ITC launches ready-to-cook, ready-to-mix breakfast staples

Some of these categories have huge scope and have the capacity to generate good margins by leveraging our scale, wheat adjacencies and supply chain efficiency," said ITC's food business chief Hemant Malik. [Representative image]

In its latest bid to expand its FMCG business, ITC has forayed into the Indian breakfast category with a ready-to-cook and ready-to-mix range and staples under the household brand "Aashirvaad".

ITC's food business chief Hemant Malik told The Economic Times that the company had launched breakfast staples including rawa, suji and vermicelli.

They will also introduce categories such as dalia, poha and millet cereals.
With this foray, the company will compete with established brands such as Kellogg, Nestle, MTR and Gits Food in the segment.

"Aashirvaad has largely been a brand with products for meal occasions, be it atta, salt, pulses or ghee. We are extending the brand into other value-added segments with which one can cook breakfast or snacks," the report said quoting Malik.

"Some of these categories have huge scope and have the capacity to generate good margins by leveraging our scale, wheat adjacencies and supply chain efficiency," Malik added.

ITC's non-cigarette FMCG business contributed to 27 percent of the company's overall revenue in Q2 FY22 at Rs 4,036 crore, whereas its cigarettes business contributed to 38 percent of revenue at Rs 5,642 crore. The non-cigarette FMCG segment revenue grew 23 percent on year and 8% percenton quarter.

According to the Economic Times report, the breakfast staples market in India has a potential of over Rs 100 crore, at a CAGR of 12 percent.

In the ready-to-cook category, it has launched idli sambhar, upma, instant poha, instant suji halwa, idli and dosa instant mixes.

"The category expansion of Aashirvaad will help to premiumise the portfolio. We want the brand to play in the Indian cuisine space in breakfast and not western cereals like oats," Malik said to the publication.