Friday, May 29, 2009

The most consumed biscuit in India

I tried finding which is the most consumed biscuit product in India; I searched various part of Internet, asked people from various part of the world (knowing Indian market), and from most of them I got one answer.

Parle-G is the most sold biscuit product in India.

While finding the question I found following interesting part about biscuit industry of India.

Something about Biscuits Industry

  • India is the third largest manufacturer of Biscuits in World after US and China.
  • Per capita consumption of biscuits in various countries are as below:
    • US, UK and European countries : more than 10 kg
    • South east Asian countries like Singapore, Hong Kong, Thailand, Indonesia : above 4.25 kg
    • Japan : 7.5 kg
    • India : 2.1 kg
    • China : 1.9 kg
  • Biscuit industry has the total market share of Rs. 7250 crores in which Rs. 4350 crores are from organized sector and around Rs. 2900 crores are from un-organized sector. (source 2001-2002 census)
  • From total market share of biscuits industry, 60% share is there with the organized sector.
  • In the organized sector, there are 2 large scale manufacturers, 50 medium scale and around 2500 small scale manufacturers
  • In the un-organized sector, there are approximately 30,000 manufacturing units – bakeries.
  • The production of the organized sector counted in 2001-2002 census is 1.30 million tonnes.
  • If the growth of the industry is to show then, till 1999-2000 the growth rate was around 10-12%. But after the increase in the excise duty (100% hike) it faced 3.5% decline in 2000-2001. After that the growth comes to 2-3% in next two years.
  • According to the NCAER Study, biscuit is predominantly consumed by people from the lower strata of society, particularly children in both rural and urban areas with an average monthly income of Rs. 750.00.
  • From the census of 2000-2001, the biscuits market was divided in the following categories:
  • Glucose 44%
    Marie 13%
    Cream 10%
    Crackers 13%
    Milk 12%
    Others 8%.
  • The consumption of the biscuits in India according to the regions is as below:
  • Northern States: 28%
    Southern States: 24%
    Western States: 25%
     Eastern States: 23%
  • Britannia – which is a part of Wadia group – is the biggest and the oldest among the current giants in India which manufactures biscuits.
  • It started in 1892, becomes the most trusted brand in 2002, No 1 food brand in 2001, and become a part of top 300 small companies of world by Forbes in 2000.
  • The production of biscuits was around 100,000 tonnes in 1994 which becomes 300,000 tonnes in 10 years.
  • Parle was started in 1929 in Mumbai. Initially they were selling sugar confectionaries only. But from 1939 they started production of biscuits. Parle-G and Monaco were the first brands launched.
  • Today Parle shares 40% share of the total biscuits market and 15% share of confectionaries.

 

Sources:

Federation of Biscuit Manufacturer of India, Britannia and Parle Products sites and other surveys and reports

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