Reliance Industries to enter FMCG market with equal focus on backend sourcing; details here

Reliance Industries (RIL) is all set to enter the rapidly-growing consumer goods market. The company revealed in a regulatory filing that it seeks to establish a fully integrated fast-moving consumer goods (FMCG) company with ambitions to compete in practically every market segment. Furthermore, it is determined to give equal importance to the backend sourcing strategy. The filing was submitted to the Registrar of Companies, as per an Economic Times report. The newly-floated FMCG flagship Reliance Consumer Products (RCPL) plans to enter the market for domestic, household, and consumer goods, including the following categories: education, raw, processed, and commercial items; pharmaceuticals; food and beverage products; agricultural and non-agricultural produce; commodities. The corporation stated that it would engage in all agricultural and related activities, such as planting and crop-raising, to have full control of backend sourcing. It also intends to focus on dairy-based, agro-based products and animal husbandry. An individual associated with the development told the media outlet, “Reliance Retail will no longer use its private brands’ strategy of selling specific FMCG goods only through its stores as these brands will now be supplied to other retailers by Reliance Consumer Products.” As a result, private brands are expected to no longer exist. The company has already begun the preparatory arrangements. To set up a designated panel to oversee the plans, the RPCL has appointed four directors to its board: V Subramaniam, managing director of holding business Reliance Retail Ventures Ltd; T Krishnakumar, who came to the company from Coca-Cola in 2021; US-based management scholar Dipak C. Jain; and K Sudarshan, managing director of EMA Partners India. The managing director is yet to be announced. In the past ten days, RCPL has announced two transactions- a 50 percent investment in the soft drink manufacturer Sosyo Hajoori Beverages and a 51 percent stake in the Lotus Chocolate Company, with intentions to buy up to 26 percent more through an open offer. Moreover, the company will market the Campa soft drink brand that the conglomerate just purchased. Last month, it debuted the FMCG brand Independence in Gujarat. Reliance revealed its plans to enter the FMCG market at its annual general meeting held in August 2022. Reliance Consumer Products was incorporated at the end of November. Isha Ambani, the daughter of RIL Chairman Mukesh Ambani, is in charge of the FMCG arm. Currently, she works at Reliance Retail Ventures as an executive director. Read all the Latest News , Trending News ,  Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.