FMCG major Dabur India to kickstart fourth phase of added sugar reduction
Indian fast-moving consumer goods (FMCG) major Dabur India will work towards an average 3 per cent reduction in added sugars across two-thirds of its beverage portfolio, it said in its annual report.
In 2019, the company had adopted a phased reformulation approach to reduce sugar levels across its Real juice portfolio, and has “implemented three phases of sugar reduction in the top eight variants of juices by reducing a total of 20.95 per cent of added sugar.”
This equates to approximately 1,300 metric tons of reduced sugar consumption annually.
“In our Foods & Beverages division, we are committed to reducing sugar content in our products without compromising on taste or quality. This demonstrates our commitment to promoting healthier options for our consumers,” the report stated.
Talking about driving growth and deepening distribution, the maker of Hajmola candy plans to increase its rural footprint to 1.3 lakh villages by the end of FY25.
The company currently covers 1.22 lakh villages with over 7.9 million retail outlets across the country. Of this, the company has added two lakh outlets in FY24 itself.
Meanwhile, for the urban consumer cohort, it plans to expand its portfolio of premium offerings and look at entering adjacent categories.
“Our foundation for future growth is set, and we are now ready to pursue our growth strategies. We are optimistic of a gradual uptick in consumption trends over the course of the next year, considering predictions of a normal monsoon, improving macroeconomic indicators, continued government spending on infrastructure building, and lower inflation,” said Mohit Burman, chairman, Dabur India, in the report.
The company also said that it launched as many as 14 new products, in line with its strategy of expanding its premium portfolio and total addressable market.
“These launches marked Dabur’s entry into several large and growing categories like mosquito repellent liquid vapourisers, cooling hair oils, gel toothpastes, value-added tea, to name a few,” stated the report.
These accounted for 3.4 per cent of the company’s total sales during the year, it further said.
“Our digital-first brands have grossed a collective turnover of over Rs 100 crore,” Burman added.
The company also reported an improvement in market shares across 95 per cent of its portfolio, the report stated.
With the growth of quick-commerce, the company is putting in place strategies to capture the opportunities thrown up by this channel, it added.
In FY24, the company reported a net profit of Rs 1,843 crore and a revenue of Rs 12,404 crore.
First Published: Jul 11 2024 | 10:52 PM IST