Kolkata, Jan 19 (PTI) FMCG company Annapurna Swadisht Ltd is hopeful of a significant recovery in rural demand in the first quarter of the 2024-25 fiscal driven by a host of factors, including the government’s infrastructure push and improved farm income, a top company official said.
"While rural demand has remained flattish in Q3 (quarter 3) and Q4 of FY'24 (2023-24), we expect a significant recovery next fiscal due to a confluence of factors," said Shreeram Bagla, managing director of Annapurna Swadisht.
He cited the Centre’s emphasis on rural development schemes, a normal monsoon and rising farm income as some of the key drivers of the expected surge in rural demand in the April-June quarter.
"The government's focus on rural development and social welfare schemes in the interim budget will likely boost consumption and fuel the 'Bharat growth story’," Bagla said.
A normal monsoon will not only improve farm productivity, but also lead to higher realisations for farmers, bolstering demand, he said.
The non-farm income segment is also expected to contribute to the rural demand upswing due to increasing real estate and road construction activities, Bagla said.
With this optimism, the food-focused FMCG company of the East and Northeast is aiming for a topline of Rs 300 crore in FY’24, as against Rs 160 crore in the previous fiscal, he said.
"Looking ahead, we have an ambitious goal of reaching Rs 900-1,000 crore in turnover within three-four years. With the projected rural demand boom in FY’25, we are confident of achieving this target sooner than anticipated," Bagla added.
Annapurna Swadisht has five owned manufacturing units spread across West Bengal and six contractual/leasing arrangements in some other states. It has a portfolio of close to 72 SKUs (stock-keeping units) across 10 broad categories, including fryums, namkeens, snacks, candies and cakes. PTI BSM RBT