30 crore in these facilities. “We are now planning to pump in another Rs 30 crore for doubling our puree production capacity to 15,000 tonnes and for the proposed fruit drink facility,” Mr Galla said.

So far, in 2007-08 financial year, the company exported over 7,500 tonnes of puree and concentrate and 160 tonnes of fresh fruits and vegetables.

More Stories on : Strategy | Beverages

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Burrabazar fire casts shadow on South City residential project

Kingfisher may be first to fly non-stop to US West Coast

PVR ties up with Thai entertainment company

Geojit launches financial literacy campaign

Shah Rukh to host new TV show

Hasbro Clothing entering Maldives

Galla Foods to enter fruit beverage segment

ENN launches digital signage in tie-up with Helius Inc

Retail sector overvalued, says Hypercity chief

Lal Mahal launching retail outlets

Juniper Networks enters switching biz