Leading basmati rice exporter GRM Overseas looks to make its presence felt in domestic market
GRM Overseas, a leading exporter of basmati rice from India, is all set to make its presence felt in the domestic market as a consumer staple company. To begin with, the company has introduced basmati rice, ready-to-eat basmati kits, spices and wheat flour in the domestic market and has launched a pilot project to introduce mustard oil too.
Atul Garg, managing director of GRM Overseas said ” We are using general trade, modern trade, and e-tailers to market our products. Nearly 70 percent of our business comes from general, 25 percent from modern trade, and the rest 5 percent through e-commerce.”
The company is focusing on tier 2 and tier 3 markets, where the demand for branded staples is on the rise. “We are seeing that the rural demand has picked up in the last five to six months. We are marketing our products in towns which have a five lakh plus population. The farmers, who were earlier inclined to loose rice and wheat flour or atta, are now shifting to branded products and we want to leverage this trend.”
GRM Overseas has clocked a net sales of Rs 1380 crore in FY 23 as compared to Rs 1080 crore in FY 22. “Of the Rs 1,380 crore, domestic business has contributed Rs 270 crore,” Garg added. He said that the wheat flour or atta segment has huge room to grow in the domestic market. “Progressive women are buying branded atta keeping in mind the convenience and health of the family. This is why we are witnessing a shift to branded atta,” he said.
The company sells products under its brands, namely “10X”, “Himalaya River”,”10X Shakti” & “Tanoush,” and also sells through private label arrangements under customers’ brands.
Initially set up as a rice processing and trading house, GRM is growing to become a consumer staples organisation.
During the initial years, GRM exported rice to the Middle East, the United Kingdom, and the United States. Gradually expanding its reach, GRM has developed a market for its rice in 42 countries, thereby achieving the title of the 3rd leading Rice Exporter in India. The company has three rice processing units with an overall annual production capacity of 4,40,800 MT based out of Panipat (Haryana), Naultha (Haryana), and Gandhidham (Gujarat). Additionally, the Company has a warehousing facility of 1.75 Lakhs sq ft space adjacent to the Gandhidham plant facilitating speedy shipments from Kandla and Mundra ports.
Published Date: June 8, 2023