Tata Consumer Products is looking to expand its presence in snacks and protein segments. The company’s top management recently called out snacks and protein among the top five key platforms for the company to drive growth in an investor presentation.
In the snacks segment, currently the company’s presence is through Tata Soulfull and Tata Sampann Yumside (formerly known as Tata Q), which are counted among the brands that it identifies as its new engines of growth.
“We broadly define snacks as mini-meals, breakfast cereals and ready-to-eat products. We are very clear that whatever segment we get into within snacks ...should be a space that is growing fast, has strong margins, where we have the right to succeed and create value. We need to crack the code in snacks and see how we can make a differentiated play. We have stated our ambition and we are in the process of finalising our future strategy,” said Sunil D’Souza, MD & CEO, Tata Consumer Products in an earlier interaction with businessline.
Inorganic growth strategies
Asked if the company could look at inorganic growth strategies, D’Souza said, “We would not rule out inorganic growth strategies in any of the spaces that we have a presence in, as long as they pass the financial filters. If any opportunity comes up in any of these platforms, we will look at it closely.”
The food and beverage company entered into the health supplements space with the launch of Tata GoFit plant protein powder in September. The Indian protein supplements market was pegged at about ₹2,000 crore in 2021 and expected to grow to ₹5000 crore by 2027. Earlier this year, the company also forayed in the plant-based meat alternative space with the launch of Tata Simply Better range.
“Protein is a trend around the world. We know when the per capita income goes up and the population ages there will be an increase in intake of protein and therefore it will become a significant segment. We want to make sure we have a strong play in this space. It’s very early days as we are still exploring this category,” he added.