FMCG major Britannia is scouting for profitable growth opportunities, especially in the bakery segment, to strengthen its position as a leading food company in the country, according to the company’s annual report.
According to a PTI report: “Going forward, your company’s major focus areas would be entry into adjacent food categories… Your company has been actively working on realising untapped opportunities in the bakery business as well as in the adjacent macro snacking space,” Britannia said in its Annual Report for 2016-17.
It further said: “Your company shall continue to scout for many such profitable growth opportunities to ensure that it stays ahead of the market while transforming itself into a total foods company.”
Last year, Britannia, whose main business segments are bakery and dairy, had entered into a joint venture (JV) agreement with Greece’s Chipita S. A for manufacture and sale of ready-to-eat filled croissants.
Currently, the work is underway to establish operations of the JV.
The company also expects to use its newly-launched research & development (R&D) centre at Bidadi near Bengaluru for launch of new products.
“R&D centre is now fully operational with enhanced capabilities for the core as well as future adjacent product categories which will help in innovating faster with superior product experience delivery,” it added.
In order to increase its international business, the company said it is also evaluating entry through local manufacturing, wherever feasible, in high potential markets which are currently not accessible through exports routes due to high trade barriers.
Britannia is present in more than 70 countries, its key geographies being West Asia, Africa, Americas, Asia Pacific and SAARC.
For the entire 2016-17 fiscal, Britannia Industries reported a net profit of Rs 884.61 crore on net sales of Rs 9,232.30 crore.