• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Imported Food Market India
 

Imported Food Market India

on

  • 31,496 views

 

Statistics

Views

Total Views
31,496
Views on SlideShare
31,346
Embed Views
150

Actions

Likes
5
Downloads
1,178
Comments
3

6 Embeds 150

http://www.slideshare.net 116
http://www.e-presentations.us 26
http://siddheshwarkalge7.blogspot.in 4
http://www.brijj.com 2
http://siddheshwarkalge7.blogspot.com 1
http://www.health.medicbd.com 1

Accessibility

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel

13 of 3 previous next Post a comment

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
  • Very Interesting presentation, thank you for this! I am hoping to use some of your insights for a presentation I'm working on.
    Can I ask where you got your data from in sheets 7 +14? Is this all data from 2010?
    Are you sure you want to
    Your message goes here
    Processing…
  • well mail me on parag_sanghavi18@yahoo.com, i will mail u the full video @ nidhi
    Are you sure you want to
    Your message goes here
    Processing…
  • i m nt able to dwnload ds evn aftr bcmng member pls help?
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Imported Food Market India Imported Food Market India Presentation Transcript

    • Imported Food Market - India
    • INDEX
      • Overview
      • Retail in India
      • Indian Food Industry
      • Distribution Channel
      • Pricing
      • Labeling Norms
      • Food Laws
      • Documentation
      • Data Interpretation
      • Government Initiatives
      • Conclusion
    • Imported Food Market - India Overview Back to Index
    • India’s Economic Segment
      • Steady increase in GDP – 8.4 % in 2007 (forecast).
      • Across India ,the middle class (annual income of more
      • than US $ 1300) has grown to 200 – 250 million in 2007.
      • India’s Foreign Exchange reserves 222 Billion USD as on 31 st July ,2007.
      • Inflation Rate – 4.36 % (as on July ,2007)
      • Population below poverty line 25 %
      Back to Index
    • Drivers & Opportunities
      • Stability of Government.
      • Growth in the Indian Economy.
      • Product life cycles just beginning in a new market.
      • Growth in the Middle Class population due to advent of IT , Biotechnology and the Service sector.
      • Increasing middle class ability to afford higher value imported products.
      • Desire of Middle class to shop in organized retail outlets and purchase high quality , diverse and foreign branded products.
      • Existing effective distribution chain for shelf stable retail products.
      • Growth in the Organized Retail Industry.
      Back to Index
    • Imported Food Market - India Retail in India Back to Index
    • Overview of Retail
      • The total retail trade in India is estimated at around USD 210 billion.
      • 97% of this is accounted for by the 12mn traditional outlets (the unorganized sector) spread across the country.
      • One of the highest retail densities in the world at 6% (12 mn outlets for 209 million households)
      • Lowest per capita space in the world- 2ft per person.
      • Retail industry accounts for 35% of India’s GDP and employs 21 million people (which is 7% of entire workforce).
      Back to Index
    • Evolution of Retail Back to Index
    • Retail Formats Back to Index
    • Drivers of Change Back to Index
    • What’s Cooking
      • As per AT Kearney’s India ranks as the number one retail destination.
      • The Indian retail market is poised to grow at 30% compounded over the next five years.
      • Organized retail will account for 15 - 20% of this market as opposed to 3% today.
      • The number of malls from a current base of 70 operational malls is expected to swell to 500-600 by 2010.
      Back to Index
    • Imported Food Market - India Indian Food Industry Back to Index
    • Current Scenario
      • The Indian Food & Beverages industry is today valued at about USD 135 billion (65 % of total retail sales).
      • Most of this is sold through the 7.5 million outlets spread through the country.
      • Organized retail accounts for only 0.4% of the total F & B sales which is approximately USD 670 million.
      • Of this roughly 2.9% (USD 20 million) is imported F & B.
      • Food & Grocery accounts for 63% of the personal consumption expenditure of the average Indian.
      • Urban Indian spend up to 43% of their income on food with food consumption growing at an annual rate of 10%.
      • Supermarket culture is spreading at a very fast rate.
      Back to Index
    • Main Players Back to Index
    • Product Mix
      • Processed Foods & Beverages
      • Shelf Stable
      • Shelf Life- 6 months to 1 year
      • Price Stability
      • Attractive Packaging
      • Preferably smaller SKUs
      Back to Index
    • Status and Trends in the Imported Food Sector
      • Pasta products :
      • Increased awareness for Italian cuisine – pastas popular amongst vegetarians –current market size for imported pasta is 5200 tonnes with growth rate of 26%per annum – 10 pasta brands are available in the market - 2 largest selling pasta brands San Remo (125 Mt), Barilla (250-300 Mt)
      • Opportunity: Wheat pasta (good health alternative )
      • Sauces & dressings :
      • Sauces and dressings occupy considerable shelf space among imported food product line – mayonnaise, dressings, sauces, olives, jams, honey Mayonnaise: Kraft (Philippines) & Remia (Holland) are leading imported brands.
      • Salad dressings : Good presence in both normal and health food categories
      • Sauce : Tomato sauce most popular. Other sauces gaining popularity – chilli,soya, garlic, pasta, chinese. Remia (Holland), Barilla (Australia), Prego (US),Tabasco (US) are some of the imported brands
      • Honey : Market for imported honey growing at 150 % per annum. Wescobee honey (WA), Airborne honey (NZ) are popular imported brands.
      • Opportunity: Kraft & Remia lead the market in most sub-segments. Remia is competing with Kraft due to attractive pricing. Honey is an excellent opportunity
      Back to Index
    • Status and Trends in the Imported Food Sector
      • Dairy products :
      • Yoghurt : Pascuals (Spain) entered the Indian market 3 years ago and enjoys amonopoly. 2 local brands – Nestle & Viva – yet to establish themselves. 12-14 (40’ FCL) are imported annually.
      • Opportunity: 3-4 other yoghurt brands – in different flavors (mango,peach,strawberry, pineapple, passion fruit, thick and creamy flavors) and fat free varieties
      • Cheese : Currently, imported cheese has 5% market share in the overall cheese market in India, which is dominated by local brands – Amul & Le Bon. HappyCow (Austria), Laughing cow (France) and Kraft (Australia) are prominent selling imported brands.
      • Opportunity: Low fat cheese for health food category; Soft cheese
      • Olive Oil:
      • Olive oil is a luxury product when you compare it to other edible oils. In India, people know about olive oil as a medicine and a cosmetic; so they know about the good aspects of olive oil. But they don’t know too much about using it as a food ingredient. Opportunity: International Olive Oil Council (IOOC) estimate to see sales rise by at least 60 percent a year over the next few years from the current 200 tonnes.
    • Imported Food Market - India Distribution Channel Back to Index
    • Distribution Channel for Imported Food Items Imported food ingredient suppliers can access the Indian market in three ways: (a) supply directly to local food processors; (b) supply through local agents/distributors to local food processors; or (c) start production/distribution centers in India. Back to Index
    • Imported Food Market - India Pricing Back to Index
    • Pricing of Imported Food Products Back to Index
    • Imported Food Market - India Labelling Norms Back to Index
    • Labeling Norms
      • In the case of imported packaged food, all declarations may be :
      • 1) Printed on a label securely affixed to the package or
      • 2) Made on an additional wrapper containing the imported package or
      • 3) Printed on the package itself or
      • 4) Made on a card or tape affixed firmly to the package or container and bearing the required information. Labels must be printed in English or Hindi (Devnagari script). The responsibility for labeling lies with the importer, and should be done before products are presented for custom clearance.
      Back to Index
    • Labeling Norms
      • All packaged commodities imported into India should carry the following declarations:
      • Name and address of the importer.
      • Generic or common name of the commodity packed.
      • Net quantity using standard units of weights and measures. If the net quantity of the imported package is given in any other unit, its equivalent terms of standard units shall be declared by the importer.
      • Month and year of packaging in which the commodity was manufactured packed, or imported.
      • The MRP at which the commodity in packaged form may be sold to the ultimate consumer. This price shall include all taxes, local or otherwise, freight, transport charges, commission payable to dealers, and all charges towards advertising, delivery, packing, forwarding
      Back to Index
    • Labeling Norms
      • PACKAGING AND CONTAINER REQUIREMENTS
      • All weights or measures are to be reported in metric units. Certain commodities can only be packed in specified quantities (weight, measure, or number). These include baby food, weaning food, biscuits, bread, butter, coffee, tea, vegetable oils, milk powder, and wheat and rice flour. The use of materials such as Polyvinyl Chloride (PVC) is not allowed for packaging in most cities.
      • Requirements Specific to Nutritional Labeling
      • Implied nutritional and health claims are allowed on food products, and there are no statutory nutritional requirements. Manufactured and imported food claiming to be enriched with nutrients such as minerals, proteins, or vitamins, should indicate quantities of such added nutrients on the label.
      Back to Index
    • Imported Food Market - India Food Laws
    • Food Laws
      • Prevention of Food Adulteration Act (PFA) 1954 and the PFA Rules of 1955 :
      • The law to protect India against impure, unsafe, and fraudulently-labeled foods is the Prevention of Food Adulteration Act (PFA) of 1954 with the PFA Rules of 1955 , as amended from time to time. PFA standards and regulations apply equally to domestic and imported products. The PFA covers various aspects of food processing and distribution, such as food color, preservatives, pesticide residues, packaging and labeling, and regulation of sales. The PFA Act and Rules, and recent notifications are available at : http://mohfw.nic.in/pfa.htm .
      • The Standards of Weights and Measures Act, 1976, and the Standards of Weights and Measures (Packaged Commodities) Rule, 1977:
      • These legislative measures are designed to establish fair trade practices with respect to packaged commodities. The rules aim to ensure that the basic rights of consumers regarding vital information about the nature of the commodity, the name and address of the manufacturer, the net quantity, date of manufacture, and maximum sale price are provided on the label .
      • The entire text of the Standards of Weights and Measures Act, 1976, and the Standards of Weights and Measures (Packaged Commodities) Rule, 1977, and related notifications, can be accessed from: http://fcamin.nic.in/wm_ind.htm . Importers of packaged food products must adhere to these acts, including labeling the product. The name and address of the importer, the net quantity, date of manufacture, best-before date, and maximum sales price must be included on the label.
    • Food Laws
      • Meat Food Products Order, 1992
      • This order administers the permissible quantity of heavy metals, preservatives, and insecticide residues for meat products. The Directorate of Marketing and Inspection, Ministry of Agriculture, is the regulatory authority. This order is equally applicable to domestic processors and importers of meat products. However, its implementation is weak, due to unorganized production in the domestic market and few subject imports. For details, see: http://agma rknet.nic.in/mfpo1973.htm
      • Livestock Importation Act, 1898
      • Under the Livestock Importation Act, 1898, the government established procedures for the importation of livestock and related products to India, which are implemented by the Department of Animal Husbandry and Dairying, Ministry of Agriculture. These proceduresare available at: http://dahd.nic.in/order/livestockimport.doc
      • Milk and Milk Products Order, 1992
      • This order regulates the production, distribution, and supply of milk products; establishes sanitary requirements for dairies, machinery, and premises; and sets quality control standards for milk and milk products. Standards specified in the order also apply to imported products. The Department of Animal Husbandry and Dairying, Ministry of Agriculture, is the regulatory authority. For details see: ttp://dahd.nic.in/order/mmpo.doc
    • Imported Food Market - India Documentation
    • Import Documentation
      • Importers must furnish an import declaration in the prescribed Bill of Entry format, disclosing the value of the imported goods. This must be accompanied by any import licenses and phytosanitary certificates (in case of agricultural commodities), along with documentation such as sales invoices and freight and insurance certificates. All consignments are required to be inspected prior to clearance. In the current Customs setup, appointing a clearing agent avoids delays.
      • The clearance of imported food products at the port of entry requires a certification from the port health authority that the product conforms to the standards and regulations of the PFA .However, certification is based mostly on visual inspection and records of past imports, as most ports have very limited testing facilities. Consequently, importers of new products can sometimes face undue delays in clearing their products. The custom clearance period may last between one day and one month, depending on the product and experience of the importer. In case of a dispute or rejection of the consignment, the importer can file an appeal at the Customs office at the port of entry.
    • Imported Food Market - India Data Interpretation
    • Pasta Imports in India
      • Pasta imports reached US $ 5.5 m in 2005-06
      • According to official data Pasta imports is mainly from European countries mainly Italy.The above graph indicates the total import of Pasta from Europe
      • (Source – Eurostat)
    • Pasta Imports in India
      • Many variants of Pasta are being imported into India .Based on this premise the details pertaining to the HS Code and Product types are given below:
            Cooked or Otherwise prepared (Excluding stuffed or dried pasta) Cooked Pasta 19023090 Prepared Pasta(Excluding Stuffed) Dried 19023010 Neither stuffed nor otherwise prepared containing Common Wheat meal or flour(Excluding eggs) Uncooked Pasta 19021990 Common wheat flour or meal containing eggs Uncooked Pasta 19021919 Unprepared Containing only Durum Wheat ,Flour or Meal Uncooked Pasta 19021911 Neither stuffed nor otherwise prepared(Excluding Common Wheat Meal , Flour and Eggs) Uncooked Pasta 19021910 Not stuffed ,not prepared ,not containing eggs Uncooked Pasta 19021900 (UNPREPARED) (EXCL. 1902.11-10) Uncooked Pasta containing Eggs 19021190 Nether stuffed or otherwise prepared Uncooked Pasta containing Eggs 19021110 Not Stuffed or otherwise prepared containing Eggs Uncooked Pasta 19021100 Sub Type Type Product Code
    • Pasta Imports in India As can be seen from the historical data , 19021910 ( Uncooked Pasta, Neither Stuffed nor otherwise prepared excluding wheat meal, flour and eggs) is most preferred variety of Pasta for Indian importers. It is closely followed by 19021990 (Uncooked Pasta ,Neither stuffed nor otherwise prepared containing Common Wheat Meal or Flour but excluding eggs. Pasta Category wise Imports Jan - Dec ,2005 0.336 36.496 10.696 4.756 0 5 10 15 20 25 30 35 40 19021100 19021910 19021990 19023090 Pasta Types Containers
    • Pasta Imports in India
      • As seen in the earlier graphs Uncooked Pasta excluding common wheat meal ,flour and eggs is the most imported variant. The graph below shows the imports of this variant in India.
      • In Jan- Dec,2005 the value of total importation of Uncooked Pasta excluding common wheat meal ,flour and eggs is Euro 602278 while in Jan – Dec ,2006 it is Euro 796000.
    • Olive Oil Imports
      • According to official data from Akshay Exim Info , Olive oil is being mainly imported from Spain and Italy.
      • Major Hurdles:
      • The first is the high customs fee of around 50 percent. This does not make any sense because India is not protecting any local producers.
      • The second is the quantities involved. When you import small quantities, the price is obviously higher. The more you import, the better and better the prices get.
      • Thus, while the average price for the best quality of refined olive oil in Europe is 3.5 euros a kilo, it is double or triple of that in India.
      • The current market of details pertaining to the HS code and product sub types which are being imported are as follows:
      FIGARO OLIVE OIL(EDIBLE) 12 X 250 ML EXTRA VIRGIN BOTTLES,   FIGARO OLIVE OIL(EDIBLE) 6 X 500 ML EXTRA VIRGIN BOTTLES,   12X1/4LTR EXTRA VIRGIN OLIVE OIL 15091000 FIGARO OLIVE OIL(EDIBLE) 48 X 200 ML TINS, 15099010 Type Product Code
    • Olive Oil Imports As can be seen from the above graph, 15091000 (Figaro Olive Oil 500ml and 250 ml is the product variant which is being imported in large quantities.
    • Olive Oil Imports
      • India is focus of 1-mn euro campaign to promote olive oil, A Madrid-based inter-governmental organization is to spend a million euros (Rs.58 million) in a three-year campaign to ramp up olive oil sales in India by pointing to its culinary and health benefits.
      • Of this, 500,000 euros will be spent between May and December on a series of events involving the media, the hospitality industry and schools, with the International Olive Oil Council (IOOC) hoping to see sales rise by at least 60 percent a year over the next few years from the current figures.
      • The Madrid based organization is going to conduct a lot of food festivals and also start an awareness campaign targeting the health benefits of Olive Oil.
    • Baked Beans Import
      • There are different variants of Baked Beans coming into India , the details pertaining to the HS code and product sub types is as follows:
      HIEZ BAKED BEAN (24X415 GM) (FOOD ITEM) 21069099 BAKED BEANS (1X12X450G) UAE, 21039030 BAKED BEANS (1X24X430G) UK, 21039020 BAKED BEANS AYAM BAKED BEANS,LIGHT 48/230G 20055100 HEINZ BAKED BEANS IN TOMATO SAUCE (12PCS X 420GMS), 20051000 BAKED BEANS 24*415G 20049000 HEINZ BAKED BEANS (1X24X425GM) UK, 18069010 WR BAKED BEANS IN TOMATO SAUCE 19062 420G 7119090 WR BAKED BEANS IN TOMATO SAUCE 7102900 BAKED BEANS 24X415GM, 7102200 Product Type Product Code
    • Baked Beans Import In India for the period June 2006 to July 2007 the total importation of Baked Beans is 8 containers. From the graph it can be clearly seen that 20055100 (HEINZ BAKED BEANS 24 x 415 g) and 20051000 (HEINZ BAKED BEANS IN TOMATO SAUCE 12 X 420 g) are the most imported Baked Bean variant. 20051000 (HEINZ BAKED BEANS IN TOMATO SAUCE 12 X 420 g) is being imported from South Africa . 20055100 (HEINZ BAKED BEANS 24 x 415 g) is being imported from UK as well as Singapore. If we take the total imports figure it can be seen that bulk of the stocks are coming from South Africa,UK and Singapore. But at the same time, UAE is also a major source at periodic intervals. AYAM BAKED BEANS 24x425 g is also being imported from USA.
    • Sweet Corn Import
      • The HS Code and product sub types of Sweet corn are as follows:
      6/A10 CANNED SWEET KERNEL CORN IN BRINE(1CTN X 17.,7KGS)   CANNED SWEET KERNEL CORN 24TIN X 340GR.   "KANGAROO" BRAND SWEET CORN KERNEL 24X425 GMS FLIP OPEN CA 20058000 "SONG'E" BRAND -CANNED SWEET KERNEL CORN (12 OZ,X 24 TINS) 7114000 GOLDEN SWEET KERNAL CORN (425 GMS*24 PCS/CTN)   24/150Z SWEET CORN KERNELS IN BRINE "CANZ" BRAND, 7104000 Product Type Product Code
    • Sweet Corn Import
      • As can be seen in the Diagram, the total import of Sweet corn is around 12 containers .
      • Most of the Indian players are importing Sweet Corn from Thailand. Some quantities of Sweet corn are also coming from USA and Australia.
      • 07104000 (Sweet Corn Kernel in Brine) is the highest in terms of demand.
    • Imported Food Market - India Government Initiatives
    • Government Initiatives for Imported Food Market
      • Food Parks:
      • In a bid to boost the food sector, the Government is working on agrizones and the concept of mega food parks. Twenty such mega parks will come up across the country in various cities to attract Foreign Direct Investment (FDI) in the food processing sector. The Government approved 105 proposals between January 2002 and May 2005 from foreign industrialists to set up food processing industries in India involving 107 million euros. The ministry has released a total assistance of 17 million euros to implement the Food Parks Scheme. It has so far approved 50 food parks for assistance across the country. The Centre also plans 16 million euros subsidy for mega food processing parks.
      • Food Law:
      • The Government is also moving towards introducing an integrated food law, which is expected to help meet the requirements of international trade and make the Indian food industry competitive in the global market. To harness the value-creating potential of agro processing, superior market mechanism and infrastructure are required to be created. State governments have already begun to actively encourage the creation of aggregators by encouraging companies to engage in agriculture marketing. It is believed that this may provide the basis to jumpstart private investment into cold chain and other supply chain infrastructure.
    • Imported Food Market - India Conclusion
    • Conclusion
      • The report is mainly highlighting the historical figures of Imported food Items. But if we take in consideration the pace with which the Indian Retail industry is booming, the current rise in the income levels then definitely the market size is much bigger and constantly growing The most important factor which has to be noted is that in this booming market needs a importer who can supply good quality products CONSISTENTLY. This is a major cause of worry for retailers who want to tap the demand for Imported food items.
      • If we compare the Eurostat figures with the figures provided to us by local agencies, we observed a lot of discrepancies. This surely highlights the possibility of under invoicing etc., hence a thorough study of the market estimates has to be done in an more in-depth manner.
      • Of course ,there is a demand which is now dormant because of non availability and inconsistent supply of good quality Brands across food categories. Also ,one thing which is very much lacking is the awareness level among customers about food items like Pasta , Olive Oil etc.
      • We as a company can really reap benefits in this growing imported food item market as we have the experience and know how of this business model , which is very much dependant upon the SOURCE from where we buy the food category across the world.
      • As it can be seen from the inferences in the report that Pasta is mainly coming from Italy, Olive oil from Spain and Italy and Sweet corn from Thailand . We as a company already have strong base in this region .