Key Highlights :
1. Adani Wilmar's consumer goods company, Adani Wilmar, announced its quarterly update of business for the fourth quarter of FY23 on Thursday. In Q4, the company witnessed a decline in edible oils in terms of value, while volumes were broadly flat.
2. On the other hand, the food & FMCG business performed strongly with a growth of over 60% in value and 40% in volumes.
3. Industry essentials also posted significant growth in volumes.
4. As per the regulatory filing, in Q4FY23, edible oils posted a decline in mid-teens in value and flat performance in volumes.
5. TRENDING STORIES
See All Premium Dabur’s domestic biz prospects hinge on rural demand re ...
Premium RBI takes it one meeting at a time
Premium Indian gamers splurge on in-app purchases
Premium Macrotech Developers shares up as it surpasses FY23 pre ...
Edible oils sales volume rose by 4% in Q4, on the back of good consumer demand due to softened edible oil prices. However, Adani said, "Overall oil sales volume was dragged down due to lower demand from bakery and frying industry."
Adani stated that the "focus on the domestically produced Mustard oil has been showing consistent results and it has been the fastest growing oil for us. ‘Fortune’ is the only pan-India brand in the Mustard Oil segment and enjoys the leadership position. However, it is a very fragmented market, providing us the opportunity to keep gaining market share."
Mustard, which is a key domestic oilseed, Adani expects to harvest a record bumper crop in FY23 at close to ~11 million MT, ~5% higher than the previous year. Adani believes that improvement in its overall distribution and gaining market share of the edible oils business in the under-indexed region will be the key volume levers for the segment.
Coming to the foods & FMCG business, Adani said, "the Food business is executing well on its long-term plan and scaling up its operations across India, registering a volume growth of more than 40% YoY in Q4FY23, with good growth in both the key categories – Wheat & Rice. We expect the strong growth to continue in both the products for multi-years, given the large headroom in the kitchen essential products."
Food and FMCG business posted over 60% growth in sales during Q4.
MINT PREMIUM
See All Premium
The Bank of Japan should stop defending its cap on bond ...
India’s green energy revolution gets going. 10 facts yo ...\
Edible oils sales volume rose by 4% in Q4, on the back of good consumer demand due to softened edible oil prices. However, Adani said, overall oil sales volume was dragged down due to lower demand from bakery and frying industry.
The edible oil market is witnessing a healthy demand from the consumer segment owing to the subdued edible oil prices. The demand for edible oils from the food processing industry is also witnessing a healthy growth owing to the increasing awareness about health benefits of using these oils. The food processing industry is the largest consumer of edible oils.
Adani Oil said that edible oil sales volume was dragged down by lower demand from the bakery and frying industry. The company attributed the decline in demand to the moderation in the economy and the impact of demonetisation. Adani Oil said that it is confident of a robust growth in the edible oil market in the coming year.
Edible oils are used in various food products and are widely used in the food processing industry. The demand for edible oils is witnessing a healthy growth owing to the subdued edible oil prices. The food processing industry is the largest consumer of edible oils.
