Kolkata: Electrical appliances major Usha Shriram plans to foray into the FMCG segment and will launch a series of products over the next six months, its chief operating officer (COO) Satnam Singh Sandhu said on Friday.
Speaking on the sidelines of an event to launch the company's packaged drinking water brand "Aquaero" in Kolkata, he said, "Through the launch of this packaged drinking water, we are entering the FMCG sector. We are in the process of launching atta, maida, besan, pulses, spices, edible oil and ghee under the brand name of Usha Shriram in the next two years. For that, we have earmarked an investment of approximately Rs 300 crore mainly for R&D and marketing.
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The investment will be a mix of equity and debt, he added. The company, which has a turnover of Rs 470 crore, will not set up any manufacturing facilities of its own for the FMCG products but source them from partners.
Explaining why the company wants to enter the FMCG sector, he said, "Usha has been a very trusted household name for long, and so it is our natural expansion in FMCG. We are aiming at Rs 1,000 crore turnover from the sector by 2030."
The company, which has a presence in the water purifier segment, today marked its entry into India's Rs 50,000 crore packaged drinking water segment. The company has tied up with two local beverages manufacturing partners in Bengal for sourcing.
Starting with eastern India, the packaged drinking water will be made available across India over the next year, Sandhu said.