Fueled by a remarkable 7.5% surge in consumption growth, the FMCG sector experienced a substantial 12.2% increase in value during the June quarter, marking the highest growth rate observed in the past eight quarters.
The growth exceeds the previous quarter by 2 percentage points and surpasses the corresponding period from the previous year by 1.3 percentage points, as indicated by NIQ’s (formerly NielsenIQ) FMCG overview. During the quarter, volume growth of 7.5% has outpaced price growth of 4.4%. In the preceding March quarter, volume growth was merely half (3.1%) of the price growth (6.9%).
The rural market’s growth rate surged to 4% during the June quarter, a significant improvement compared to the 0.3% growth recorded in the March quarter. Before this, the rural market had been experiencing a decline. Urban markets, on the other hand, maintain a faster growth pace than rural areas. The growth momentum in urban markets experienced a substantial boost during the June quarter, expanding by 10.2%, whereas it had grown by 5.3% in the March quarter.
NIQ India MD Satish Pillai said, “The softening of India’s inflationary rate and decline in food inflation is good news for the industry. This has led to confidence in spending reflected in retail channels across the country that are growing.”
The decrease in price growth, primarily influenced by the food categories, has yielded a favorable effect on consumers and is expected to be replicated as we approach the festive season.
NIQ lead (customer success), Roosevelt D’Souza, said, “Recovery in rural markets which was in the negative territory for the last few quarters, is primarily driven by non-foods. This, combined with a 21%+ growth in modern trade, augers well for the festive seasons.”
“At this stage, it is important to focus on the right assortment and pack sizes of products. The reduction in input costs, if continued to being passed on to consumers, will only increase consumption benefitting manufacturers, retailers and consumers,” D’Souza added.
L-R: Rahul Singh, Co-Founder of EcoSoul Home Inc., Bhumi Pednekar, brand ambassador for EcoSoul Home Inc. and Priyanka Aeron, India Managing Director and Head of global HR & tech at EcoSoul Home Inc.
EcoSoul Home Inc., a prominent name in eco-friendly products, is excited to unveil its latest collaboration with the esteemed actor and environmental advocate, Bhumi Pednekar. Serving as their esteemed brand ambassador, Bhumi Pednekar’s partnership with EcoSoul Home echoes the company’s steadfast dedication to nurturing sustainable lifestyles and promoting eco-conscious alternatives derived from renewable sources. This partnership marks a significant stride in elevating environmental consciousness and fostering a culture of mindful consumer choices.
Bhumi Pednekar holds a revered position within the climate action sphere, praised for her unwavering dedication to environmental initiatives and her efforts in championing sustainable lifestyle choices. Through her collaboration with EcoSoul, she aims to amplify her advocacy for mindful consumption and emphasize the importance of choosing eco-friendly alternatives over single-use plastics.
Rahul Singh, Co-Founder of EcoSoul Home Inc., said, “We take immense pride in embarking on this transformative journey alongside Bhumi Pednekar, who joins us as our brand ambassador. As a passionate proponent of environmental sustainability and the National Advocate for Sustainable Development Goals (SDGs) for the United Nations Development Programme, Bhumi’s resolute dedication to driving positive change seamlessly aligns with EcoSoul Home’s mission. Her influential voice and dynamic social media engagement, where she highlights critical topics such as climate change, sustainability, SDGs, and plastic pollution, will undoubtedly galvanize individuals globally to embrace eco-conscious choices and take meaningful steps for our planet.”
“With Bhumi’s endorsement, we are well-positioned to expedite the global embrace of sustainable products, fostering a formidable movement toward a greener, more robust, and sustainable future, thereby leaving a profound legacy for generations to come,” he added.
Bhumi Pednekar, renowned for her exemplary commitment to sustainable living, expressed, “It is an honor to associate with EcoSoul Home as their brand ambassador. Together, we can empower individuals to make conscientious decisions that contribute to a healthier planet. By endorsing EcoSoul’s products, we aim to influence a shift in consumer behavior and encourage businesses to adopt sustainable alternatives. The range of eco-friendly and compostable offerings by EcoSoul Home resonates perfectly with my values, and I am excited to be part of this impactful journey.”
EcoSoul Home’s wide range of environmentally friendly products has already gained acclaim in various countries including the USA, Canada, UK, Germany, UAE, India, China, and Vietnam. With Bhumi Pednekar on board, this partnership is poised to magnify the sustainability message on a global level, elevating worldwide environmental consciousness and inspiring responsible decisions across the globe.
Niblerzz, a well-known and respected confectionery brand in India’s retail sector, has joined forces with Viacom18 Consumer Products in an exciting venture. Together, they are unveiling a novel product known as Paw Patrol Lollipops. This inventive creation showcases the beloved characters from the immensely popular Paw Patrol cartoon series, a prominent feature on Nick Jr. These lollipops, a much-loved confectionery choice, represent a groundbreaking partnership between the renowned children’s show and a local brand. The goal is to provide a confectionery treat with a clean-label approach, tailored to delight the discerning Indian market.
The beloved animated show, Paw Patrol, which chronicles the daring escapades of Ryder and his intrepid canine squad as they tackle missions in Adventure Bay, harmoniously aligns with Niblerzz’s dedication to transforming the world of candies and sweets. Niblerzz is steadfastly engaged in a quest to eradicate sugar from their offerings, guaranteeing their products retain their purely natural essence.
Co-Founders of Niblerzz, Sandhya Seshadri, and Aashnee Gajaria, shared their motivation for this creative venture. They expressed that many parents had expressed a desire for a clean lollipop option, one that could captivate their children for a brief period while granting them a much-needed break. Simultaneously, parents are increasingly seeking healthier candy and confectionery alternatives, recognizing the challenges of evading candies altogether due to children’s insistent demands. The co-founders elaborated on this trend stated, “Today’s parents actively seek ‘better for you’ options devoid of refined sugar and packed with natural goodness for their children, knowing the perils of sugar in terms of hyperactivity, sleep disturbances, learning issues, emotional well-being, and even diabetes. Additionally, children exhibit allergies to artificial flavors and colors. As clean alternatives are scarce in the Indian market, parents usually resort to purchasing such products while traveling abroad or requesting friends and family to bring them.”
The partnership with Paw Patrol highlights Niblerzz’s unique position as India’s exclusive 100 percent clean candy and confectionery brand, particularly in the realm of lollipops. This collaboration effectively addresses a significant consumer need, as evidenced by the Paw Patrol team’s deliberate choice to unite with Niblerzz.
Sachin Puntambekar, Business Head of Vicom18 Consumer Products, shared the company’s perspective on the partnership, “We always strive to stay at the forefront of innovation through partnerships that resonate with consumer preferences. Paw Patrol holds a special place in the hearts of its audience, and we are delighted to present it to young fans in a novel and enjoyable form.”
The Paw Patrol Niblerzz Lollipops will be available in two different options – a trial bag containing six lollipops, and a share bag containing fifteen. Both bags will offer a variety of three tempting flavors: Strawberry, Watermelon, and Apple, providing everyone the opportunity to enjoy guilt-free indulgence.
Accessible through Niblerzz’s direct-to-consumer website and diverse online platforms such as Amazon, Swiggy Mini, and Big Basket, the Paw Patrol Niblerzz Lollipops will also be readily available at physical retail outlets. The packaging will prominently feature the Paw Patrol characters, while children will also be delighted to discover 22 captivating Paw Patrol collectibles alongside their lollipops.
Beyond the innovative Lollipop selection, Niblerzz offers a diverse product range that includes other wholesome candy options such as Real Fruit Gummies available in Orange, Mango, and Mixed Fruit flavors, along with Chocolate Peanut Butter Cups.
Pradeep, Founder & CEO Farmers Fresh Zone and other selected startups with Stefanous Fotiou - Director, Office of Sustainable Development Goals at FAO
Farmers Fresh Zone (Farmers FZ), a startup headquartered in Kochi, was chosen as one of the twelve agri-food startups from around the globe by the United Nations’ Food and Agriculture Organization.
In a historic event, the United Nations hosted the inaugural SDG Agrifood Accelerator Programme, where Farmer’s Fresh Zone distinguished itself through its innovative framework and adaptable practices that can be implemented anywhere in the world.
Among the panel discussions held during the event, Farmers Fresh Zone was among the trio of startups selected to participate. While six startups were invited to showcase their distinctive Sustainable Development Goals (SDGs), a total of twelve were chosen to be part of the program.
Sharing more details, Pradeep P S, Chief Executive Officer, AgriTech D2C & FAAS (Farm to fork as SaaS), said, “India is the second largest country in agriculture production and we, at Farmers Fresh Zone, are super proud to represent as the only one from India at a global forum. The event was at Rome, Italy aiming to attain the UN sustainable development goals. Being recognized as a leader of sustainability in the agriculture sector is no mere feat. I am extremely elated that our sincere thoughts and efforts to bring down carbon emissions have garnered attention. We presented our model before an august audience in the event. Participation at UN function in Rome also opened roads to network with global names in this sector.”
Through this initiative, Farmers FZ will be granted funds and resources to implement essential adaptations tailored to each market, thereby facilitating an expansion of their outreach and the globalization of their business. The accelerator’s assistance encompasses financial preparedness, innovation capabilities, and market expansion. The primary aim of the program is to support agrifood startups in their growth endeavors while aligning with the United Nations’ Sustainable Development Goals. The business model of Farmers Fresh Zone significantly contributes to SDG 1, SDG 2, SDG 12, and other relevant goals.
Farmers FZ embarked on its journey by bridging the divide between rural farmers and urban consumers, accomplishing this by delivering wholesome, premium-quality, and safe-to-consume vegetables directly from the fields to the dining table within a single day. Drawing from six years of profound insight into the agricultural sector, the startup introduced a new vertical that facilitates seamless operations for agribusinesses and farmers’ organizations, all while quantifying their carbon footprint.
Operating under their Farming-as-a-Service (FaaS) model, the startup has garnered clients spanning India, Germany, the US, and Canada. Anchored in sustainability, the startup’s business model embodies the farm-to-fork concept, meticulously curbing food wastage and championing regional production and consumption practices.
Patanjali Foods witnessed a significant decline of almost 5%, with its shares falling to INR 1,232 during Monday’s trading session on the BSE. This drop came in response to the company’s financial report, which revealed a substantial 64% year-on-year (YoY) decrease in net profit for the quarter ending June 2023, amounting to INR 878 crore. Despite this profit setback, the company experienced a noteworthy growth in revenue from operations, recording a nearly 8% YoY increase to reach INR 7,767 crore.
The significant decline in net profit was a result of subdued sales growth and a pronounced deterioration in operational performance.
Meanwhile, its total expenses for the quarter rose to INR 7,691 crore from INR 7,038 crore a year ago.
The operating profit, computed as EBITDA (earnings before interest, taxes, depreciation, and amortization), experienced a sharp 57% year-on-year decline, reaching INR 169 crore. Additionally, the operating margin contracted by 326 basis points to 2.17%.
The core edible oils segment registered a 13% decrease in quarterly revenue, amounting to INR 5,891 crore. On the other hand, the food and FMCG division recorded a notable 8.2% increase in revenue, reaching INR 1,952 crore.
The significant decline in EBITDA can be attributed mainly to an operational deficit in the edible oils segment. Specifically, the edible oils business incurred an operating loss of INR 147 crore during the quarter.
The Food & FMCG category demonstrated growth both in terms of value and volume, making a significant contribution of approximately 25% to the overall sales. During the quarter, branded sales constituted around 71% of the company’s total revenue.
The company noted the presence of subdued market conditions within the edible oil sector, attributed to the persistent decline in prices. Despite the decline in revenue, the company managed to uphold its market share. Notably, there was a remarkable 36% year-on-year increase in volumes during this period.
Exports turnover experienced a substantial 128% year-on-year surge, reaching INR 162.45 crore. Branded sales, encompassing both the foods and FMCG segment as well as edible oils, amounted to INR 5,527.78 crore.
Despite facing the challenges of increasing inflation and macroeconomic factors, the Foods and FMCG segment disclosed an EBITDA of INR 360.80 crore, maintaining an EBITDA margin of 18.48%. The company attributed this performance to effective cost efficiency measures.
By 11:19 am, the stock was trading 2% down at INR 1,267.4 on the BSE. Notably, the stock has witnessed a substantial surge of nearly 40% over the past six months, and its value has risen by 7% year-to-date.
According to data from Trendlyne, the stock’s average target price stands at INR 1,405, reflecting a potential upside of 11% based on the current market prices. Notably, one analyst has given the stock a consensus recommendation of ‘Strong Buy’.
From a technical perspective, the stock’s 14-day Relative Strength Index (RSI) is currently at 51.3. According to Trendlyne data, an RSI reading below 30 is indicative of an oversold condition, while a reading above 70 suggests the stock might be overbought. Additionally, the Moving Average Convergence Divergence (MACD) stands at 43.2, positioning itself above its Center Line but still below the signal line.
The Central government has selected the street food hub near V.O.C. Park in Coimbatore city for transformation into a Healthy and Hygienic Food Street as part of the National Health Mission (NHM) initiative.
According to a notification issued by the Ministry of Health and Family Welfare on August 11th, Elliot’s Beach in Chennai, V.O.C. Park and its adjacent road, the street food hub at Velankanni, and the temple street food stalls at Mamallapuram are slated to undergo development as Healthy and Hygienic Food Streets. Under this program, each of these street food hubs will receive INR 1 Crore for the purpose of revitalizing the area and enhancing facilities.
A representative from the Food Safety and Standards Authority of India (FSSAI) has indicated that a committee consisting of the Health Secretary, Municipal Administration Secretary, and Food Safety Commissioner was responsible for selecting the names of the four street food hubs. These selections were made in accordance with recommendations received from each district. Subsequently, the list was forwarded to the NHM, which allocated a collective sum of INR 4 crore to facilitate the enhancement of these four street food hubs.
A representative from the Food Safety and Standards Authority of India (FSSAI) has indicated that a committee consisting of the Health Secretary, Municipal Administration Secretary, and Food Safety Commissioner was responsible for selecting the names of the four street food hubs. These selections were made in accordance with recommendations received from each district. Subsequently, the list was forwarded to the NHM, which allocated a collective sum of ₹4 crore to facilitate the enhancement of these four street food hubs.
Having selected the street food hub at V.O.C. Park for this initiative, the Coimbatore Corporation will collaborate with the district administration to formulate a proposal for its execution, which will then be submitted to the State government. On Saturday, Corporation Commissioner M. Prathap conducted a visit to the location and engaged in discussions with the food vendors.
It has come to light that as part of the rejuvenation effort, amenities such as vendor platforms, street lighting, water access, and restroom facilities will be made available.
S. Krishnan, president of V.O.C. Park Platform Vendors’ Association affiliated to the CITU, welcomed the move. “There are 89 vendors who sell food in the area, of which 56 have registration certificates from the FSSAI. We are in the process of getting registration certificates for the remaining 33 vendors,” he said.
V.O.C. Park, Power House at Tatabad, and Saravanampatti represent the trio of street food clusters in Coimbatore which have been granted the Clean Street Food Hub recognition by the FSSAI.
The global market is on edge as India’s prohibition on rice exports raises the possibility of competing suppliers taking comparable measures to prevent potential shortages within their own countries. This move comes as sellers scramble to bridge the significant 10 million metric ton void created by New Delhi’s decision. These developments have amplified worries about the existing elevated levels of worldwide food inflation.
Analysts note that India’s most recent limitations closely resemble the ones enforced in 2007 and 2008. During that period, these measures set off a chain reaction, compelling numerous other nations to also restrict exports in order to protect their domestic consumers.
In this iteration, the potential repercussions on availability and costs could be considerably broader. Presently, India holds over 40% of the global rice trade, a substantial increase from its approximately 22% share fifteen years ago. This heightened proportion places added strain on rice-exporting countries like Thailand and Vietnam, intensifying the pressure for them to take similar actions.
“India is now much more important for rice trade than it was in 2007 and 2008. The Indian ban back then forced other exporters to implement similar restrictions in a domino effect. Even this time, they have few options but to react to market forces,” a New-Delhi based grains dealer with a global trade house said on condition of anonymity.
The effect on the prices of the most widely consumed essential food item globally has been rapid, reaching levels not seen in fifteen years. This followed India’s unexpected move last month to enforce a prohibition on the sale of commonly consumed non-basmati white rice, aiming to mitigate the escalation of prices. It’s worth noting that in 2022, New Delhi had already limited the supply of lower-quality broken rice.
Restricted availability increases the potential for a surge in rice prices, exacerbating global food inflation, particularly affecting underprivileged consumers in Asia and Africa, as per observations from analysts and traders. The situation is compounded by existing challenges faced by food importers, who are contending with constrained supplies due to unpredictable weather conditions and disruptions in shipments from the Black Sea region.
“Thailand, Vietnam, and other exporting countries are poised to step up their game, all in a bid to bridge the gap stemming from India’s shortfall,” said Nitin Gupta, senior vice president of Olam Agri India, one of the world’s top rice exporters.
“However, there exists a constraint in their surplus capacity for exports. This constraint could set the stage for a surge in prices at other origins, reminiscent of the notable price rally we witnessed in 2007/08.”
Back in 2008, the cost of rice skyrocketed to an all-time peak exceeding $1,000 per ton. This surge followed export restrictions imposed by India, Vietnam, Bangladesh, Egypt, Brazil, and several other smaller producers.
On this occasion, rice exporting nations will face a constraint in their ability to raise exports by more than 3 million metric tonnes annually. This limitation stems from their efforts to meet domestic demands within the confines of a restricted surplus. This information was shared by three sources within global trade houses in conversation with Reuters.
Thailand, Vietnam, and Pakistan, ranked as the second, third, and fourth largest global exporters of rice, have expressed their eagerness to enhance sales. This decision comes in response to the escalating demand for their produce, a trend that has emerged following India’s export ban.
Both Thailand and Vietnam have underscored their commitment to safeguarding their domestic consumers against the adverse effects of increased exports.
“It’s unacceptable for a rice-exporting country to face tight supplies and high domestic prices,” Vietnam Minister of Industry and Trade Nguyen Hong Dien said last week.
Recovering from the devastating floods of the previous year, Pakistan has the potential to export between 4.5 million and 5.0 million tons, a notable increase from the current year’s 3.6 million tons. This projection comes from an official associated with the Rice Exporters Association of Pakistan (REAP).
But the country is unlikely to allow unrestricted exports amid double-digit inflation, the official said.
Among the prominent purchasers of non-basmati rice are the Philippines, China, Senegal, Nigeria, South Africa, Malaysia, Cote d’Ivoire, and Bangladesh.
Following India’s export prohibition, there has been an approximately 20% surge in global prices. Traders from international trading companies suggest that if prices were to rise by an additional 15%, it could prompt Thailand and Vietnam to implement their own restrictions.
“The question is not whether they will limit exports, but rather how much they will restrict and when they will take such measures,” said a New Delhi-based trader.
In the current week, rice prices in Thailand and Vietnam have surged to levels not witnessed in the past 15 years. This escalation can be attributed to buyers hurrying to secure shipments in response to the reduction in India’s export volumes.
Rice serves as a fundamental dietary component for over 3 billion individuals, with nearly 90% of this water-intensive crop originating from Asia. However, the prevalence of dry El Nino weather patterns poses a significant threat to crops in pivotal producing nations within the region.
Following insufficient rainfall during June and July, Thailand has recommended that farmers reduce the cultivation area for the second rice crop.
In India, the irregular distribution of monsoon rainfall resulted in flooding across certain rice-growing northern states, while simultaneously, certain eastern states faced insufficient precipitation for initiating planting.
Good monsoon rainfall is needed for normal production, which would allow New Delhi to reverse the ban on exports, said B.V. Krishna Rao, president of the Rice Exporters Association of India.
Rao said only Indian supplies can restore equilibrium in the global rice market.
“We will have to see for how long India’s restrictions remain in place. The longer the ban is in place the harder it will be for other exporters to compensate for the shortfall,” said Peter Clubb, an analyst at the International Grains Council (IGC) in London.
Independence Day, celebrated on the 15th of August every year, holds a special place in the hearts of every Indian. It’s a day of remembrance, patriotism, and unity. Beyond the traditional flag-hosting ceremonies and parades, modern celebrations have taken on a new flavor – quite literally! As we commemorate the spirit of freedom, several restaurants are joining in the festivities by offering unique culinary experiences that capture the essence of India’s diversity and culture. Here’s a sneak peek into some of the exciting gastronomic celebrations happening around Delhi and NCR.
1) Ardor:
Ardor, located in Connaught Place, New Delhi, is all set to make this Independence Day an unforgettable one. Beyond the conventional celebrations, Ardor offers a dining experience that reflects the unity in diversity that India proudly stands for. The “United India Thali,” priced at INR 2999++, takes the shape of India’s map and features a delightful assortment of dishes from various states. From the aromatic Veg Biryani to the hearty Himachali Chole and the flavorful Sarson ka Saag, this thali is a true representation of India’s rich culinary heritage. Join Ardor in celebrating not just freedom, but also the flavors that bind our nation together.
Price: United India Thali – INR 2999++
Date: 15 August
Address: N 55-56 & 88, 89, Connaught Cir, Connaught Place, New Delhi, Delhi 110001
2. Verandah:
Verandah presents an opportunity to elevate your Independence Day celebrations. Located in Delhi, this restaurant offers a 30% discount on the total bill and treats guests to two complimentary mocktails. The enchanting ambiance and delectable cuisine promise an experience that resonates with freedom and flavor. By blending the joys of dining with the essence of patriotism, Verandah offers a unique way to celebrate this significant day.
Date: 15 August
3. The Drunken Botanist:
The Drunken Botanist, situated in Gurugram, welcomes you to a celebration that combines the spirit of independence with the art of mixology. This Independence Day, the restaurant invites patrons to experience flavors that pay homage to India’s diverse culture and heritage. The unique drinks, like “The Drunken Twist” that harmonizes Indian spices with modern beverages, and the “Tri-Color Love Potion Ticker” symbolizing unity in diversity, bring a touch of innovation to the festivities. With dishes like the Quinoa Garlic Chicken representing growth and power, and the Spritzler Parade capturing the happiness of the day, The Drunken Botanist ensures a culinary journey that resonates with the essence of freedom.
Date: 15 August
Address: Building No 10, Tower C, Ground Floor, Unit 1B 1C, DLF Cyber City, DLF Phase 2, Sector 24, Gurugram, Haryana 122001
4. Float:
Float, located in Noida, offers a fantastic way to celebrate Independence Day with both delectable cuisine and savings. Patrons can enjoy a generous 25% discount on their total food bill, making this a perfect opportunity to indulge in great food while commemorating the occasion. This limited-time offer is available only on Independence Day, so book your table to ensure you don’t miss out on this delightful culinary experience.
Dearie Restaurant in Noida invites you to embrace the patriotic spirit with a culinary twist. With an enticing up to 20% discount on your total food bill, Dearie promises an explosion of flavors that captures the essence of freedom. As you savor each bite, let the flavors of their dishes remind you of the diversity and unity that define our nation.
This Independence Day, beyond the traditional flag-waving and ceremonies, step into a world of flavors that embody the essence of India’s diversity and freedom. These restaurants not only offer a delicious culinary journey but also pay tribute to the nation’s heritage and cultural richness. So, whether you’re a food enthusiast, a patriot, or both, these dining experiences provide the perfect way to celebrate India’s Independence Day in style.
Sharief Bhai, a renowned label under the Curefoods umbrella, has proudly welcomed the esteemed Indian cricketer T. Natarajan to serve as its esteemed brand ambassador.
T. Natarajan, a prominent figure in the realm of cricket, brings his exceptional accomplishments and unwavering determination to elevate the essence of Sharief Bhai’s culinary heritage through this significant revelation.
Gokul Kandhi, Chief Business Officer of Curefoods, said, “T. Natarajan’s journey and dedication mirror the essence of Sharief Bhai – a commitment to excellence and heritage. Natarajan’s prowess on the field has earned him respect and admiration across the entire country. We are honoured to have him as our brand ambassador and while he supports us in this journey, we look forward to embarking a fruitful partnership.”
Famously recognized as T. Natarajan, or Thangarasu Natarajan, the cricket sensation was born on April 4, 1991, in Chinnappampatti, a quaint village near Salem in the state of Tamil Nadu. His initiation into the realm of cricket took place in December 2020 when he was selected as one of the four additional bowlers to accompany the Indian cricket team on their tour to Australia.
Presently a part of Sunrisers Hyderabad in the Indian Premier League (IPL), he etched his name in history during India’s 2020-21 tour of Australia by becoming the pioneer Indian cricketer to make his debut in all three formats during a single tour. The partnership between T. Natarajan and Sharief Bhai embodies a fusion of principles – excellence, genuineness, and a profound link to one’s cultural origins. As the chosen brand ambassador, T. Natarajan will enhance the core of Sharief Bhai’s timeless tastes and authentic hospitality.
“I am thrilled to be a part of the Sharief Bhai family as its brand ambassador, for a brand that resonates with my love for biryani, an authentic taste and culture. Just as cricket brings diverse people together, food unites us Indians too,” shared Natarajan.
The cricket star also added his presence to the inauguration of Sharief Bhai’s traditional restaurant in Coimbatore. During the event, he played an active role by officiating the opening and ceremoniously cutting the ribbon. Furthermore, he interacted with the attendees during a meet-and-greet session, enhancing the overall experience of the occasion.
Curefoods stands as a prominent hub for Food & Beverage brands within India. Established in 2020 by Ankit Nagori, this enterprise shelters renowned brands such as EatFit, CakeZone, Nomad Pizza, Sharief Bhai Biryani, and Frozen Bottle, among others. Its extensive network comprises more than 200 cloud kitchens and physical stores, servicing a diverse range of over 10 cuisines. Operating across 15 cities within India, Curefoods has firmly established its culinary presence.
The dry spell caused by El Niño poses an additional risk to coffee production in Indonesia, which holds the position of the world’s fourth-largest coffee producer. This threat comes on the heels of a significant decline in output due to excessive rainfall, resulting in the lowest production levels in over ten years. Consequently, this has led to unprecedented global price increases within the coffee market.
The decreased coffee yield in Indonesia, where the predominant production is of robusta beans known for their stronger and more pronounced bitter taste compared to the arabica variety, has the potential to stimulate further price increases. These price hikes have already surged by over 40% in the year 2023 and reached an all-time peak in June.
“There are forecasts of El Nino weather leading to dryness towards the end of the year and early next year in Indonesia,” said Carlos Mera, head of agri commodities markets research at Rabobank.
“If there is dryness, Indonesia’s coffee production could fall further in 2024/25.”
The Indonesian meteorological agency (BMKG) has reported that the El Niño weather phenomenon, known for bringing extended periods of hot and dry conditions to the tropical nation, is currently impacting over two-thirds of the country. This includes Java and specific regions of Sumatra, both of which are vital coffee-producing zones.
The arid circumstances stand in stark contrast to the abundant rainfall experienced by the Southeast Asian nation from 2020 to 2022, attributed to the La Niña phenomenon. Additionally, substantial precipitation has also been observed during the initial five months of the current year.
According to data from the U.S. Department of Agriculture, Indonesia’s coffee production for the 2023/24 period is projected to reach 9.7 million 60-kg bags. This represents a decline from the previous year’s output of 11.85 million bags and marks the lowest production level since the 2011/12 season.
The plantations located in Sumatra and Java are anticipated to experience the greatest impact of any potential drought. Meteorologists are predicting that the El Niño phenomenon will likely become more intense towards the latter part of 2023 and the beginning of the following year. This period is crucial for flowering and the development of fruits in the coffee plants.
The majority of coffee plantations in Indonesia rely on rainfall for irrigation. The risk of dry conditions comes after a period of increased rainfall in recent months across Sumatra and Java, which led to a decrease in coffee production.
“This year my harvest is only 30% compared to last year due to too much rain, causing coffee flowers to drop off early,” said Peratin Buchori, a 55-year-old farmer in Lampung, on the southern tip of Sumatra island, known for its robusta beans.
Excessive rainfall during the flowering phase can result in the premature shedding of blossoms prior to the formation of berries, ultimately causing a reduction in overall yields.
“Coffee supply is very thin. I personally say it is down around 25% compared to last year,” one Lampung-based coffee trader told Reuters, adding that the decreased supply has created panic buying in the past months.
In Indonesia, coffee production typically varies between 0.7 and 1.0 metric tons per hectare, whereas Vietnam, the largest global provider of robusta beans, achieves an output of 2.7 tons per hectare.
Nearly the entirety of Indonesia’s approximately 1.25 million hectares of coffee plantations are managed by smallholder farmers. These farmers employ traditional cultivation techniques and utilize restricted amounts of fertilizers. A significant portion of the coffee trees is aged, with certain trees having been planted over twenty years ago.
The authorities have been actively encouraging farmers to engage in tree replanting efforts. This includes initiatives such as distributing coffee seedlings, offering subsidized fertilizers, and extending affordable loan opportunities.
Nonetheless, official data indicates that a mere 2% of the complete coffee plantation area has undergone replanting since 2018.
“Our farmers often lack focus; they plant various commodities on their land, not just coffee,” Muhammad Rizal, director of annual and perennial crops at the agriculture ministry told Reuters.
“They are also lacking in the knowledge of good agricultural practices.”
The ministry is contemplating a fresh program that aims to involve corporate buyers in the process of training growers in optimal practices. These buyers would also serve as off-takers, as mentioned by Rizal. He drew a comparison to the country’s emerging plasma farmer scheme, which has been implemented for Indonesia’s primary commodity, palm oil.
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