When chips are down, Kishore Biyani is launching some chips. The Kishore Biyani-led group’s debt had spiralled out of control last year, forcing it to get into a nearly Rs 25,000-crore transaction with Reliance Retail
Even as Biyani is embroiled in various legal tussle with Amazon that has for months put a big spanner into Future Group’s plans to sell its retail assets to Reliance Retail, Biyani is on Monday launching US-based Terra chips in India.
Biyani’s plans to roll out the ‘Made in India’ version of the popular US chips brands are bearing fruits four years after Future Consumer and Lake Success, New York-based Hain Celestial Group entered into a joint venture to produce Terra chips in India.
The gourmet Terra chips comes in colourful textures of yellow, white, blue and red and are made from potatoes, yucca, taro, sweet potatoes, parsnip, and batata among other vegetables.
Currently an imported Terra packet of 200 grams costs Rs 410 and Future Consumer plans to bring the prices down by about 150% through local production and also plans to introduce smaller packs to make them more accessible in the country.
“We intend to make Terra one of the largest brands in the snacking space,” Biyani said. “It will show our strength and reach amongst customers and our inherent ability to build new brands and products.”
Its time to reenergise Dairy and Food JVs
The Future group is re-energising its joint ventures (JVs) with dairy major Fonterra and American food firm Hain Celestial as it prepares for life after a tough 2020. The Kishore Biyani-led group’s debt had spiralled out of control last year, forcing it to get into a nearly Rs 25,000-crore transaction with Reliance Retail.
The deal, which includes sale of the retail, wholesale, and logistics assets of the Future group, has since been challenged by Amazon. While the legal battle drags on, Biyani has put in place a blueprint that will see Future expand its presence in dairy and Food businesses.
Source : Excerpts from Business Standard and The Economic Times Mar 8 and 12 2021