FMCG Industry Snapshot

which is not the case now, it said. The survey added: When prices go up, farmers

would plant sugarcane and India would switch from a net importer to a net

exporter. A collapse in sugar prices, caused by the switch to exports, would

pressure the margins of millers and eventually delay payments to farmers. The

farmers in turn would switch to other crops forcing India to switch back to being

an importer of sugar. It pointed out that there will be a further fall the sugar

production in the country, as several mills have been operating with very low to

negative margins, and the levels of arrears to farmers is reaching historic highs.

This summer, Appy, Frooti,Real and Rasna to pack same old cool drinks in

new bottles

Ice creams may not be so cool this summer, with most brands hiking prices. But,

cool drinks will still be saviours for consumers hit by the sweltering weather.

Beverage companies like Parle Agro and Rasna have decided not to hike prices

despite raw material costs going up. Instead, they are innovating on pack sizes and

price points. "Mothers are already finding it difficult to manage discretionary

spending, so we haven't hiked prices for most pack sizes," Piruz Khambatta, CEO of

fruit juice concentrate maker Rasna said. Other fruit-based drink brands like Appy,

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 FMCG Industry Snapshot

Frooti and Real too have no immediate plans to hike prices. However, they are all

looking at new pack formats and price points to increase market share and fight

competition. Parle Agro, for instance, is bringing out Frooti and Appy in 250ml

bottle packs priced at Rs 15. "We will also be targeting rural audience by launching

Frooti and Appy tetra packs at Rs 5," Nadia Chauhan, CMO & JMD, Parle Agro said.

Rasna too will soon be launching variants of existing products in newer pack

formats, Khambatta said. Dabur's Real and Real Activ products, which are now

available in 25 variants, will come in newer flavours soon.

Marico's 'Saffola Total' television commercial was 'misleading': Advertising

sector watchdog ASCI

Advertising sector watchdog ASCI has upheld a complaint against Marico, terming

its television commercial as 'misleading', where the FMCG firm had claimed that its

blended oil - 'Saffola Total' - is better than olive oil. According to the Customer

Complaints Council (CCC) of Advertising Standard Council of India (ASCI), Marico's

claim was misleading, where it had said 'Saffola Total' has two times better

nutritional value and health benefit than olive oil. "The complaint was considered

by the Consumer Complaint Council... As per their decision, the complaint was

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