downloadDownload The App

Faster recovery in sales of packaged food items post second Covid wave

Revival after the second wave has been faster compared to gradual recovery after the first wave

  • Money9
  • Last Updated : September 11, 2021, 17:21 IST
Sales of ITC packaged snacks have gone up 12-15% over pre-Covid levels while Parle Products are up 10-12%

With easing of Covid-19 restrictions and reopening of offices,  hotels and restaurants, consumption of packaged food has increased since August, according to a report. The revival after the second wave has been faster compared to gradual recovery after the first wave, the Economic Times reported. Quoting companies, the report said sales of salty snacks, ice-cream and other ready-to-eat products grew 10-30% in August compared to sales in August 2020.

Sales to hotels, restaurants and caterers (HoReCa) are at almost 80% of pre-Covid levels, it said, adding that marketers are sure of returning pre-Covid levels in September.

Ready to eat products drive sales

As per Bizom, sales of ready-to-eat products surged 9.1% in August from July. Ready-to-cook grew 6.7%. Bizom tracks sales across 7.5 million retail stores in the country. Going forward, ready-to-eat products will continue to drive the sales on the back of festival consumption, said Akshay D’Souza, chief of growth and insights at Mobisy Technologies told the daily.

Faster revival

Post second wave, the revival has been faster as vaccines are available now. Sandeep Sule, ITC chief executive officer, trade marketing and distribution, told the daily, that with more and more people getting vaccinated and increased general awareness about Covid protocols there is positive consumer and trade sentiment.
Sales of ITC packaged snacks have gone up 12-15% over pre-Covid levels while Parle Products are up 10-12%. Ice-cream sales of Amul expanded over 30% in August from the same month in 2019.
“Sales of chips, western snacks, and chocolates have all grown over pre-Covid. Lots more people are stepping out now than ever since Covid, and shops too have opened completely”, Krishnarao Buddha, senior category head at Parle Products, is quoted as saying in the report.
There has been up to 60% recovery in the HoReCa segment from pre-Covid levels, Metro Cash and Carry India said.  “However, there has been an exponential growth of over 400% in the cloud kitchen business in the last one year,” managing director Arvind Mediratta, is quoted as saying in the report.
Published: September 11, 2021, 17:21 IST

Download Money9 App for the latest updates on Personal Finance.

Related

Latest

close