Digital-first packaged spices brand Zoff Foods has secured $2 million in fresh funding from JM Financial Private Equity, highlighting continued investor interest in direct-to-consumer (D2C) food brands.
This marks the second investment by JM Financial Private Equity in Asquare Foods and Beverages, which owns Zoff Foods. The firm had earlier invested ₹40 crore in August 2024.
Funding to Support Expansion
According to Akash Agrawalla, the latest funding will be used to strengthen the company’s ecommerce presence while also expanding its offline retail distribution network.
The investment reflects a broader trend of premiumisation in everyday food categories, including spices, as consumers increasingly shift toward branded and packaged products.
Building a National Spices Brand
Founded in 2018 in Raipur by brothers Akash and Ashish Agrawalla, Zoff Foods produces a range of ground, blended, and whole spices under its brand name “Zone of Fresh Foods.”
Investors see a major opportunity in the segment due to the lack of a dominant nationwide spices brand, as the category has historically been highly regional and fragmented.
Vinit Rai noted that consumer behaviour in the spices category is evolving rapidly, driven in part by the rise of quick commerce and increasing demand for premium packaged food products.
Rising Interest in Spices Brands
India’s spices market has also been witnessing increased consolidation activity. Large FMCG companies such as ITC Limited, Dabur, and Emami have recently acquired stakes in smaller regional spice brands to strengthen their presence in the competitive market.
Despite interest from larger corporations, Zoff Foods has indicated that it is not currently planning to sell a stake in the business.
A Rapidly Growing Market
According to projections by IMARC Group, the Indian spices market is expected to grow from ₹2.2 lakh crore in 2025 to ₹5.2 lakh crore by 2034, reflecting a compound annual growth rate (CAGR) of around 10.14 percent between 2026 and 2034.
The shift from unorganised loose spices to branded packaged products and ready-to-cook blends is expected to drive much of this growth.
Financial Performance
Zoff Foods reported ₹103 crore in revenue for FY25, up from ₹93 crore in FY24, according to filings with the Registrar of Companies.
With fresh funding and a growing focus on both online and offline distribution, the company aims to strengthen its position in India’s rapidly evolving packaged spices market.
