LT Foods has forayed into healthy snacks market and will invest US $5 million (about 32 crore) on launch of rice-based snack products.
The company has partnered Japan’s Kameda Seika to launch premium rice based snacks brand ‘Kari Kari’ in India.
“LT Foods has entered into an exclusive 51:49 joint venture with major Japanese rice based snack maker to manufacture and market rice based snacks in India,” the company said in a statement.
This product will be available in Delhi-NCR, Mumbai and Bengaluru to start with.
“The company will invest around US $5 million in the launch phase and plan to expand its presence across India in coming months,” it said.
LT Foods aims to generate revenue of US $15 million over next five years from this brand, the statement added.
“With this launch, LT Foods will enter the premium healthy snacks market which is growing at an exponential rate… The products will be available in four flavours including spice mania, salt and pepper, wasabi and chili garlic,” it added.
The snacks would be sold in packs of 70 and 150 grams with a pricing of Rs 50 and Rs 99, respectively.
Kameda Seika and LT Foods are planning to manufacture ‘Kari Kari’ in Haryana.
Managing Director and CEO, LT Foods, Ashwani Arora said, “Growing urbanisation, rising disposable incomes, growing working class and increasing health consciousness is creating greater demand for innovative value-added products. The launch of ‘Kari Kari’ brand is our response to customers looking for healthy premium snacking.”
LT Foods said it is focusing on creating a vibrant portfolio which already includes several leading brands such as Daawat, Royal, Ecolife, Devaaya, and many more.
LT Foods will leverage its strong distribution network and supply chain to market the ‘Kari Kari’ products in India while Kameda Seika will provide necessary technology related to manufacturing and flavor development.
Chairman & CEO, Kameda Seika, Michiyasu Tanaka said: “After successful launch of our snacks in 4 countries in US, Thailand, Vietnam and China, India is the fifth country outside Japan where we are launching Kameda Seika products.”
“We see a huge uptrend in the demand for healthy snacks market and our products will be catering to that demand,” he added.