Radikal Overseas targets Rs 1,000 cr revenue this fiscal

 MUMBAI: Premium basmati rice exporter and grower Radikal Overseas is eyeing 67 per cent revenue growth to about Rs 1,000 crore this fiscal.

"We are already among the top five companies in the category and are expecting a revenue of Rs 600 crore in FY13. Looking at the growth in demand for our brand we expect Rs 1,000 crore revenue this fiscal," Radical Overseas senior General Manager, Sales and Marketing, Uday Y Nayak told PTI.

The five variants of Radikal Rice - Aqua Mist Premium Basmati, Pristine Traditional Basmati, Apica Premium, Morvarid Premium Sella Basmati and Arctic Pink Basmati - are priced between Rs 111 and Rs 170 per kg.

Of the total revenue, up to 80 per cent comes from exports, while 20-25 per cent from the domestic market, he said, adding that in next couple of years, Radikal plans to have an equal contribution from its export and domestic market.

"At present, we export to over 50 countries with presence in all continents. We are targeting to add another 25 countries this financial year, besides strengthening existing destinations, especially in Africa," he said.

The company's largest export destination is the Middle- East and Iran.

On the domestic market, Nayak said the Radikal brand, currently present in all metro and big cities through retail outlets, will further penetrate into tier II and III cities.

"For this we are planning to double our distribution network and take it to 160 this year from the current 80. We are also planning to increase our presence to the mom & pop stores that drives 80 per cent of the sales," he said.

To back up its increased distribution, the company is planning to increase its milling capacity. "At present, we have a rice mill with 1.2 lakh tonne capacity annually in Garh Mukteshwar, Uttar Pradesh. We are setting up another 3.6 lakh tonne mill that will be operational by June this year to meet the increased distribution and will take the total capacity to 4.8 lakh tonne," he said.

The company is also mulling to strengthen its marketing presence by launching new range of food products.