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Corporate
Godavari Biorefineries Limited’s Chemical Business Unit Co-Shares 2 Platinum Awards with Larsen & Toubro
ONLINE, CHEMICAL INDUSTRY DIGEST | Oct 11, 2019
Signed a Memorandum Of Understanding for working on a project 'Biomass For All’
May 24, 2018'Godavari Biorefineries is proud to announce that we we have signed a Memorandum Of Understanding for working on a project 'Biomass For All’, in the presence of the Prime Minister of the Netherlands, Honourable Mark Rutte, and the Minister for Agriculture and Deputy Prime Minister, Carola Schouten.
This project aims to develop and implement new biomass based sustainable value chains in partnership with experts, solution providers, financiers and market players from The Netherlands and India.
We are working on ways to ensure that biomass is transformed into new products to maximise value addition in generating sustainable new business and livelihoods. And we will reduce the negative environmental, social and health impacts (as air pollution) as much as possible.'
Partners : Signed the MOU : Somaiya Group/Godavari Biorefineries Ltd., MVO Nederland (CSR Netherlands), ECOR, Avans University of Applied Sciences, The Biosfera Foundation, Center for Responsible Business (CRB), Chaudhary Charan Singh Haryana Agricultural University, IndiaConnected, Nettenergy, PaperWise, Rika Biofuels Development Ltd., Sonalika ITL, The Energy and Resource Institute (TERI), Thapar Institute of Engineering & Technology (TIET), Wageningen University Agrotechnology & Food Sciences Group (AFSG)
Samir Somaiya's interview at the World Bio Markets Conference in Amsterdam, held in March 2018
Mar 31, 2018Text of Samir Somaiya's Gundu Rao Memorial Lecture address at the Annual Convention of the Deccan Sugar Technologists Association held at Belagavi, in July 2017.
Jul 21, 2017Cane (Crop of the past or Feedstock of the future)
The world is living in a fossil fuel economy. And this has led to tremendous growth in the world economy. But as we progress, we have also seen, that the current methods of consumption, we are depleting resources. In the future, we will have to adapt to a more renewable future.
Renewables are interesting, and fundamentally different from fossil resources. The focus on fossil resources, is extraction. Every subsequent year, you will have less of the resource. In renewables, it is how much you can make available, and then what you can harvest. And, if done right, you could have equal resource every year.
So, I will speak on the raw material, the process, and the product. As I go along, I will also give suggestions for research that DSTA could consider.
Raw Material
Imagine having been prescribed medicine for your health, without having had a checkup. Would we even consider doing that? I think that the same is the case today, in the work we do in soil science. In the past couple of years, we have done over 4,000 tests for soil, and we have seen that the application of inputs to the soil is independent of what the soil needs.Farmers apply inputs to the soil as suggested by tradition, what the neighbor is doing, or what the marketing company is recommending.
To get better yields, we must focus on soil health. And to understand soil health, we must first understand it, what it has, and what it needs.
Once we know what it is, we must then focus on how to keep it good for all time. There are various ways in which we can do this. From having an educated understanding and informed application of what is being recommended by the fertilizer companies, to a greater education and understanding of the experiments being done in agro ecology. Using of farm produce itself, to make the farm productive. I have seen farms using a combination of cow urine, garlic, jaggery etc, to make combinations of fertilizer and pesticide additions to enhance soil health and fertility.
Experiments in Brazil (to keep the soil wild). There have also been experiments in Brazil, where the soil and cane have been allowed to grow using organic methods, and biological means of pest control.
Recommendation 1: We must encourage research that integrates modern research and traditional methods
There is also much research on use of some pesticides, and effect on human health. Recently, I read a book ‘Living Downstream, by Sandra Steingraber (http://www.livingdownstream.com/) that looks at modern practices and their detrimental effect on our health. Can we look at this research, and examine our response.
Recommendation 2: Being mindful of our agricultural practices and study their effects, if any, human health.
Soil is one aspect of sustainability. The next aspect is water. We are constantly being reminded, that we are in the Deccan plateau, and that water is scarce. Sugarcane drives the local economy. Sugarcane contributes to livelihoods, and provides sustainable energy in the form of renewable electricity (cogeneration), and biofuels (ethanol). The business of sugarcane processing, is also carbon mitigating, when a carbon balance is drawn around the entire sugarcane economic envelope.
But, water is a scarce commodity, and its use must be measured. The advent of drip technology promises much saving, but it has not spread sufficiently. As of today, total penetration of drip is small. Estimates in Maharashtra are about 18% and Karnataka about 10%. Even though the use of this reduces water consumption by 50%, and increases yield by 30-40%. Systematic efforts need to be made by the mills with their farmers to increase adoption.
There is an explosion of technologies that further help in the monitoring of cane (or for that matter, any plant growth). IOT (internet of things) and new wireless technologies allow for monitoring moisture, and subsequent automation in delivering water when dry will further help plant growth and optimization.
Drones are being used in agriculture. They help the farmer see his/her plot in a way that is not seen otherwise. See patterns, multi-spectral, and also over time.
Recently, when in the USA, I saw a chip being implanted in a tree, that wirelessly communicates moisture content.
Recommendation 3: How do we best integrate these technologies including IOT for better yields.
But even if we have so much information, what recommendations are we providing. Are these static? Have these changed with time? There is an explosion of data, are our recommendations dynamic? Are we learning.
Recommendation 4: How do we give personalised recommendations, instead of static, one size fits all approaches
There is a company, ‘The Climate Corporation’, that was purchased by Monsanto. This gives detailed analysis of the farmer’s plot. And what needs to be done on it. Also, the introduction of cane varieties, intercropping, In March this year, there was an article in the New York Times, ‘How to Steal a River’. This talks about a river in Kerala. Sand acts as an aquifer. When the rainfalls, it helps recharge the ground. The article said, that illegal sand mining has ensured that what were flowing and perennial rivers have become seasonal, and the water tables have dropped. So, while we try to reduce use of water, we have to also see that the harvesting of water (or its conservation) also takes place. Otherwise, we will continue to see what we have been. Rajendra Singh, waterman of India, says that the water that falls on the ground, must be taken under water. Through the planting of trees, and we have to also ensure, that our sand in the river bed is conserved.
Recommendation 5: Water Conservation, and a holistic approach to achieving this.
Ultimately, all this has to be done, with a view on the farmer, and their livelihood. Unlike Brazil or the USA, where farms are very large, and there is corporate agriculture, our agrarian economy is small holder farming. We have to ensure that the farmer continues to make a good livelihood of cane.
What is the area under cane? Are we going to accept that we will always have 90 tons per hectare of cane, and that recoveries will remain static or decline. Will we look at the growth in recoveries that UP has accomplished this past year? How do we combine higher yields, higher sugar content, and a smarted application of knowledge and inputs, so as to ensure that the farmer gets the best yield, and the earth is healthy enough to sustain this agriculture for a long time to come.
Recommendation 6: Targeting better yields without compromising soil fertility and improving farmer livelihoods.
Process:
There are two words that are gaining currency in the world of manufacturing. Cascading, and Circular. What is cascading? And what is circular? By Cascading, we mean the processes that the sugar industry, the world over has been practicing for decades. You make sugar, the molasses cascades to ethanol production, the spent wash cascades to biogas, or steam, or spent wash cascades to make biocompost, etc. Similarly, bagasse cascades to the manufacture of power, or it cascades to make paper or particle board.
By circular, we mean how much of the product Is recycled. So, if I consume water, and sugarcane itself can be considered as a bottle of water, how much of this circles back to the process. Does the water that we get from the sugar plant circle to the fermenters? Does any of this circle back to the power plant? Today, at Sameerwadi, except for the initial filling of water, we require no fresh water to run the sugar process. In fact, the excess condensate is recycled to the cogeneration plant and distillery. It was in recognition of these efforts that the company received an award from ICC and FICCI.
Recommendation 7: Reducing raw water consumption to 0
The use of bio-compost to the farm encircles a wider circular envelope.
This also applies to heat. If I use the heat in the flue gas, to dry the incoming bagasse stream, then once again I have a circular process.
This brings me to energy
How much energy are we putting into the plant? What is the steam % cane? Where are the opportunities for energy recovery? What is the minimum that we can go to? What technologies are we using to discover this minimum, and how do we arrive at what is optimum.
When I joined the business 50% steam on cane was the norm. Exhaust steam used to be used at many places in the plant. And with good reason. One did not want to save bagasse. The creation of a power PPA encouraged energy and subsequent bagasse saving, for use in high pressure turbines for export to the grid. Today, continuous pans and FFEs have made 30% steam on cane possible. When there was no ability to sell excess power, there was no generation of excess power. Today, it is possible to export 110 units per ton of cane crushed. A paper published in 2001, detailing schemes of a gasifier and an integrated gas turbine demonstrated a much larger number of exportable surplus.
Recommendation 7: Steam% cane to 30%
So, the point that I am making is, what do how do we look at the resources we generate. How do we cascade them, and how do we reuse them?
Products
Sugar is our main product. As they say, it is our bread and butter. A few months ago, I attended the NY sugar dinner, and had a chance to meet the head of the WSRO. The website home page of WSRO (www.wsro.org) says, ‘researching the effects of sugar on nutrition, health and wellness worldwide’.
I think that this is important. Much money is being spent, by NGOs, and Governments, trying to find evidence to say that sugar is not healthy. And there is no research being done or supported by the industry, to see the effects of sugar on health and nutrition. On whether, our traditional dietary approaches to using sugar are healthy.
She mentioned that there is a storm, but sugar technologists and management are more concerned with their mills, their efficiencies, their climate, and their Government policies. She mentioned that research must be done that addresses the public perception that is being built simply because of the incredible amount of money being spent to find sugar guilty.
We all need to find out what the facts are, and promote a healthy lifestyle, and a healthy diet. But we should be mindful, that our market is being eroded. ANd we should put the correct research there, and not just lose because we did not put our money or resources to the research.
Recommendation 8: Sugar and health, nutrition research
Ethanol
Now we know that ethanol is very versatile, and it can be used for transportation, drinking, and the manufacture of chemicals and pharmaceuticals.
We are here in Belgaum, and I did an analysis of the petrol consumption here. In Belgaum, petrol consumption is 1010.5 KL/month. Or 10 million litres per month, so 1.2 billion litres per year. Or, 12 crore litres per year. The amount of cane crushed in Belgaum district is 79 million tons. At the approximation of about 10 litres of ethanol per ton of cane crushed (assuming that ethanol is only made from molasses), we can have the production of about 8 crore litres of ethanol per year.
Litre for litre, that is 65% of the petrol consumption, and in terms of energy value (since ethanol as 67% of the energy value as petrol), about 40% of the petrol consumption. This means, that at current levels of consumption, if we followed the Brazilian model, where all ethanol, or a percentage of this, could be used as a fuel in the vehicles, we could meet 40% of the need of petrol consumption in this district.
Recommendation 9: Working with auto companies to enable wider use of ethanol as a fuel
Biogas is also produced as a product of bio-methanation. This could also be converted into a transport fuel.
Recommendation 10: Biogas as a fuel
Petrol prices in Belgavi are Rs. 63 per litre. In energy value, this is equivalent to Rs. 42 per litre. Could we not, as the sugar industry be allowed to sell ethanol as a fuel into the market. The demand for petrol is growing, will this demand only be met from imports. When we talk of a circular economy, can we not draw a boundary around what we have.
Many say, where will the ethanol come from. I think we have to take a wider view. Are we going to assume that the productivity of cane will remain static. We are all aware, that in smaller plots, cane yields of over 200 tons/hectare have been witnessed by many of us. Can we not, then target a yield of 125 tons per hectare as an average? There is much happening in the field of cellulosic ethanol. Maybe, in the future, there can be a drop-in conversion costs of converting bagasse to sugars. Coupled with lower steam on cane percentages, the higher bagasse savings can be converted to cellulosic ethanol.
Or, the electricity generation can also be used to power transportation. I have just returned from the USA. My friend has a Tesla. Volvo has just announced, that it will fully transition to electric or hybrid vehicles. At so many places in California, there are electricity charging stations.
Other products
On this same trip, I was at San Fransisco airport, there was 2 bins at the airport for trash. One that said ‘recyle bottles and cans’, and the other for ‘composting’. And the sign above it said, almost everything that you purchase here is compostable. Once again, a circular economy. From the earth, back to the earth.
Like compostable utensils from bagasse, or other agricultural residues, much work is happening in bio polymers, bio chemicals, and also using synthetic biology to convert sugars to high value compounds. The possibilities are endless.
We have to transition to a cleaner and a more renewable future, and must certainly, a sustainable future. One that is a more self-contained economy.
Our past has laid the strong foundations. Let us chart out and build a futuristic path.
Samir Somaiya
Our Chairman, Samir Somaiya's article on 'Building a Modern Biorefinery' appeared in the June edition of Industrial Biotechnology
Jun 01, 2017Click here to download the pdf file.
Foundation stone-laying ceremony of Cellulose project and Bagasse based Biorefinery Project
Apr 28, 2017Godavari Biorefineries Limited (GBL) is currently operating in Sameerwadi (Dist. Bagalkot, Karnataka) an integrated sugarcane processing complex which consists of sugar factory of 15,000 MT per day sugarcane crushing capacity, distillery of 2 Lakh Liters per day, Co-generation power plant of 48 MW, bio-fertilizer unit & organic chemicals.
GBL decided to embark upon journey to create unique biorefinery using agro feedstock (essentially sugarcane & its derivatives) & to produce various chemicals which have applications in Paints & Coatings, Construction, Pharmaceutical, Flavour & Fragrances, Personal Care & Cosmetics, Food & Beverage industries.
On 28th April 2017, we laid the foundation stone for our next generation bagasse based biorefinery and ethanol based specialty chemicals projects.
Our proposed next generation bagasse based biorefinery & specialty chemical project in Sameerwadi is a step in achieving the stated objective of creating a biorefinery and to optimize the value from the feedstock currently being used in producing sugar, ethanol & power. The bagasse based biorefinery would produce cellulose & Xylitol, an alternate sweetener in the first phase.This will be one of the few integrated cascading biorefineries in the world.
A Story Sweetened Over The Years
Chemical Today Magazine | Feb 08, 2017
Godavari is a story sweetened over 77 years and stands on the pillars of three generations. From sugar production to over 20 different products from sugar cane, the company has come a long way.
Almost eight decades back, a young man, looking for work, met a few Marwari traders. They asked him if he could help them trade sugar in Maharashtra. He said “yes” and started trading. Slowly and eventually, he entered into the manufacturing of sugar and in 1939, Godavari Sugar Mills was established. Today, Godavari is a story sweetened over 77 years and stands on the pillars of three generations. Since its inception, Godavari Sugar Mills donned upon numerous avatars- from sugar production and sugarcane farming to ethanol distillation in the 1960s and later it entered into the manufacturing of ethanol based chemicals by the early 70s.
More recently, the company reinvented itself as Godavari Bio-Refineries and added value to agriculture feedstock by not just making sugar, but also, bio fuel, renewable electricity and a range of commodity and specialty chemicals.
Milestone of change
Staying ahead of times, Godavari, in its very early phase decided to think beyond the borders and work towards international trade. Change in government policies in 1992 created a challenging environment for the company. Godavari decided to confront the challenge and reinvent itself.
“During the time of liberalisation, the government lowered the import duties into India. They also removed the controlled price of molasses, which was the raw material for us. Taken together, the government regulations changed as far the local molasses market was concerned and with the lowering of duties on chemicals, we were exposed to international competition,” said Samir Somaiya, chairman & managing director, Godavari Biorefineries Ltd.
“These were the two significant changes in the external environment which made us think that as we prepare ourselves for the future, we want to grow in a way so that we can compete with the global competition. This meant that our products need to be of exportable quality and we need to be knowledge driven,” continued the third generation entrepreneur of the company.
And thus, Godavari steered its organisational direction towards strengthening its research knowhow. “In those days, the 90s, research and development was just a quality control measure. We however decided to start developing our own knowhow and become a company that would be at the cutting edge of research,” said Somaiya.
Today, Godavari Biorefineries boasts of its deep rooted research and development practices for enabling the company to become one of the largest sugar producers in India in single location and one of the leading manufacturer of ethanol, ethanol based organic chemicals, renewable power & bio fertilizers.
“As a fresh chemical engineering graduate, the first assignment that my father gave to me was to develop a department for research that can make products to face international competition and a department that will try to strengthen company’s exports. My skills were put to test immediately and the team that I built then is still there today,” recalled Somaiya.
The company currently has a team of over 30 persistent scientists working towards making new products and innovation.
Manufacturing Excellence
The company has two large manufacturing locations in Maharashtra and Karnataka. Sugarcane as a feedstock is converted to sugar, ethanol and electricity. Ethanol is then converted to a range of commodity solvents and specialty chemicals. The company currently manufacturers about 20 products from sugarcane and is now working on making products from Bagasse other than electricity.
The company also manufactures natural waxes and compost and has also recently entered the branded segment with sugar, salt and turmeric under the brand name Jivana. “Our chemical products go into a wide variety of fields such as printing inks, intermediates of pharmaceutical, paints, cosmetics, frothers, etc. This all comes from a knowledge driven approach to business,” said Somiaya.
Solutions for the industry
- Flavours and Fragrances
- Mining: Replacing MIBC as a frother due to its carcinogenic property
- Plasticizers: Working on replacing carcinogenic phthalates
- Cosmetics: Making natural skin-friendly emollients
- Renewable Power: Using sugarcane as feedstock to make renewable energy via Bagasse.
- Inks & Coatings: Using Green and renewable solvents
Quality Measures
An organisation’s credibility comes from its quality. Godavari Biorefineries has ingrained quality in its DNA. “Quality is not just one thing but needs to be looked at as a whole in terms of product quality, process quality, the quality of the facility and the quality of the relationship that the organisation has with the people it works within the company and outside in the community,” said Somaiya.
Apart from a combination of certifications, the company believes in improving quality and productivity from the base level. “We continuously work with our farmers to see how their yield can be improved, ensure their soil is healthier and employ sustainable practices to get higher and good quality yields while improving the farmer’s productivity,” he added.
Sustainability Quotient
The company has been striving to reach sustainability in every aspect of production and functioning. Their work towards water conservations and management and their recent endeavour to reduce water consumption in the facility by half, got them recognition from ICC and FICCI. In a time where every global organisation is striving to achieve high sustainability in their operations, interestingly at Godavari, more than 65% of the inputs come from renewable resources already. “For more sustainability, we are now focusing on the new products and are trying to make them from renewable resources as well. We are also trying to see how we can make our farmers more sustainable in terms of inputs they use in their farm,” explained Somaiya.With various collaborations with agricultural institutions, research organisations, and experts along with farmer education, awareness and participation, the company has been constantly trying to achieve more productivity with less land, chemicals, water and other natural resources are develop solutions to ensure sustainability of agriculture.
Growing Together
An organisation is built by its employees. Moving ahead with over 1,500 people employed by the organisation, Mr. Somaiya believes in going beyond the ordinary. The motto - Earn with a 100 hands and give back with 1,000, is just one way in which company believes in paying back its debt to the society.
“A combination of various factors culminates into making us a company which constantly works towards productivity enhancement. In this process we also try to do a whole social transformation with us. And we have been doing this way before ‘social responsibility’ became a buzz word,” said Somaiya.
Future outlook
The company recently launched three products in the last two years and has over five to seven products in the pipeline to be commissioned in the next 2 to 3 years. These products also have a stream of expansion plans lined up. “We try to make transformation of biomass and this transformation can be chemical, physical, biological or agricultural. Our focus is on expansion of the existing business and introduction of new product lines,” said Somaiya.
The company has a current turnover of over Rs 1,365 crores where over 35 percent of turnover comes from export. These are numbers that quantify a business.
However, it is not the number that is generated in business but the number of lives that are touched that matters more. And the number of lives that Godavari continues to touch is an endless journey.
THE AUTHOR: DEBARATI DAS
Click here to download the pdf file.
Godavari Biorefineries Limited increases production capacity to 50 million litres per year of fuel grade ethanol up from 15 million litres currently
Mar 21, 2016Godavari Biorefineries Limited has commissioned its expanded facility for dehydrated ethanol (fuel grade) manufacturing at Sameerwadi in Karnataka. With this expansion, the company has the capacity to make 50 million litres per year of fuel grade ethanol, up from 15 million litres currently. The expansion of the fully automated plant using Molecular Sieve Dehydration Technology was completed in 5 Months. The facility will use byproducts of their sugar manufacturing process as raw material.
Godavari Biorefineries Ltd. is a biorefining company producing sugar, biofuels, chemicals, power, compost, waxes, and related products, using sugarcane as the primary feedstock. The company has manufacturing plants at Sameerwadi, Bagalkot district in Karnataka and Sakarwadi, Ahmednagar district in Maharashtra.
Samir Somaiya, Chairman and Managing Director said, "The expansion, is an extension of our strategy to create more value from our renewable stocks. The expansion will help our greater participation in the blending Programme of the Government of India that mandates target of 5 percent blending of bio fuel with petrol.
The company had recently raised private equity from Mandala Capital, a part of which was for the setting up of this plant.
About Godavari Biorefineries Limited
Godavari Biorefineries Ltd., a member of the Somaiya Group, was established in 1939 and is one of the leading companies in the Indian sugar industry. It has sugar, power and chemical plants in Karnataka and Maharashtra. Godavari Biorefineries Ltd. expects a turnover exceeding Rs. 1,200 Crores for the year ended March 2016.
The company undertakes continuous research and innovates for making new products and entering new markets in order to derive maximum value from its feedstock. The company has been pioneers in the making of ethanol based chemicals and is now working on the utilisation of biomass to make a wider variety of products.
Click here to download the pdf file.
Ahead of what's next
Mumbai, Progressive Grocer | Feb 17, 2016
Samir Somaiya, CMD, Godavari Biorefineries, which has entered the branded foods category by introducing the ‘Jivana’ brand for its sugar, salt and turmeric products, speaks to Progressive Grocer about the growth prospects of his products and its plans to expand the reach across markets and consumer segments
Tell us about your foray into the food industry. How did a maker of biofuels and specialty chemicals come into the food business?
Our roots have always been in agriculture. We started in 1939 as a company that processed sugarcane to make sugar. Over time, we also took up the manufacture of ethanol, biofuels, renewable power and chemicals to our product mix. But even now, sugar and agriculture are an important part of our business. We have also been in the business of making salt for many decades now. Recently, we decided to enter the branded foods category by introducing our ‘Jivana’ brand. Our sugar, salt and now turmeric products will be sold under this banner to consumers.
You started with salt and sugar and now into turmeric. Are there any special and particular reasons for getting into these categories?
Sugar and salt have been our ‘bread and butter’ for many decades now. And our products have always been acknowledged in the wholesale market as having good quality. We thought the branding of the same would be a natural extension of our offering. We have always promoted the growing of turmeric among our farmers as a rotation crop and, in some cases, as an inter-crop. In our country, farmers have smaller land holdings, and it is important for them to be able to get good value from their land. Th is crop combination would add value to the farmer’s income. As the programme grew, we naturally thought of buying the turmeric, processing it, and offering high quality turmeric to our ‘Jivana’ consumers. Turmeric is also among the most commonly used spice in most Indian kitchens because of its medicinal properties, which dates back to the ancient Vedic culture of India.
What is special about your products in these categories that sets you apart from your competitors?
We look at our foray into food products in two ways – creating access for farmers and food producers to the retail markets and providing individual consumers with food, which has been grown through sustainable means and is of good quality. This is very important to us. In all the areas that we work in, we maintain a close relationship with our farmers, and work to advance their social and financial sustainability. Our processing is also done in very good facilities, so that the product is hygienically packed, and is pure.
What is it that makes Jivana more appealing to consumers?
Jivana products appeal to the customers as they are of good quality, come in attractive packaging and at a competitive price. These factors ensure consumer trials and repeat purchase for Jivana products.
Which consumer segments and demographics are your products targeted at?
Our target group is decision makers for grocery purchases in Indian homes. In 98% of households, this target group comprises women. We started with branded sugar and salt, and have recently launched turmeric. Since these are the most basic food items in every kitchen, the opportunity for growth is limitless. We aim to be the favoured brand of foods in most if not all Indian kitchens. In recent times, SEC A, B & C homes are seeing an active shift from loose to packaged/branded products and this segment is going to grow exponentially. We are targeting this consumer household. Placements have been done in stores catering to these kinds of homes in metros, mini-metros and class I towns across a few states.
What is the retail presence of your brand in these product categories?
Jivana is present in general & kirana stores across the states of Maharashtra, Gujarat, Rajasthan, and Karnataka across metros and mini metros and a few class I towns.
What is the consumption pattern, growth rate and market size for your product categories?
Jivana sugar was launched in January 2015, followed by Jivana salt in April 2015. We have seen very encouraging response for a new brand. We have recently been nominated as one of the fastest growing brands of 2015. Turmeric was launched in January 2016.
Sugar sells the most as consumption is the highest. The branded sugar space has few large players and a very large loose sugar market open for capturing. Salt, though a challenging product due to very low costs/margins, is also an amazing product category. Jivana salt has seen good growth as it competes well on price with the market leader TATA and several regional brands across the target cities. An increase in sales will make it more cost effective.
How do you see the demand for these products in the future?
Branded retail foods/ staples is a sector that is going to grow leaps and bounds in the coming years. Consumers are choosing better & safer food options for their homes. Th is translates to choosing packaged/ branded foods over loose. Like water, atta, oil, etc., most commodities will switch to being branded in the next few years. We expect good growth for Jivana sugar and salt, and are also confident about expanding into the spices category.
How do you see the growth trends for your products in urban versus rural areas?
We are a new brand. The major markets to start with for any new brand would be ones that can bring in the volumes. We have started with metros, mini metros and class I towns and have seen good growth there. Our smaller SKUs are seeing good response in smaller towns too. Our plan is to have a systematic growth plan for both urban and rural areas.
What are your plans for strengthening the market share and consumer reach of your products?
Our promise is “purity in foods”. The aim is to provide good quality foods for Indian homes and that will remain our primary focus. Jivana Foods would be synonyms with purity, quality and consistency at all times. To strengthen market share and reach, aggressive placements are the first step followed by a clever marketing plan, as also relationship building with our channel partners and retailers. All these together will ensure our sustained growth.
Which are important factors for the retail pick up of products?
Good quality of products, aggressive placements, right price and effective promotions/ retail schemes will ensure that Jivana is purchased repeatedly.
What is your strategy for retail outreach?
Jivana comes from The Somaiya Group, a company known for its honesty, strong values and a will to uplift the community. Our strategy is simple – to make and retail foods that we want our country to eat and flourish with. Basic foods like sugar, salt and spices are bought from the neighbouring grocer so it is very important to be present there. The sheer number of retail/ kirana outlets bring in the volumes and reach. Visibility in modern retail is also important, so being present in the Big Bazaars, D-Marts and Reliance stores, etc., is also imperative. We believe that good quality products are the first stepping stone to building sales, followed by aggressive placements, good promotions for the retailers as well as consumers.
As a young brand, what do you think will be the challenges in distribution?
Price sensitive commodity brands, despite having a good distribution, can be quickly replaced by competitive brands. Th e challenge in distribution is to be present on the retail shelf each time. Distribution is cost intensive and there is high attrition in sales, which can be minimised by creating volumes and a good incentive structure.
Click here to download the pdf file
Godavari Biorefineries Ltd. launches ‘Jivana Turmeric’
Jan 20, 2016Godavari Biorefineries Ltd. has entered the spices category under its food brand ‘Jivana’.Godavari Biorefineries Ltd. launches Jivana Turmeric after their successful foray with Jivana Classic Sugar, and Jivana Refined Iodised Salt.
Jivana turmeric is hygienic, pure, and rich in colour, flavor and texture with freshness intact.It stimulates protein digestion, and is an excellent blood purifier. The packages are available in 50gms, 100gms, 200gmsto cater to the demands of various segments. It will be available in Maharashtra, Gujarat, Rajasthan and Karnataka.The turmeric is finely packed in high quality packaging material such that it maintains its freshness and nutritional value.
Jivana turmeric is manufactured and packed in Bisnal Village, Bagalkot
Speaking on the launch`Jivana Turmeric', “Mr. Samir Somaiya,CMD Godavari Biorefineries, said the company has come out with two productsJivana Sugar, andJivana refined iodised salt which are the two most basic ingredients used by the Indian housewives in their cooking.The company has gained valuable experience in the foods segment after the launch of `Jivana Salt and Jivana Sugar' and the entry into spices segment was a natural extension of the foray into the market”
About Godavari Biorefineries Ltd
Godavari Biorefineries Ltd is one of India’s leading and sustainable company producing sugar, other foods, biofuels, chemicals, power, compost, waxes, and related products, using sugarcane as the primary feedstock. Our aim is to engage in research and innovate by continuously making new products and entering new markets in order to derive the maximum value from our feedstock. Our research areas include sustainable farming, transformation of biomass (chemical, mechanical and biological), product development, and process optimization. Founded in 1939, we have been pioneers in the growing, processing, and utilization of biomass to make a wide variety of products.
We are now working on the next generation bagasse-based bio refinery and also the biotransformation of sugar to biopolymers.
For more information, email at: consumercare@somaiya.com or call on: 022-61702111
For more information, please visit: www.somaiya.com
For media queries: aarohancommunications2@gmail.com
Tel: Meera: 9821156976/ Shirin: 9769229595
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