|
You can get e-magazine links on WhatsApp. Click here
|
|
|
Balaji Wafers on expansion spree
|
Saturday, 09 September, 2006, 08 : 00 AM [IST]
|
Dhwani Pandya, Mumbai
|
potato chips and namkeen manufacturing company is planning to set up three new plants, two within the country and one in Europe to meet the increasing demand from foreign countries. The two plants in the country would be at Pune and Calcutta.
Balaji manufactures and supplies potato chips plus a variety of mixed fried snacks called namkeens to the populace in Gujarat. The company claims to have a presence in 90% of wafer market and 70% of namkeens Market in Gujarat. At present Balaji has six automatic plants to manufacture the entire product range.
This family-owned enterprise, now in its 20th year of operation, has 19 product lines to offer the snack hungry population in Gujarat, from potato chips to banana chips and even fried chickpeas with sautéed spices. It produces some 5 tonnes of these products per day (approximately 19,000 tonnes per year), raking in around US$15 million per year. Situated in Rajkot, the ethnic snack producer finds immense opportunity for the quality and branded snack items as a reflection of changing consumer preference towards packaged goods.
The range of products includes potato wafers in four flavours, banana wafers in two flavours, Chanadal, Mug Dal, Vatana, Tikha Mitha Mix, Khatta Mitha Mix, Aloo Sev, Ratlami Sev, Sing Bhujia, Farali Chevdo and Masala Sing (extruded snack) which are available in packs of 40 gms, 75 gms, 100 gms, and 200 gms.
The company has also developed sizeable market in Maharashtra (30%) and Rajasthan (10%). Chandubhai Virani, director, said: "Due to limited production capacity we still have not expanded to other states, but after our full set up we hope to gradually replicate the success of Gujrat throughout the country." The company is willing to install high production capacity units in the other states in near future as part of ongoing expansion plans.
In the year 2003, Balaji started a new factory of 25,000 sq m in Rajkot where they installed FMC Potato Processing Machinery (PPM) Chips Line, which can process nearly 5000 kg potatoes per hour to manufacture 1200 kg potato wafers per hour. In the presence of multinationals like Frito Lays, it becomes interesting to find out the reason for Balaji's success in Gujarat. Contemplating on this Virani said, "We stress on valuefor money and quality. Our diligence, personal attention and customer satisfaction are the key reasons for our success."
According to Virani, packaging is also a very crucial aspect that affect the margins and consumer preference in the snack industry. Balaji is now concentrating on providing healthier options for snack food. The company will soon provide low fat, low calorie snacks like roasted namkeens in unique flavours.
|
|
|
|
|
|
|