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Edible oil company Modi Naturals is looking to enter the ready-to-cook food segment. The company is also focussing on adding more variants to its blended oil range that aims to address vitamin deficiencies and overall wellness.
Akshay Modi, Executive Director, Modi Naturals, said: “Earlier, manufacturing was our core competency. By scaling up our consumer business, we have now also developed a strong distribution network. As a strategy, we now want to focus on introducing more products which will leverage on our distribution network to increase revenues.”
He said the company is in the process of developing innovative products, and could look at entering the ready-to-cook segment in the next 3-6 months.
“We could initially look at outsourcing the production of these products. But our focus will be on bringing in uniquely positioned, value-added products. With the modern consumer pressed for time and looking for healthier options, we believe the ready-to-cook segment has significant potential to grow,” he added.
The company is also stepping up its distribution network, and hopes to increase the reach to about 80,000 outlets in the next 2-3 years.
“By the end of the previous financial year, we were able to develop a strong pan-India distribution network. We have achieved the width in distribution, and now it’s all about focussing on increasing the depth,” he added.
Blended oilsThe company is also focussing on strengthening its blended oil portfolio under brand Oleev.
The company has recently launched two new variants — Oleev Health and Oleev Smart — to address vitamin deficiencies.
While Oleev Health is priced at ₹150 per litre, Oleev Smart is priced at ₹130 per litre.
The launch also comes at a time when the Food Safety and Standards Authority of India has urged edible oil companies to focus on fortification of their products.
“The blended oil segment in the country is pegged at ₹2,000 crore, which is growing at 15-17 per cent year-on-year. With single oil products getting largely commoditised, we see multi-fold growth opportunity in the blended oil segment. We are already strong in the premium segment. Our focus will be to capture 10 per cent market share of this segment in the short-term,” he added.
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