Kochi: Eastern Condiments, the Kerala-based Rs. 650 crore spices producer and exporter, will set up their tenth plant at Lucknow in Uttar Pradesh. This was announced by Firoz Meeran, Managing Director of Eastern Group, after declaring the company’s first quarter results ended on June 30, 2015.
The company would invest Rs. 20 crores for the Lucknow plant, which would be commissioned in two year’s time, said Firoz. The company’s first quarter earnings grew 19 percent over the same quarter last year. The growth was led by 55 percent growth in its sales outside Kerala. The outside Kerala revenue for the company is over Rs 250 crore.
“Our strategy is to be present closer to the market. The new plant in Lucknow is part of this plan,” he added. Eastern Group, which is the largest spices exporter from the country, grew exports by 22 percent while continuing to grow its mature home market of Kerala by three per cent.
He said this marks a record ninth consecutive quarter of uninterrupted quarter on quarter revenue growth which is a reflection of the strength of Eastern’s direct sales model and the trust customers have in our award winning quality and taste. “The resounding success of our new ready to eat and snack ranges reaffirms our strategy of evolving with our customers desires,” he said.
Firoz said work on Eastern Group’s ninth plant in Dharwad, Karnataka, announced last November, is underway and is expected to be commissioned sometime next year. The company’s other manufacturing facilities are in Rasayani (Maharashtra), Ghaziabad (UP), Theni (Tamil Nadu), Guntur (Andhra Pradesh), in addition to three facilities at Adimaly and Kothamangalam in Kerala, and Ras al kaima and Dubai in the Middle East.
Eastern is a well-diversified group with over 200 product offerings in its portfolio. The company has recently crossed the milestone of Rs. 900 crores in turnover and is expected to grow in double digits in the fast growing processed food market. It exports its products to the UAE, Saudi Arabia, Qatar, Yemen, USA, UK, Canada, Australia, Singapore and has been the largest Exports award winner from Spices Board for past 15years.
Kerala Biz News