NEW DELHI (CU)_Over the past couple of years, manufacturers of consumer goods in India, from cooking oil, to sweets and packaged snacks, saw a sharp decline in growth as a result of pandemic-induced restrictions during the Holi season. Now they are betting big on the upcoming pan-India spring festival this year to add a dash of much-needed colour to their businesses after two consecutive washouts in 2020 and 2021.
According to the manufacturers, as daily COVID infections continue to decline, states are easing restrictions on mobility and expanding business hours. As a result, sellers, including retail chains and online grocers, are placing 15 to 20 per cent higher order volumes in the run-up to the Holi week compared with the same time last year. Sales of packaged commodities, such as pulses, edible oils and atta already jumped by nearly 28 per cent during the first fortnight of February, while sales of packaged food also hiked by 18 per cent, as a result of improvements in out-of-home consumption, following easing of travel restrictions.
RS Sodhi, the managing director of Amul, the market leader in milk products in India, revealed that sales are already up in double digits this month for the dairy company compared to 2020. “This year, Holi and the summer will be a record for ice cream and beverage sales as more social events will be celebrated,” he added.
His views were echoed by the Executive Director of Bikanervala Foods, Manish Aggarwal, who said Holi is a great opportunity for growth in the packaged snacks and sweets category, with a significant jump in sales expected during the festive season. “We are strategizing it very well with respect to better logistics, supply chain management and marketing strategies,” he said. Piruz Khambatta, the chairman of instant beverages maker Rasna, noted that growth in business during the festival of colours also signals goods summer sales for manufacturers. “There will be growth over 2020 and 2021, but the challenge will be surpassing 2018 and 2019 numbers,” he noted.
