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May 21, 2019

Nestle enters organic food market in India

Food giant Nestlé has launched an organic food offering in India as it seeks to tap into consumer-led trends.

By Leonie Barrie

Food giant Nestlé has launched an organic food offering in India as it seeks to tap into consumer-led trends.

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What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
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The Switzerland-based company confirmed the move to just-food, saying it is “in line with our vision to provide exciting options rooted in nutrition, health and wellness”.

Nestlé is launching organic food products under the brand Ceregrow, with the first product offering a children’s cereal made from 100% organic ragi, wheat, milk and rice. 

The product is being manufactured at the company’s Samalkha factory in Haryana. 

Other organic launches are set to follow.

A spokesperson for Nestlé’s business in India said: “We are committed to maintaining the highest quality standards and our multiple quality checks ensure that we meet the unique requirements of organic food.”

Suresh Narayanan, chairman and managing director of Nestlé’s India division, said: “We are working with farms with expertise in organic farming capabilities in Rajasthan, Andhra Pradesh and Karnataka, to procure organic raw materials. Now that we have built expertise in terms of sourcing and procurement, we will look at expanding our organic food portfolio.”

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Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

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