Packaging Trends in Organized Food Retail: Reliance Industries Limited
Packaging Trends in Organized Food Retail: Reliance Industries Limited
By Veena Mathur
Agenda
Organized Food Retail Chain Key Growth Drivers Importance of Packaging Packaging Trends in Food Retail
Transportation
Retail Outlet
Packing Station
India
TODAY
One of fastest growing world economies Reasonably proactive Opening up of sectors for investment
YESTERDAY
Slow rate of growth Bureaucratic Protected and slow Small consumer markets Underdeveloped infrastructure
Growing Economy
2nd fastest growing economy. 4th largest Economy (PPP) 3.3 Trillion US$ Accounting for ~20% of Asian and ~10% of Global growth in last two years. (IMF: World Economic Outlook 2005) Drawing Global attention as outsourcing destination and attracting large financial inflows. Only India among BRICs to have Sustainable growth at > 5% till 2050. (Dreaming with BRICs: The Path to 2050 Goldman Sachs Report)
23 18 14 10
1972-82
57
Increase by 16 times 8
16 32
Consumption boom
Rising Income Levels
1995-96
The Very Rich The Consuming Class The Climbers The Aspirants 1.2 32.5
2001-02
2.6 46 74.4
2006-07 (P)
5.2 76 82 20
54.1 44
33 33 24
16
Reduction in Aspirants and destitutes by about 225 Mn in 10 years Half a bln very rich & Consuming class by 2007
Source : NCAER
India Russia
Brazil G6
China
76.42% 80.00% 60.00% 40.00% 20.00% 0.00% Nuclear Family Joint Family 23.58%
2005-06
Greater work pressure and constant time pressure leads to acceptance of RTE and RTCs
10
Working women in the urban population Popularity within working and studying bachelors due to convenience Traveling by the high end working groups of the society
11
Profusion of Brands
Modern generation going for branded products for better quality and hygiene
12
Aesthetically packed products A pleasant shopping environment at the same Price Convenience of one-stop shopping with wider Product portfolio at a single location Speed and Efficiency in Processing Better Quality and Hygiene
14
15
Shift
16
17
From a local shopkeeper selling loose oil to hygienically packed Edible Oil
18
Dairy Milk
19
20
Bottles to Flexible
Rigid packaging is giving way to flexible packaging in the form of standup pouches, retort pouches, spouted pouches which offer similar performance and shelf appeal at lower cost.
21
Rigid packaging is giving way to flexible packaging in the form of stand-up pouches, retort pouches, spouted pouches which offer similar benefits at lower weight and cost.
22
23
Commodity Foods
There is a surge in demand for well packed commodity foods like atta, cereals, rice, sugar, salt etc. Packaging is being designed for convenience, shelf appeal and to retain freshness.
24
25
Convenient ready to eat (RTE) and ready to cook (RTC) food products have changed the traditional concept of spending long exhausting hours in the kitchen making curry and gravy dishes, batter, paranthas and rice.
27
Rachel Bags will help Retail Businesses to pack 25- 50 Kg produce at farms
28
29
30
31
Dried Mangoes
Dried Strawberries
Fruits are marginally processed with sugar, salt etc for added flavours.
Frozen Food
Frozen ready meals, includes frozen meat, poultry and fast food.These products require excellent barrier with EVOH, PVDC, etc.
36
Summary
The stage is set for consumers to buy all their staples in well packed convenient packs. Ready availability of hygienically handled and packed fresh F & V. Easy availability of frozen F & V. Range of dried F & V, marginally processed as a healthy snack. Vacuum packaging for Bulk handling and extended shelf life.
Thank You!
Reliance
Industries Limited
www.ril.com