Chennai, Apr 20 (PTI): U Foods, a Hong Kong-based fast-moving consumer goods major, was strengthening its footprint in south India after focusing on the north and western markets of the country, a top official of the company said here on Wednesday.
An exclusive branding and sales team has been set up for the expansion plan and the company has earmarked Rs 3 crore in the first phase for this purpose, said head of U Foods India Pvt Ltd (marketing and sales) Pradesh Lenka.
“Indian confectionery market is valued at Rs 14,000 crore (as per a study) in 2022 and India was the world’s fastest growing markets. Our products are being retailed in a phased manner. Starting from north and west, we are now targeting south,” he told reporters.
The official and top executives, including chief operating officer Adwait Pradhan, were here to unveil their popular brand “Yoli Yola.” Yoli Yola soft candies have been priced from Re 1 to Rs 300 while Lollipop range from Rs five to Rs 120 a stick. Yoli Yola chocolate balls have been priced from Rs 10 to Rs 75 and cup jellies at Rs five to Rs 300, he said.
Pradhan said the products were manufactured at its facility in Kundli, Haryana, for which Rs 100 crore has been invested. “Our plant have the relevant ISO certifications and follow stringent quality parameters. We have a well-equipped research and development laboratory where we constantly innovate,” he said.
“We have developed a robust distribution network to retail our multiple products to Indian consumers,” he said.
According to Lenka, the company’s products were being retailed in a phased manner. “Our initial response in this (southern) market bolstered our confidence and hope to expand and consolidate in South,” he said.
“We have built a strong distribution network across India and Yoli Yola is visible across 42,000 outlets to begin with…we have invested approximately Rs 3 crore in the first phase as our promotional budget,” he said.
The company was planning to add more products such as noodles and syrup-based products in the future, he said. PTI VIJ NVG NVG
