LUCKNOW: Hoping to ride on its vast distributor network the 71 year old Gopal Coprco Ltd has now embarked into theFMCG sector, especially snacks items. GCL which is a well known name in the tobacco segment, aims to corner 2% of the Rs 12,000 crore snacks market with potato chips and other items.
Chairman, GCL, Gopal Gupta said that the group currently has a turnover of Rs 450 crores and is now aiming to derive a significant segment of its profits from the FMCG segment. He said that the snacks market was growing at about 25% annually and despite the presence of multinational FMCG companies in the segment it had scope for more new players.
He said that with their groups understanding of people's tastes and preferences, GCL would be able to carve out a significant portion of the snack market. Director GCL, Apoorv Gupta said they have conducted intensive market research to zero in on potato chips to enter the snacks market.
He said that they have invested Rs 50 crore for this venture and would look at setting up a manufacturing plant in Moradabad region as sales volume grows in the future. He said that the company is sourcing potato from mandi's in Moradabad region. He said that the products are being launched in UP, Delhi, Haryana and Punjab market to begin with and will roll out nationally in the next year.
Gupta said that they are also working on new products to increase their portfolio of products in the FMCG space. He said that local players have a better understanding of consumers choices and quicker decision making abilities which will give them an edge over large multinationals present in the segment.