The country’s largest biscuit maker by volume, Parle Products, is set to make a foray in the farsan category within a month as it sets its sight on a potential Rs 8,000-crore market. The packaged segment of this industry is dominated by firms such as Haldiram’s, Jai Balaji and Lehar, among others.

“Parle is launching several variants of farsan, such as bhujiya, to take on leaders like Haldiram’s in a fast growing market that is seeing rapid conversion of consumers to hygienically packaged products whose price points start from Rs 2. The products are expected to hit the market in a month’s time,” said a senior official.

Distributors told Financial Chronicle that the company’s plan is to diversify its product portfolio in order to cash in on the growing snacks business. Despite repeated attempts, GM, marketing and company spokesman Praveen Kulkarnii could not be reached for comment.

Parle Products relaunched Musst Chips and Musst Stix as Parle Wafers and Parle FullToss, respectively, in the last six months.

It plans to relaunch and rebrand Monaco Smart Chips in another six months.

Jagdeep Kapoor, chairman and managing director, Samsika Marketing Consultants, said, “Parle Products understand the food category very well. With their distribution strength and ex

r pertise in packaged snacks category, they will be able to make a success of the farsan foray.“

In the last three months, Parle Products has ramped up distribution for its snacks business, has come up with several local flavours and even changed the production process in an attempt to gain market share.

Industry officials told FC that Parle has also started its own chain of exclusive retail outlets called ‘Parle Shoppes’. The outlets are expected to help the company in its first diversification outside the biscuits and confectionery segment. The first such outlet has come up in South Mumbai. Parle’s move to experiment with setting up exclusive outlets aims to replicate the success of Monginis which has exclusive Monginis shops selling cakes, savouries and packaged bakery products.

The farsan category consists of local snacks like salted moong dal and aloo bhujiya and competes for space with namkeens such as PepsiCo’s Kurkure and Lays Chips, ITC’s Bingo and others. The move to get into the farsan segment is an outcome of Parle’s focus on new product introduction to drive growth, according to industry officials. While some of its new products such as Parle Monaco Smart Chips have had success, others such as Parle wafers and FullToss have seen mixed responses.