Sanjiv Goenka plans aggressive FMCG push

Kolkata-headquartered diversified RP Sanjiv Goenka Group has drawn up an ambitious plan of notching up Rs 10,000 crore revenue from its new-found interest- FMCG business- over the next five years or so. “The group, which launched FMCG business 17 months ago, expects the business to turn Ebitda positive in the next fiscal year itself. It is also bullish about the fast growing western snacks segment and has lined up plans to eat a larger slice of the pie,” said Sanjiv Goenka, chairman, RP Sanjiv Goenka Group.

“By June, our FMCG sales is expected to scale up to Rs 90 crore a month which will translate into annual sales of Rs 1,080 crore. We are open to both organic and inorganic route to grow. We will be on the look-out for right acquisitions and at the same time will come up with our own plants across the country to reach the goal of Rs 10,000 crore revenue,” said Goenka.

Interestingly, the group had recently picked up a controlling stake in Apricot Foods for an enterprise value of Rs 440 crore. And as part of that deal, the group now owns the eVita brand. The group, which, through its FMCG vertical- Guiltfree Industries, has been making snacks under Too Yumm brand with the tagline: ‘baked and not fried’, will eventually get into non-baked segment. And those non-baked range may be rolled out under the eVita brand or under a new brand name. “During the first half of the next fiscal year, we will launch non-baked items. Work is under process on this. At the same time we have lined up several baked snacks, which we will roll out one after another,” said Goenka.

At present, Guiltfree Industries is sourcing products from four locations across the country and has its own two manufacturing plants at Rajkot and Hyderabad.