Vitzthum sees sizable Indian chocolate market through strategic partnership
Reliance Consumer Products Limited (RCPL), the FMCG arm of Reliance Industries Limited, has signed a Memorandum of Understanding (MoU) with Finland’s leading foods company Fazer to produce, market, and distribute branded premium chocolates using Fazer’s recipes and high-quality standards across India.
The two companies will establish a long-term strategic partnership in India to democratize Fazer’s iconic brands and products in the local market.
The MoU was signed as part of President of Finland Alexander Stubb’s state visit to India, with aim to strengthen business ties between the two countries, Reliance said on 6 Mar.
The partnership would combine Fazer’s iconic heritage brands, innovative product portfolio, and world’s finest chocolates, with RCPL’s substantial scale and access to nearly 3 million retail outlets across India, as well as deep expertise in the Indian market.
Together, the companies could have the potential to build a unique position in India’s chocolate and confectionery market, which is expected to grow rapidly due to rising consumer incomes and organised retail penetration.
T. Krishnakumar, Director, Reliance Consumer Products Limited, said, “Partnering with Fazer is a strategic step towards introducing one of the world’s finest chocolates to Indian consumers. By combining Fazer’s globally trusted brands and manufacturing excellence with RCPL’s local production capabilities, robust distribution network, and deep consumer insights, we are well positioned to bring world-class products to Indian consumers and elevate the overall category experience.”
Commenting on the development Christoph Vitzthum, President and CEO, Fazer of Hilsinki, elaborated, “This partnership would be a great opportunity for Fazer to offer our unique products to the fast-growing Indian market. With RCPL handling commercialisation and distribution in India we could establish a premium position in the chocolate market and a foundation for a broader scale nation-wide roll-out with a leading and highly capable local partner. Entering the sizable Indian chocolate market through this strategic partnership, could have the potential to accelerate our international growth significantly.”
Since its inception in 2022, RCPL has successfully expanded its presence in the chocolate & confectionary market by reviving India’s heritage brands like Ravalgaon, Toffeeman and Pan Pasand, and Lotus Chocolates. RCPL is committed to offering ‘global quality at affordable price’ and has introduced some of the popular global brands like Maliban, Nexba and PACE, among others, to the Indian consumers.
Fazer has a focused growth strategy with continuous expansion and significant international growth targets at its core. With operations in the Nordics and Baltics, Poland and China as well as with exports to more than 40 countries worldwide, Fazer already has an established global presence. Continuing its international growth journey, Fazer is actively pursuing opportunities to expand not only organically but also through M&A and remains committed to exploring all avenues that enable the company to strengthen its position in both existing and new markets. Fazer is a leading FMCG company in Northern Europe, renowned for its high-quality confectionery, bakery and plant-based products. With a rich heritage and a strong presence across the region, Fazer delights consumers with innovative and beloved brands. Fazer’s mission, Food with a purpose, builds on our strong more than 130-year heritage, consumer first approach and innovations to create the sustainable food solutions of the future. With close to 5,000 professionals, Fazer focuses on fast-moving consumer goods and its direct-to-consumer business in Northern Europe, and beyond with exports to more than 40 countries. fiinews.com
