Agristo, a Belgian company, has launched a joint venture in India to produce frozen fries. This exciting development began in 2019 and marks a significant step for Agristo as they tap into the Indian market. With an enormous population of 1.4 billion, could this be the next big opportunity for frozen food?
- Agristo and Masa joint venture established in 2019.
- Local farmers' yields increased significantly.
- Factory workforce expected to double after expansion.
- India has low frozen fries consumption potential.
- Import taxes incentivize local production in India.
- Plans to export fries to Middle East, Indonesia.
Agristo’s Frozen Fries Production: A Game Changer for India
How will Agristo’s new factory impact the Indian food market? The company believes that by producing locally, they can significantly boost their sales while benefiting local farmers.
The Potential of Frozen Fries in India’s Growing Market
Agristo recognizes that the consumption of frozen fries in India is still low compared to other markets like the UK. Currently, Indians consume only about 3 kilograms per person annually, while UK residents enjoy around 30 kilograms. This presents a tremendous opportunity for growth.
The Benefits of Local Production for Agristo
Producing frozen fries in India comes with several advantages:
- Avoidance of high import taxes (30%) on frozen goods.
- Increased yield for local farmers through Belgian expertise.
- Job creation with plans to double workforce from 150 employees.
- Potential export opportunities to Middle Eastern and Indonesian markets.
Impact on Local Farmers and Employment Opportunities
This joint venture not only benefits Agristo but also uplifts local farmers. By leveraging Belgian agricultural know-how, yields have increased from an average of 10 tons per hectare to an impressive 32 tons. This collaboration enhances food security and provides stable incomes for farmers involved.
The Future of Frozen Food Consumption in India
The future looks bright for frozen food consumption in India as consumer habits evolve. With rising urbanization and changing lifestyles, more people are likely to embrace convenient meal options like frozen fries. Will this trend continue to grow?
As Agristo establishes itself within this vibrant market, it sets the stage for further innovations in food production and distribution across Asia.
