Zomato eyes B2B logistics service to enhance revenue streams amidst sluggish food delivery growth

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May 8, 2023

As the food delivery industry experiences a decline in growth after the pandemic peak, Zomato is said to be preparing to launch a B2B logistics service to bolster its revenue streams. Sources suggest that the service will transport food, pharmaceuticals, and other consumer goods for other e-commerce players.

According to insiders, Zomato has begun reaching out to potential customers such as smaller food and grocery aggregators, online pharmacy firms, and consumer brands over the last 30-45 days. Additionally, the company’s trial service has already expanded to several thousand daily deliveries.

“We are in the initial stages of discussion with Zomato. If we choose to go through with the integration, there will be a lot of alignment needed to be done in the next 30-60 days,” said a senior executive of an e-commerce aggregator that works with more than 10,000 restaurants.

“Zomato is not really offering a much different price point for the service as compared to other players in the market. Logistics is a commodity… What Zomato can offer to us is a great product which comes with a trained fleet, better delivery timelines. It won’t move the needle much for us from a cost-centre perspective,” he added.

According to an informed source, Zomato is reportedly providing a service at a price range of INR 10 to INR 15 per kilometer.

The company has refrained from making any official statements regarding the matter.

As per an internet sector analyst from a brokerage firm, this new service has the potential to revive Zomato’s revenue growth in a profitable manner.

“It improves your fleet utilisation and also reduces friction points with sellers. As it is a B2B service, you don’t own the customer anyway. So, it is easier for you to take your full cut…. Swiggy is also doing Minis which is a form of this service only where they have partnered with D2C brands. This also helps you build scale moats against any new player trying to disrupt the hyperlocal industry,” he said.

“It is better than logistics players like Dunzo and Shadowfax taking the delivery leg revenues… That way at least you get back at least some part of the revenue loss,” he added.

Taking a cue from its American counterpart, Doordash, Zomato is now diving into the B2B logistics service. Doordash, a prominent food delivery giant based in the US, had already paved the way with its own service called ‘Drive’ back in late 2016.

“With Drive, and as we continue to expand into other industry verticals beyond food, we expect to compete with large internet companies with substantial resources, users, and brand power, such as Amazon and Google,” Doordash said in its 2021 annual report.

The company derives its revenue from the Drive service by charging per-order fees to merchants who utilize its local logistics platform for arranging delivery services to fulfill demand generated through their own channels. Revenue from Drive is recognized when the consumer gains control over the merchant’s products.

Zomato’s search for growth:

Despite experts suggesting a slowdown in the growth of the food delivery sector, primarily confined to metro cities, Zomato has been actively testing and introducing several new services throughout the past year.

Zomato experienced a significant expansion in gross order value, reaching INR 5,500 crore, representing an 85 percent growth between Q3 FY21 and Q3 FY22. However, the growth rate tapered off in the subsequent period, resulting in a 21 percent growth between Q3 FY22 and Q3 FY23.

In February, Zomato introduced a new service targeting students and office-goers, offering affordable home-style meals. These meals are priced as low as INR 89 per serving (excluding delivery costs) and are available for breakfast (8 am-11:30 am) and lunch (11:30 am-3:30 pm).

The infrastructure for Zomato’s new service, called ‘Everyday,’ was developed on the foundation of their 10-minute food delivery service, which was tested last year but later put on hold due to limited demand.

In the previous year, Zomato introduced a food delivery service called ‘Legends,’ allowing customers to order from renowned restaurants located in different cities. Initially piloted without any usage restrictions, it is now exclusively available to customers who subscribe to Zomato’s newly-launched Gold subscription program.

In January of this year, Zomato relaunched its ‘Gold’ loyalty program, emphasizing food delivery, at an introductory price of Rs 149 for a three-month period. This revamped program not only offers discounts for food delivery but also allows users to avail discounts when dining at restaurants.

ITC Foods unveils Sunfeast Farmlite Super Millets Cookies as part of Mission Millet campaign

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May 8, 2023

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milletcookiesitc1 — Sunfeast Farmlite Super Millets Cookies, available in both Multi Millet and Choco-chip Multi Millet variants, are packaged in 75g packs and priced at INR 50 per pack.

ITC Foods has launched its first millet cookies under the Sunfeast Farmlite brand, in line with its core purpose of promoting better eating habits in India.

Millets have gained recognition from experts as the food of the future, not only for being climate-smart crops but also as superfoods backed by scientific research. Earlier this year, ITC Foods launched “ITC Mission Millet,” a dedicated initiative powered by a strategic three-pillar model to develop a portfolio of “good-for-you” products, promote sustainable farming systems, and enhance consumer awareness of the benefits of millets.

The introduction of Sunfeast Farmlite Super Millets Cookies coincides with the ITC Mission Millet program. These millet cookies, available in two flavors – Multi Millet and Choco-chip Multi Millet, are crafted from a mix of millets, such as ragi and jowar (sorghum), and do not contain any added maida.

Notably, these cookies provide essential nutrients such as iron, protein, and fiber. The Choco-chip Multi Millets variant, in particular, offers an added element of indulgence with the inclusion of choco-chips. Both variants have skillfully balanced taste and nutrition, making them an excellent snacking choice for consumers.

Commenting on the launch, Ali Harris Shere, COO, Biscuits and Cakes Cluster, ITC Foods Division said, “At ITC, we are committed to provide our consumers with nutritious and sustainable food choices. With Mission Millet, we have embarked on a journey to build a culture of millet consumption through an exciting range of ‘good for you’ product portfolio. The new millet cookies are an integral step towards that mission. With the goodness of millets and the unique flavours at the centre stage, we are sure that our consumers will enjoy this new range of biscuits. We believe that these millet cookies will not only satisfy the taste buds of our consumers but also have nutrients like protein and iron.”

ITC Foods has already introduced several millet-based products like Aashirvaad multi-millet mix, Aashirvaad ragi flour, and Aashirvaad gluten-free flour. Looking ahead, ITC Foods aims to broaden its millet-based product line by introducing a variety of delicious and nutritious options across numerous segments.

Sunfeast Farmlite Super Millets Cookies, available in both Multi Millet and Choco-chip Multi Millet variants, are packaged in 75g packs and priced at INR 50 per pack. These cookies are currently sold in retail stores located in major cities such as Mumbai, Pune, Ahmedabad, Delhi-NCR, Kolkata, Chennai, Coimbatore, Hyderabad, Bangalore, and Kerala. Furthermore, the product is expected to be available on various e-commerce and quick commerce platforms in the near future.

Make your mother feel special this Mother’s Day with Chowman’s exquisite Chinese cuisine

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May 8, 2023

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May 14th is no ordinary Sunday as it marks a special occasion to honor the embodiment of love and the most significant person in our lives – our mothers. This Mother’s Day, indulge her with a delectable Chinese feast from Chowman and spend quality time together, reminiscing cherished memories and strengthening the precious bond.

Chowman, the beloved Chinese restaurant of Kolkata and now Delhi, has prepared a special menu for mother-child duos to tantalize their taste buds and leave them wanting more. The specially curated meal deal for two offers an abundance of delicious options, including momos, mixed vegetables in white sauce, Kung Pao, Manchurian, fried rice, noodles, and much more. Chowman is ready to take foodie duos on a culinary adventure filled with Chinese delicacies. Please note that the meal deal for two is available only for delivery.

In addition, there’s an exclusive offer available only on the Chowman app. You can either receive a 10% discount on dining or up to INR 250 off on delivery when ordering from the A-la-carte menu.

Chowman was incepted as a young artist’s dream to bring authentic, traditional Chinese dishes onto the plates of the Bengalis. Meticulously conceptualised with warm lights and cosy ambience; Chowman is all about Chinese ethos, food and culture. Currently, Chowman has massively expanded with 19 outlets in Kolkata, 6 in Bangalore & 2 more in Delhi; with many more to come.

With numerous accolades received nationally, Chowman has made tie-ups with popular delivery outlets like Swiggy and Zomato and channelised its own delivery services with its exclusive Chowman app. Backed by a proficient team of managerial efficiency, and master-chefs acing knowledge of traditional Asian cooking, Chowman looks forward to bringing forth many more decennial ventures in the coming days.

Whether you choose to dine-in at Chowman or enjoy a meal at home, you can now order the ‘Meal for 2‘ exclusively through the Chowman app for some much-needed bonding time.

So, make this Mother’s Day memorable by treating your mother to a delightful Chinese meal from Chowman and create unforgettable moments together. You can find the full details below:

Where– Chowman, Delhi NCR (All Outlets)

When: May 14 (Sunday)

Meal for Two: Veg Combo- INR 999+ taxes, Non-Veg Combo-1199 + taxes

Offer: 10% off on dining or up to INR 250 on delivery of on a-la-carte menu (not applicable on meal)

Timing: 12 Noon – 10:30 PM

Helpline: 18008902150

MOTHER’S DAY MEAL FOR 2 (DELIVERY ONLY)

VEG- 999/- + taxes

Veg Momo
Veg Basil Fried Rice/ Veg Chilli Garlic Noodles/Veg Wok Tossed Hakka Noodles (Any Two)
Mixed Vegetables in White Sauce/Mixed Vegetable in Kung Pao Style/Veg Manchurian/Sweet & Sour – (Any Two)

Non-Veg- 1199/- + taxes

Chicken Momo
Chicken Basil Fried Rice/ Chicken Chilli Garlic Noodles/ Chicken Wok Tossed Hakka Noodles (Any Two)
Kung Pao/ Hot Garlic/Sweet & Sour/Manchurian Chicken – (Any Two)

Tata Starbucks ramps up expansion in India after impressive FY23 sales, launches new Indian-inspired menu

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May 8, 2023

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Tata Starbucks is stepping up its expansion plans in India after achieving a net sales of over INR 1,000 crore in FY23. To appeal to a wider range of customers and increase consumption diversity, the renowned coffee retailer is rolling out an Indian-influenced menu that includes popular items like masala chai and filter coffee across the country. As part of its growth strategy, Starbucks will also introduce the “Picco” – the first small cup size worldwide.

Sushant Dash, CEO, Tata Starbucks Pvt Ltd said, “We have been increasing the pace at which new stores are being launched over the last decade. It took us five years to open our first 100 stores and the next 100 were added within three and half years. Infact, out of the 340-odd stores, 120 were added in the last 24 months. So, we will continue to accelerate the expansion trajectory of the brand. It is not just about achieving numbers but about tapping the potential of the brand, with right kind of real estate opportuities enabling us to full justice to the brand.”

During FY23, the chain expanded its presence by opening 71 new restaurants and currently operates 341 stores across 43 cities. The company also recorded a net sales of INR 1,087 crore, a significant 71% increase compared to the previous fiscal year.

“To ensure profitable growth, we are sharpening our focus on adding new consumers to our fold. We also need to ensure that we cater to more consumption occasions. We are making certain changes in our strategy and launched a slew of products to offer more familiar beverages to consumers such as masala chai and filter coffee. We are also adding a new range of food products, which are bite-sized and shareable, to cater to family and group consumption occasions,” he added.

The coffee chain has introduced a range of new regionalized menu items, including filter coffee, masala chai, elaichi chai, and its signature milkshakes. Its shareable menu includes the Hazelnut Triangle, Chicken Puffin, Chocolate Eclairs, as well as a variety of freshly prepared sandwiches. Dash, the company’s spokesperson, stated that this move will not only attract new customers but also create new consumption opportunities for current patrons.

“Indian consumers are not used to consuming beverages in large sizes like other markets. That has been the insight behind the launch of the new cup size “Picco”, he explained. The national launch of the new menu offerings is being done post a pilot run done across Bengaluru, Bhopal, Gurugram, and Indore.

Responding to a query on the current macroeconomic conditions, Dash said, “Inflationary pressures remain and we have been managing that by making our supply chain more resilient. But consumers are back and spending. We have grown quite significantly last fiscal and our same-store growth numbers have been strong.”

Barista CEO eyes growth beyond non-metros, sees catching up for new players in Indian coffee market

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May 8, 2023

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Despite facing growing competition from new players and international chains, Barista, the coffee house chain, is pushing forward with its expansion plans, according to CEO Rajat Agarwal. The company is now looking to expand beyond metro cities to drive growth. As more and more coffee giants like Tim Hortons and Tata Starbucks, as well as local coffee startups like Blue Tokai, Sleepy Owl, and Rage Coffee, are investing heavily in India’s burgeoning coffee culture, Barista remains committed to staying ahead of the competition.

The CEO of Barista has acknowledged that new players in the coffee industry have a significant amount of catching up to do. This is because Barista, which is the second-largest integrated coffee house in India with a presence in more than 100 cities, is experiencing rapid growth.

The indigenous coffee chain, which recently launched its 350th store in India in Udaipur (Rajasthan), aims to further expand its reach by opening 500 stores within the next two years.

“Now that we are already 350th, we are much above or far in terms of our number of stores presence. We have already outgrown some of the newer brands which have just come in. There is a large level of catch up which has to be done. We are also growing at a certain rapid pace with about 60-70 outlets per year,” said Agrawal.

Barista, which was founded in 2000 and was one of the first brands to introduce the Italian coffee experience to India, has been operating successfully in metro cities for over 20 years. However, the company is now seeking growth opportunities beyond these areas.

In the last two to three years, Barista has observed a significant amount of “new growth” in non-metro areas.

“The way the infrastructure is getting developed in the country and the way people are travelling, now, even non-metros people are very educated about what they are consuming and a branded product is always an aspirational value so again there is a certain cheque size which you can command even in a non-metro city which about 10 years back was something alien to you,” Agrawal explained.

According to him, there is a significant difference between the average consumption of coffee in India compared to Western countries. He also mentioned that India’s coffee culture has only recently begun to take shape in the last six to seven years, which provides ample growth opportunities for all players in the market.

Agrawal informed that the average coffee consumption of an Indian is only around “100 grams” per year, while a person in Western countries consumes an average of “12 kg” per year.

“You see the catch up which India has to do to be even closer to some of the international market dynamics, that’s where we see the huge potential for all of us to grow and the industry to evolve in the near future,” he added.

Amidst inflation concerns, McDonald’s shifts focus to ‘value for money’ menu

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May 8, 2023

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Inflation is a cause of concern for many businesses, especially those that rely on serving consumers. However, quick-service restaurants (QSR) are a segment that is relatively shielded from the impact of inflation due to their pricing strategies.

Amit Jatia, the Vice-Chairman of Westlife Foodworld, which operates the McDonald’s chain of restaurants in western and southern India, acknowledges the challenges that inflation presents to the economy. Nonetheless, he also recognizes that the affordable pricing offered by QSRs can help mitigate the effects of inflation on this particular sector.

“When the informal eating space comes under pressure, the frequency of consumer purchases does come down sometimes but what we feel is that the fine dining category bears the bulk of the impact. The share of QSR goes up. We are the most ‘value for money’ option in the informal eating out space,” Jatia said.

Although there have been price increases of 3-5% in recent months, the manufacturer of fries and McAloo Tikki burgers has still managed to persuade customers to spend more money.

“That has been possible because of portfolio expansion strategy and offering of a wider choice of menu to customers. We now get incremental customer visits to the store for our coffee selection. And when they come for a cup of coffee, they also end up buying, say fries,” said Jatia.

Besides, consumers are seeking indulgence; “that’s a big shift,” said Jatia, adding that they are willing to spend even on slightly expensive items if they think them to be a value for money proposition. “Consumers are gorging on both Aloo Tikki burgers that can be available for as low as INR 50 and gourmet burgers that cost upwards of INR 200,” said Jatia.

Westlife Foodworld, the company behind the McDonald’s chain of restaurants in western and southern India, has announced plans to open 250-300 additional outlets over the next five years.

Uttar Pradesh’s excise department to revise policy for beer retailers following confusion over revenue targets

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May 8, 2023

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In order to clear up any confusion or uncertainty that beer retailers may have about their revenue targets, the excise department is planning to amend the policy it released on January 29. The department has submitted a proposal to the Uttar Pradesh government to set a monthly revenue target for beer retailers.

With the new system in place, beer shop retailers will be required to meet 40% of their revenue targets during the peak demand period of April, May, and June. Beginning on April 1 of this year, the excise department implemented monthly revenue targets for beer, country liquor, English wine, and premium liquor vendors for the first time.

Among the 29,523 liquor shops in Uttar Pradesh, 5,544 are specifically involved in the retail sale of beer.

The excise department’s policy stipulated that beer retailers were expected to achieve revenue targets of 7%, 10%, and 8% in April, May, and June, respectively. However, the department later increased the target for April to 14%.

Spokesperson of the UP liquor sellers welfare association Devesh Jaiswal said, “It has been three months from the time policy was introduced and monthly target was provided. Suddenly the target for April was increased by two times for April and for May and June too. To highlight the problems beer retailers issued a memorandum for the UP government on April 29.”

According to SK Mishra, the excise officer for the Lucknow district, beer retailers were provided with clear explanations on multiple occasions.

ONDC sparks price war, threatens Zomato and Swiggy dominance in food delivery space

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May 8, 2023

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A price war has been sparked in the Indian food delivery industry, as a new government-supported ecommerce delivery platform poses a threat to the long-standing duopoly of Zomato and Swiggy.

According to industry executives, if the Open Network for Digital Commerce (ONDC) can maintain aggressive pricing and profitability, it has the potential to become the biggest game-changer in the food delivery sector. The ONDC enables restaurants to sell their food directly to consumers via buyer apps.

“What is happening is a paradigm shift; it is about empowering merchants to choose their strategies on discounts and other parameters,” said T Koshy, Chief Executive of ONDC.

“It is also about empowering consumers to make their own choices,” he added.

ONDC ordering platforms like Paytm, Magicpin, and PhonePe are offering significant discounts ranging from 30-80% on popular brands like McDonald’s, Taco Bell, Behrouz Biryani, Wow Momo, Pizza Hut, and Cafe Coffee Day. In comparison, the same items cost consumers more on Swiggy and Zomato.

“The ONDC platform is definitely a journey towards profitability. But what’s happening now is a short-term discount war,” said Sagar Daryani, Vice President at industry body National Restaurants Association of India (NRAI), which represents over 500,000 restaurant brands.

According to industry executives, ONDC is currently not imposing any delivery fees on consumers and is charging less than half the commissions from restaurants as compared to the fees charged by established aggregators.

“All this differential pricing is due to the heavy discounts being funded by the ONDC system, or other players and platforms powered via ONDC,” Daryani, also Co-founder at Wow! Momo Foods, said.

The National Restaurant Association of India (NRAI) has recommended that single and multi-chain restaurant partners explore the ONDC platform as an alternative channel for better commercial opportunities. However, they have also cautioned that these partners should carefully consider the platform’s long-term sustainability before fully committing to it. Restaurant companies have expressed their eagerness to experiment with the platform as an additional channel to deliver to consumers.

“We are expeditiously working with ONDC and other stakeholders of the ecosystem to be available for our customers, and continue to serve customers with irresistible value,” said Rajeev Ranjan, Managing Director of McDonald’s India North and East.

The Open Network for Digital Commerce (ONDC) was launched by the Department for Promotion of Industry and Internal Trade (DPIIT) in late 2021. It provides consumer-facing enterprises with access to various technologies and solutions used by ecommerce platforms, such as listing, order management, and delivery.

The ONDC platform has launched in various cities after beta testing in 16 pin codes in Bengaluru. Consumers in these cities can now use the platform to order food and groceries.

Third-party last-mile service providers like Shadowfax, Dunzo, and Loadshare are being used for deliveries, and the restaurants are paying a fee depending on which platform’s apps (such as Paytm and Magicpin) they have tied up with.

According to an executive representing NRAI, while Swiggy and Zomato charge commissions ranging from 18% to 25% from restaurants, the ONDC platform’s commissions are significantly lower, at 8-10%. These savings on commissions can be passed on to consumers in the form of direct discounts.

ONDC has been able to save on customer acquisition costs by onboarding buyer-side apps such as Paytm, Magicpin, Meesho, and PhonePe, which already have millions of active users.

Magicpin, which is backed by Zomato, stated last week that it is fulfilling over 10,000 ONDC orders daily, a significant increase from just 1,000 orders two weeks prior.

Swiggy and Zomato have refused to provide any comments on the queries.

Both Swiggy and Zomato have a significant share of the online food delivery market, and their menus are easily discoverable on buyer-end apps.

According to a report by consulting firm Francorp, India’s food service market is projected to reach $79.65 billion by 2028, with an annual growth rate of 11.19% from $41.1 billion in 2022.

Daryani from NRAI stated that for ONDC to make a significant and sustainable difference for restaurants in the long run, it would be essential to expand its user base, maintain profitability, and rationalize commissions.

The timing of the emergence of ONDC coincides with Swiggy and Zomato’s struggle to deal with mounting losses.

Swiggy has recently discontinued its premium grocery delivery service, Handpicked, and has also implemented a flat platform fee of INR 2 per order.

According to executives, restaurant companies may find access to data on the ONDC platform appealing, as this has been a contentious issue between restaurant companies and aggregators, with the former claiming that Swiggy and Zomato conceal data.

The issue is presently being reviewed by the Competition Commission of India (CCI).

WestBridge Capital set to invest INR 800 Crore in Milky Mist, valuing the dairy brand at nearly INR 7,000 Crore

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May 8, 2023

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Milky Mist offers a range of products, including cottage cheese, yogurt, butter, and cheese, and procures approximately 600,000 litres of milk every day from 60,000 dairy farmers. (Representative Image)

WestBridge Capital, an investment fund with a focus on India that supports both private and public market companies, is reportedly in the final stages of closing a deal to acquire a minority stake in Milky Mist, a dairy products brand based in Tamil Nadu, according to three people familiar with the matter.

On the condition of anonymity, the same sources have revealed that the investment is expected to be approximately INR 800 crore, with a valuation of around INR 7,000 crore for Milky Mist Dairy Food.

“The negotiations which were on since last year are now through, and WestBridge is closing in on all the last bits of formalities. It has exclusivity on the deal, and in another few weeks, the financing will be made official,” said one of the people.

Earlier, Milky Mist had held discussions with private equity and venture capital firms to raise funds, but those discussions did not result in any fruitful outcome.

Milky Mist has not previously raised any institutional capital.

Growth-stage bet for WestBridge:

“We are exploring fundraising and are in talks with multiple companies but have not yet finalised any particular suitor,” said K Rathnam, Chief Executive Officer at Milky Mist.

An emailed query to Sandeep Singhal, the Managing Director at WestBridge Capital, has gone unanswered.

If the acquisition of Milky Mist goes through, it would represent a growth-oriented move for WestBridge Capital, which has previously backed companies like Dr. Lal Pathlabs, Five Star Finance, and Vini Cosmetics, the manufacturer of Fogg deodorant.

With around $8 billion in assets under management, the investment fund has recently increased its stake in Indigo Airlines by an additional 1.5%, taking its ownership in the Indian aviation market leader to over 3.3%. WestBridge has also been actively investing in private tech ventures in recent years, and its portfolio includes startups such as mobility firm Rapido, edtech companies PhysicsWallah, Lead School, Vedantu, and SaaS firm LeadSquared.

Milky Mist’s business:

Milky Mist, which is located near Erode in Tamil Nadu, was established by T Sathish Kumar over three decades ago and has since become a significant institutional player that serves hotels, restaurants, and caterers. The company offers a range of products, including cottage cheese, yogurt, butter, and cheese, and procures approximately 600,000 litres of milk every day from 60,000 dairy farmers.

In the last couple of years, dairy companies have been forced to increase their milk procurement prices to support farmers due to the escalation of cattle feed prices and transportation costs. This has coincided with an increase in labour and packaging costs, resulting in cost structures becoming more challenging for players in the industry, which has become a matter of concern across the sector.

According to the company, Milky Mist recorded sales of approximately INR 1,450 crore for the year ending March 31, 2023, which represents a surge of over 42% compared to the previous year. Its filings with the Registrar of Companies (RoC) indicate that the company reported sales of INR 1,012 crore and a net profit of INR 32 crore in FY22. While the company has not yet filed its FY23 results with the RoC.

Milky Mist is currently undertaking a capital expenditure of INR 634 crore to acquire ultra-heat treatment capabilities, which are required for the production of chocolates and ice cream.

According to industry experts, Milky Mist has maintained an operating profitability of roughly 15% over the previous three fiscal years, which is anticipated to keep its debt protection risk profile comfortable in the medium term.

“Further, it is expected to generate healthy cash accruals of more than INR 120 crore per annum over the medium term as against INR 67 crore and INR 85 crore repayment obligation in fiscal 2023 and 2024, respectively,” said a recent report by ratings firm Crisil.

According to the report, the company currently has a bank loan facility of INR 1,092 crore.

Rathnam said, “The debt is not very high given we have a strong bottom line with profit at over 15% of our sales.”

India’s dairy sector is valued at around INR 10 lakh crore and is growing at an annual rate of approximately 10-12%. Although India is the largest milk producer and consumer worldwide, the industry is highly fragmented, with only 15% of the market share belonging to organized players, mostly co-operatives. The largest player, Gujarat Cooperative Milk Marketing Federation, which sells products under the Amul brand, has a market share of less than 7%.

“It is not easy to expand nationally for dairy companies because the cost of distribution becomes very high beyond your core market … this eventually impacts profits. However, if a company is keen on entering other states, they need to invest large funds in setting up the back-end infrastructure and capacity,” said RS Sodhi, President at the Indian Dairy Association and former Managing Director of Amul.

Major corporations like Unilever, Britannia, and ITC have primarily focused on segments such as flavoured milk, cheese, or ice cream, making them minor players in the broader dairy market.

Britannia had been unsuccessful in expanding its dairy portfolio independently for several years. Last year, the company entered into a joint venture agreement with French firm Bel SA to manufacture and distribute cheese products.

Citrulline vs Citrulline Malate: Which is the best supplement for you?

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May 8, 2023

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Citrulline and citrulline malate are two popular supplements used by athletes and bodybuilders for their potential benefits in improving exercise performance, reducing muscle fatigue, and promoting muscle growth. While these two supplements are often used interchangeably, some differences between them may make one more suitable than the other for certain individuals.

In this article, we will explore the similarities and differences between citrulline and citrulline malate, their potential benefits, dosage recommendations, and possible side effects to help you decide which supplement is the best fit for your fitness goals and individual needs.

What is Citrulline?

Citrulline is a non-essential amino acid that is produced naturally in the body and can also be found in certain foods like watermelon, cucumbers, and pumpkins. It plays a crucial role in the urea cycle, which is responsible for removing ammonia from the body.

When citrulline is consumed as a supplement, it is converted to another amino acid called arginine in the kidneys. Arginine is then converted to nitric oxide (NO), which is a vasodilator that helps to widen blood vessels and increase blood flow to the muscles. This increased blood flow can improve nutrient and oxygen delivery to the muscles, which may enhance exercise performance and reduce fatigue.

What is Citrulline Malate?

Citrulline malate is a combination of citrulline and malic acid, which is a naturally occurring organic acid found in many fruits and vegetables. Malic acid is involved in the production of ATP, which is the primary energy source for the body.

Similar to citrulline, citrulline malate is also converted to arginine and then NO, which can improve blood flow and nutrient delivery to the muscles. Additionally, the malic acid in citrulline malate may help to reduce muscle fatigue by supporting ATP production and reducing the accumulation of lactic acid in the muscles.

Citrulline vs Citrulline Malate: Similarities and Differences

Citrulline and citrulline malate share many similarities in terms of their potential benefits and mechanisms of action. Both supplements are converted to arginine and then NO, which can improve blood flow and nutrient delivery to the muscles. They may also help to reduce muscle fatigue and promote muscle growth by supporting ATP production and reducing lactic acid accumulation.

The main difference between citrulline and citrulline malate is the addition of malic acid in the latter. While citrulline is solely focused on improving blood flow, citrulline malate also supports energy production and reduces muscle fatigue through its malic acid content. This may make citrulline malate a more effective supplement for those looking to improve both endurance and strength during their workouts.

Benefits of Citrulline and Citrulline Malate

Improved Exercise Performance:

One of the main benefits of citrulline and citrulline malate is their potential to improve exercise performance. By increasing blood flow and nutrient delivery to the muscles, these supplements may enhance endurance, strength, and overall exercise capacity. Additionally, citrulline malate’s malic acid content may help to reduce muscle fatigue and improve energy production, making it an effective supplement for high-intensity and endurance exercises.

Reduced Muscle Fatigue:

Both citrulline and citrulline malate may help to reduce muscle fatigue by supporting ATP production and reducing the accumulation of lactic acid in the muscles. This can lead to increased endurance and reduced muscle soreness, allowing for longer and more productive workouts.

Increased Muscle Growth:

Citrulline and citrulline malate may also promote muscle growth by increasing blood flow and nutrient delivery to the muscles, which can improve protein synthesis and muscle recovery. Additionally, the increased energy and reduced fatigue may allow for longer and more intense workouts, promoting muscle growth over time.

Dosage Recommendations:

The recommended dosage for citrulline and citrulline malate may vary depending on the individual’s fitness goals and needs. However, the generally recommended dosage ranges are:

Citrulline: 6-8 grams per day

Citrulline Malate: 6-8 grams per day (with a 2:1 ratio of citrulline to malate)

It is important to note that these dosages should be spread out throughout the day and taken with food to improve absorption. Additionally, it is recommended to start with a lower dosage and gradually increase it to avoid potential side effects.

Possible Side Effects:

Both citrulline and citrulline malate are generally considered safe and well-tolerated when taken within the recommended dosages. However, some individuals may experience mild side effects such as nausea, stomach discomfort, and diarrhea.

It is important to note that high dosages of citrulline and citrulline malate may lead to elevated levels of arginine in the blood, which may cause an increase in nitric oxide production and potentially result in side effects such as low blood pressure, headaches, and flushing. It is recommended to stay within the recommended dosages and consult with a healthcare professional before taking these supplements.

Citrulline and citrulline malate are two popular supplements used by athletes and bodybuilders for their potential benefits in improving exercise performance, reducing muscle fatigue, and promoting muscle growth. While they share many similarities, the addition of malic acid in citrulline malate may make it a more effective supplement for those looking to improve both endurance and strength during their workouts.

The recommended dosage ranges for both supplements are similar, and it is important to start with a lower dosage and gradually increase it to avoid potential side effects. It is also recommended to consult with a healthcare professional before taking these supplements, especially if you have any pre-existing medical conditions or are taking other medications.

Things to Remember:

Dosage: The recommended dosage for citrulline is 6-8 grams per day, while citrulline malate is typically taken in doses of 8-10 grams per day.
Absorption: Citrulline malate is believed to be more readily absorbed by the body than citrulline alone.
Timing: It is recommended to take citrulline or citrulline malate 30-60 minutes before exercise to maximize its benefits.
Interactions: Citrulline and citrulline malate may interact with certain medications, so it’s important to talk to your doctor before taking them.
Quality: Look for supplements that are certified by a reputable third-party organization to ensure quality and purity.
Individual Differences: Everyone’s body reacts differently to supplements, so it’s important to pay attention to how your body responds to citrulline or citrulline malate.
Benefits: Both citrulline and citrulline malate are known to improve athletic performance, reduce muscle fatigue, and increase blood flow.
Foods Rich in Citrulline vs Citrulline Malate: Citrulline is naturally found in watermelons, while citrulline malate is not found in any specific foods.

Both citrulline and citrulline malate have potential benefits in improving exercise performance and promoting muscle growth. However, choosing between the two may depend on individual needs and fitness goals. By understanding the similarities and differences between these two supplements, individuals can make an informed decision about which supplement is best suited for their needs.

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