Adani Wilmar cashing in on reverse migration
Large-scale reverse migration has helped in driving growth of the rural market on which Adani Wilmar, the FMCG major, is trying to cash in on. Ajay Motwani, marketing head, Adani Wilmar, told FE that the demand for packaged food has increased both in rural and urban markets since more and more customers have started focusing on hygiene. This has come as an opportunity for branded product manufacturers since people at the present point of time are relying on branded options over loose unbranded options.
The company has been witnessing higher demand for smaller or consumer packs as compared to bulk packs because the hotels and restaurants, which are mainly the consumers of bulk packs, are yet to revive post lock down. In such a situation the company has been strengthening its presence in the ready to cook (RTC) category with the Fortune Soya Chunkies doing quite well.
“The fortune brand has been received very well in rural markets and for us growth in the rural markets is higher than in the urban markets,” Motwani said adding, spending in the rural markets have increased as there has been good monsoons directly impacting agricultural production. Moreover, “the large-scale reverse migration that we have witnessed from larger cities and towns” has stimulated the rural market’s growth. While the category is growing at 4.9%, the Fortune brand of products are growing at 3.1%.
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