The international expansion is targeted at creating new markets for its farmers
◊ By Rutaksha Rawat
Haryana-headquartered organic and fairtrade company, Nature Bio-Foods (NBFL) Limited, which contributes 10% to India’s total organic food export volume to the tune of US$ 37 mn (approx ₹237 crore) per year, has announced the launch of two international wholly owned subsidiaries—Nature Bio-Foods BV, in the Netherlands—and Nature Bio-Foods Inc in USA.
“Having local presence in USA and the Netherlands will inspire greater confidence in our customers and allows for a deeper sense of involvement. We’re strongly equipped to fulfil the end-to-end requirements of our clients—right from cultivation to processing and packaging, and finally, delivery”
ROHAN GROVER, DIRECTOR, GLOBAL BUSINESS, NATURE BIO-FOODS LTD
While the Netherlands’ subsidiary has been established in April 2018, NBFL’s USA business is expected to be launched in the third quarter. NBFL, which is export-led, with 90% of its business coming from export sales, has already been catering widely to both USA and Europe. The company has now taken the decision to form local subsidiaries to cater more intensively to its customers—a move aligned with the company’s mission to achieve 100% sales for its farmers for which, creation of new markets is requisite.
“Having local presence in place will inspire greater confidence in our customers and allows for a deeper sense of involvement. We’re strongly equipped to fulfil the end-to-end requirements of our clients—right from cultivation to processing and packaging, and finally, delivery,” says Rohan Grover, Director, Global Business, NBFL.
NBFL’s international customer base primarily comprises business to business, “partners”, who have been allocated dedicated farms (by NBFL) to their projects and purchase 100% produce of the farms they undertake. “Our clients come to India, visit our farms and farmers and take over entire farms that are dedicated to their companies. Thus, they work with us actively as partners on our projects,” informs Anmol Arora, Director of Operations, NBFL.
With a 45% annual growth over the last five years, NBFL aspires to touch the US$ 110 mn-mark (approx ₹710-800 crore) by 2023 through market and category expansion, as well as, consolidation of its core offerings—rice and value added rice products. Plans are also afoot to promote its ecoLife brand in international retail markets.
Established in 1997, NBFL is owned by LT Foods. One of a clutchful of Indian companies to be both organic and fairtrade certified, the pioneer is also the first organic company in the country to have been conferred with the coveted CII Food Safety Award in December 2017.