Elixiir Foods has secured $9 million in seed capital as it prepares to enter India’s organised premium grocery space with a tech focused, omnichannel retail format. The round was led by 3one4 Capital with participation from Incubate Fund Asia. The NCR based startup plans to roll out its first neighbourhood store in Gurugram, followed by launches across Delhi and Noida. The company aims to open 10 to 12 outlets in the region by FY27.
Founded by Arvind Mediratta and Ambuj Narayan, Elixiir Foods is positioning itself as an affordable premium grocery destination spanning fresh produce, dairy, meat, staples, bakery, ready to eat meals and health oriented products. Each store will be supported by a digital layer promising one to two hour delivery, while also housing a central kitchen, bakery and café to drive daily footfalls.
The company is entering a market where India’s overall food and grocery spending is estimated between $900 billion and $1 trillion. Within this, the premium and health first segment is pegged at $50 to $100 billion, driven by rising urban incomes and growing demand for quality food and traceable sourcing.
Elixiir is betting heavily on supply chain ownership. The company plans to invest in direct farm sourcing, sorting and grading facilities and commodity processing centres, with no intermediaries in between. Private labels are expected to account for nearly half of the initial product mix, covering essentials such as atta, spices, oils and packaged foods.
The fresh funding will be used to set up the first cluster of stores, build the wholesale and distribution backbone, and develop the core technology stack that will support inventory management, sourcing and last mile fulfilment. After establishing scale in NCR, the company plans to expand into Bengaluru, Mumbai, Pune and Hyderabad, focusing on building dense city networks before moving to new markets.
