18 Ice Cream Times -January-February 2022
Editor’s
Word
H olding an optimistic view of
2022 for the ice cream industry.
India’s ice cream industry that faced a
complete washout last year due to Covid,
is making a strong comeback. Top
companies like Amul, Hindustan Unilever,
Vadilal, and Mother Dairy are all set to
capture the market this summer.
Two waves of Covid 19 impacted the ice
cream industry in the years 2020 and 2021.
However, 2022 offers hope because the
third wave is breaking up, allowing the
industry to make a comeback during the
summer season. This time, ice cream
manufacturers are attempting to make up
for their losses. According to industry
participants, they have had two
consecutive drought years and are seeing
strong vibes to recoup this year. With
many new startups and flavours reaching
market, the ice lovers await to return to
normal night life usually after dinner for a
treat of sweet delight.
Not lagging behind, ice cream makers are
always ready with new endeavours. One
such company, Good Fettle, a Mumbai-
based F&B company, has received an
undisclosed seed investment from Agility
Ventures. In April 2019, the company was
the first in India to introduce low-calorie
ice cream. This approach of business in ice
cream encourages newcomers to join the
band-wagon. Good Fettle says that they
aim to get in touch with our customers on a
regular basis in order to learn their
opinions and develop new items.
Various food fusions have taken over the
internet. While most of the connotations
leave you disgusted, there are a few worth
a try. However, the weirdest food fusion is
between sweet and savoury. One of our
favourite street foods, gol gappa, also
known as pani puri, has been paired up
with unsuspecting item- milk, cream and
sugar making it Gol Gappa ice cream.
Also, some vendors are trying with masala
dosa ice cream as a fusion. While people
are wishing that the torture of their street
food would end soon, the vendors are in no
mood to do so. Taste and trial matters!!!!
Coming back to ice cream industry,
manufacturers and consumers all await to
see the best summer season that will be
starting from March onwards. Hoping for
the best this season, we wish luck to the ice
cream industry!!!!
Firoz H. Naqvi
Group Editor
New Year Edition 2022
The Indian ice cream industry anticipates
a revised and innovative 2022
O
verview
For two consecutive years in a row, the
ice cream industry in India has incurred
huge losses with sales plummeting to a record
low due to a significant dip in demand and curbs
imposed to rein in COVID-19 infections. Being
a Rs 15,000-20,000 crore industry, the ice cream
sector registers around 70 per cent of its sales in
the summer months – from March to September.
This year, with the third wave towards the end,
the ice cream industry is optimistic.
Due to the pandemic, the industry has not seen
even half of its normal sales volumes in the
period. With lockdown sales tumbling, almost
12,000 small and large ice cream manufacturers
are in serious financial difficulties, and many are
shutting shop.
The ice cream industry in India was projected
to generate revenues of around $3.4 billion by
2021. But these targets look impossible in a
post-COVID world. Industry players say it has
been two consecutive dry years for them and they
are struggling for recovery this year. Ice cream
consumption has fallen by 60–80% in the country.
Brands that are largely dependent on ice cream
parlours to reach customers are the most hit.
And now, another blow to the industry is that
ice cream sold by a parlour or any similar outlet
would attract GST at the rate of 18%. This levy
on ice-cream supplies with retro effect from July
2017 has led to a near meltdown for thousands
of ice-cream parlours, most of which are small
businesses.
Furthermore, ice cream consumed at home
cannot compensate for the lost market because
60-65% of ice cream consumed in the country is
consumed outside of the home. The silver lining
Pradeep Chona
The ice cream industry in India has been struggling since the pandemic.
Restrictions, lockdowns, myths, taxes, etc. pushed this industry towards
a loss. But 2022 brings new hope for it, as the ice cream industry is
tilting towards sustainable change and innovation to keep up with what
it relinquished. Apart from taste and texture, it focuses on health and
wellness. As consumers become more educated about ingredients and the
health benefits of a plant-based diet, there is a massive shift in buying
behaviour. In both the dairy and non-dairy sets, there is a continued
preference for clean-label, low-sugar, and less processed ingredients. The ice
cream industry knows now it’s time to innovate and focus on consumers’
needs to regain what it lost during the pandemic.
for the ice cream industry has been the opening this year are to continue surprising and treating
up of the e-commerce channel and home delivery the taste buds of customers with lip-smacking
of ice cream. food, festivals, and delicious innovative ice-
creams, even if that requires working with
Apart from the lockdown, the fears of ice shoestring budgets considering the curfew
cream causing COVID infection have hurt the timings and COVID, which is speeding like wild
industry the most. Industry players admitted that fire”.
they could not win consumer confidence back.
Consumer confidence in the product is fragile Our latest introduction at Huber & Holly is ice
and the industry would have to come together to cream tacos, which we are introducing this month
dispel the COVID myths. in 3 unique flavours – chocolate, saffron, and
paan.
Optimistic 2022 for the ice cream industry
In the years 2020 and 2021, the business of ice Gurnish Chhabra, Director of Fab Flavours,
cream was affected by two waves of COVID-19. wishes for a good summer free of COVID so that
the industry can function normally and ice cream
However, 2022 presents hope as the third wave consumption patterns increase across the country.
is weaving off, so the summer season can be a
comeback for the industry. Ice cream makers are Fab Flavours has developed a lot of new flavours
really hoping to cover up the losses this time. for ice cream and other industries and is going the
extra mile to promote new concepts and ideas to
Pradeep Chona, director of Havmor the customers.
Restaurant Pvt Ltd, said, “If the last two years
have taught us anything, it is that the only certain Going along with this, Manjith Shaju, Founder
thing around us is uncertainty. So my plans for of Bolmay Cocoa, stated that with the start of
Gurnish Chhabra Manjith Shaju
19 Ice Cream Times -January-February 2022
a new year, Bolmay has introduced fresh and
natural ice cream coating dips. The variety gives
flavours, and in the case of ice cream, one can’t
even stop counting. Let the dips be in the flavours
of strawberry, mango, or white/milk. They will
delight everyone. Expanding the plan, Bolmay
has also brought sugar-free chocolate coatings
for diabetic people, taking the health concern in
mind.
While Vikas Agarwal, MD, of DUKES INDIA
considers that increased awareness about COVID
vaccination and its acceptance amongst people
has put the economy back on track. “We have
experienced the change and its conversion in
our business volume in the last 2 quarters. We
believe that sharp economic recovery will result
in an upward trend in the ice cream and bakery
industries for the year 2022. “
This summer we are expecting growth in the
market as the COVID restrictions are less as
compared to the last 2 years. The increase in
disposable income will also play a crucial role
in the growth of the ice cream and frozen dessert
industries, elucidated V. Srinivasan, Head of
Specialty Fats, Adani Wilmar.
Mirtillo International’s VikasPatil, MD,
stated that in this new year, the company will be
releasing new ingredient solutions for plant-based
ice creams, delicious low-sugar and no-added-
sugar ice creams, as well as natural and clean-
label emulsifiers and stabiliser systems. “Doing
innovation from time to time keeps you alive and
sustainable growth, and wishing the ice cream
industry all the best in this new year, we expect
good sales this year to bring prosperity back,” he
added.
Well, this year my whole concentration will be
Vikas Agarwal
to empower small and medium-scale ice-cream
manufacturers to upgrade the quality of their
end product by installing ICYTIN’S ICYPHA
machine and to help them come at par with the
bigger players, informed Nitin Singh, director at
ICYTINS Solution (OPC) Pvt. Ltd.
Sunil Pamnani, CEO of Gemni International,
stated that this year will see the introduction of
rolled sugar cone machines in addition to their
existing moulded sugar cone machines, which are
among the largest in the world.
Print Express’s Vijay Siyaram Sharma states
that as pandemic situations begin to diminish,
social conditions are improving. “We, as a
packaging supplier, are completely focused on
the supply chain to deliver the product on time
and at the best quality possible. The rise in the
raw materials is a challenge for the whole market,
and we are bringing in the best options that could
fulfil the purposes of our clients.”
According to Gajendra Bhardwaj, Sampark
Infoways of Teetar Design, this year is all about
picking up what was left behind and creating
something even grander than before.
Businesses are gearing up again after tough times,
and this time there are new challenges as well
as old ones to address. This year, Teetar is more
upfront in welcoming people from different parts
of the world to work with us. We are aiming for
more reachability and levelling up our skill-set
and strategies to cater to a more global clientele. “
Omar Mohammed, MD, Alfah Cashews,
derived that Alfah Cashews is supplying 80–85%
of the ice cream manufacturers in Kerala
and is trying to reach other states’ ice cream
manufacturers as well. “We are now focused
on establishing storage facilities in major cities
so the buyer can get the materials quickly,” he
added.
Tectonic changes in the ice cream industry
Although the world almost came to a halt during
the first and second waves of COVID-19,
indulgence did not stop. Instead, it shifted as
consumers sought reassurance from the familiar
and sought out the delicious as comfort in their
homes. The industry saw a move away from
single-serve impulse buys, which were replaced
by a trend towards multipacks of premium ice
cream instead.
Though taste and texture are at the top of
the ice cream industry, now, more than ever
before, we are seeing consumers looking at
indulgence through the lens of health and
wellness.
As consumers become more educated about
ingredients and the health benefits of a plant-
based diet, there is a massive shift in buying
behaviour. Plant-based and non-dairy alternatives
are popping up quickly to meet this new demand.
Also, in both the dairy and non-dairy sets, there is
a continued preference for clean-label, low-sugar,
and less processed ingredients. The ice cream
industry in India needs to innovate and focus on
consumers’ needs to regain what it lost during the
pandemic.
“However, we did witness a lot of changes in
customer behaviour. For instance, more and
more people, instead of licking ice creams while
V. Srinivasan
New Year Edition 2022
lazing around in the park, are now ordering in
ice creams at home to boost their moods and
enjoy them with the family while sitting on their
comfortable sofas and watching their favourite
shows on TV,” versed Pradeep Chona.
One of the major concerns is that the news of the
18% GST on ice cream parlours has added to the
ice cream industry’s concerns further.
“However, no matter what, ice creams have been
and will continue to remain a global favourite
delicacy and dessert, and I strongly believe the
players who will survive these times will be the
ones who will be successful, hygiene-conscious,
and continue to innovate to surprise customers
with a “Just do it” attitude,” stressed Chona.
India’s ice cream and frozen dessert industry
faced an abstruse situation in the last two seasons,
which tends to make a strong comeback.
Consumer preference has taken a major
turnaround because of COVID, and to cater
to this market effectively, innovation with
ingredients, health, transparent labelling,
and flexible packaging are expected to play a
significant role in the Indian ice cream and frozen
dessert industry, said V. Srinivasan.
Consumer preferences have shifted dramatically
as a result of COVID, and in order to effectively
cater to this market, ingredient innovation, health,
transparent labelling, and flexible packaging are
expected to play a significant role in the Indian
ice cream and frozen dessert industry.
He also mentioned that a new trend is boosting
the industry: the growing popularity of dairy-free
ice cream, which could be attributed to rising
health concerns, food allergies, or concerns about
animal welfare and sustainability.
Ice cream consumers are one kind of loyalist.
They are no longer frightened by the virus, and
the suppression caused by the pandemic has
pushed the consumers’ inner strength to the limit.
No one can predict the outcome of the flow of the
market, but as of now, the situation seems to be
moving on the brighter side”, adopted by Vijay
Siyaram Sharma.
Vikas Patil said, “Understanding the latest
consumer post-COVID is very important for
the industry to bring it to its pinnacle.” You can
observe D2C brands (Direct to Consumers) are
doing very well and growing profitably, whether
it’s an online platform through their own website,
Flipkart, Amazon, or home delivery and parlour
sales. “
So, as time passes, it is important to recognise
that consumers nowadays expect convenience,
and as a result, the ice cream industry should be
more focused on catering to this expectation in
addition to traditional business and distribution.
Also, consumers nowadays prefer healthy options
without compromising on taste, so the industry
needs to get equipped to offer healthy ice creams.
“Consumers nowadays go for proteins, fibres,
low carb, natural fruits, and they also understand
the sources of ingredients. This is the future
and you will see many new startups and regular
brands grow now depending on understanding
consumers who still have great purchasing power
even in a slowdown. Think about what will
Vikas Patil
happen after 3-5 years. Industry should prepare
for these futuristic customers.”
Vikas Agarwal defined the last 2 years as very
difficult for ice cream players. He added that
the pandemic affected crucial season times, i.e.,
summer in 2020 and 2021, but that this year the
ice cream industry will grow exponentially.
With a changed consumer mind set, social
media reach and experimentation have led to
new formats, new flavours and innovating new
categories like vegan, dairy free, keto ice creams
etc. Overall, we believe it’s an exciting time for
the industry.
Agarwal said, “We are also keeping a close eye
on changing consumer behaviour and addressing
those changes swiftly through our customised
solutions, sourcing and building an entire value
chain. This will help us to remain ahead of the
competition and relevant to the industry, “ he
added.
Gurnish Chhabra is sure that this year COVID
will be accepted as a part of our lives. “Everyone
now wants to get on with life and start being
normal. The UK has also announced the
withdrawal of restrictions. I think this should be
a good year for the industry as more and more
people are moving out, travel is increasing, and
restaurants and markets are getting fuller. In my
opinion, the industry should do well this year.”
The ice cream industry has expanded over the
years. For a business to grow and reach its
potential, changes are necessary.
“Obviously, the basis should be the same, but by
bringing variety, by introducing a new range of
products, we can lead the business from various
points of view. In the case of Bolmay, it will
always bring different ranges of products. This
can be said as a growth plan too, “said Manjith
Shaju.
Ice cream is an ever-loved product for people
worldwide. Even though the market was filled
with big industry giants, people still accepted
and loved new brands that brought taste and
uniqueness to their appeal.
“We see that people are opening up to different
options when it comes to the category of
ice-cream. They are more attracted to natural
products and are open to more vegan or organic
options too. People are becoming more health-
conscious and environmentally-aware. So, there
are a lot of ways to experiment in today’s ice-
cream business”, explained Gajendra Bhardwaj.
Innovation that can enhance the ice cream
industry
The ice cream industry, just like other industries,
has its own set of challenges. The only way
to survive here is by being agile and thinking
outside the box.
Pradeep Chona said it is important to keep
the innovation game on – be it products,
presentations, or packaging. We need to be on our
toes to think ahead of time and give customers
what they probably don’t even know they need
right now—an experience!
He revealed that the ice cream industry needs to
cash in on home comforts. With home delivery
Omar Mohammed
20 Ice Cream Times -January-February 2022
Nitin Singh
gaining so much pace, it is very important to
develop products that can be enjoyed in the
comfort of one’s own home.
Also, the focus on Gen Z is vital as, in this
digital age, we can’t ignore the 18–21 age group,
which loves to try new things and is always
eager to share their experiences on Instagram. It
is important in these times to be relevant to the
changing trends and be a leader.
Vikas Agarwal illuminated that they are driven
by their business philosophy, which is to “help
clients to succeed and the rest will follow.” Dukes
has innovative products pipelined for the next
few years that will cater to industrial clients and
their consumers and deliver a great ice cream
experience.
One way to grow the ice cream industry is by
giving quality ingredients, innovative products
and by keeping competitive prices for our clients,
resulting in lower costs for end consumers”,
added Agarwal.
While Vikas Patil said, “The ice cream industry
is an ocean of creativity where new flavours are
introduced every month, every season, but only
flavours will not work if we have to do something
extraordinary.”
Now is the time for the ice cream industry to
introduce new products like clean label, 100%
natural, no added or low sugar, or sweetened
naturally with things like honey, dates, organic
jaggery, etc. Ice cream with high protein, gluten
free, enriched with dietary fats, loaded with
good fats like DHA, omega 3, 6, and 9, is also
becoming necessary. Not to forget, lactose-free
and plant-based ice creams like oats and almond
milk have become popular.
“Let’s use our industry’s example of creativity
to engage our consumers with enthusiasm and
interest,” added Patil.
“We at Fab are always there to serve the industry
with new innovative and trending flavours. We
know vanilla is the mainstay of the ice cream
industry, but with the changing tastes and
incomes, people are trying newer flavours,” said
Gurnish Chhabra.
He added, “People are aware of the new trending
flavours all over the world, and we in India have
a rich heritage of flavours and tastes.” Our teams
of flavourists are constantly working on flavours
with our ethnic tastes and also international ones.
“Variety in the product line gives options to the
customers. Any time is best to introduce new
products to the market. Their success is dependent
on the reach and supply of the product. A specific
product requires multiple hits and trials before it’s
completely accepted by the consumer.
“As far as the current situation is concerned,
this could be a very good time to diversify the
market’s consumption into new products,” added
Vijay Siyaram Sharma.
In the current scenario, not only the demand for
ice cream but also the demand for any indulgence
product has been rising in recent years. And it
has been noted that ice cream is the most popular
Vijay S. Sharma
product among others. From Bolmay’s end, new
varieties will always be brought into this sector.
Along with the ice cream industry, Bolmay will
always look after people too. What’s new or what
exciting do they need, whether it’s about different
flavours or different products “, elucidated
Manjith Shaju.
While V. Srinivasan said, “We are about to extend
our basket with a range of products which tend
to cater to the problems evolving in the current
market.” Consumers are shifting towards non-
dairy products for many reasons, but they also
desire the same rich and creamy outcomes, which
gives us room for development.
“The raw material prices are at a whole-time
high, which has pushed the industry on the back
foot. So, we, as an organization, are working
on products that can provide a solution to the
problem”, he revealed.
“We are trying to understand changing patterns
in consumers’ eating habits and preferences in
general to devise better approaches to appeal to
them. The ice cream industry is one such industry
that we have been working in frequently, and
we believe we are developing the right outlook
towards this field to truly understand its changing
needs”, explained Bhardwaj.
Omar Mohammed informed us that they are
planning to launch caramelised nuts for the Indian
ice cream industry. “We will be testing this with
our existing customers, and we will launch it for
the Indian ice cream sector.”
Company’s Mantra
Huber & Holly Ice cream: To develop the best
products across its brands, this company’s
single focus mantra is the customer and only
customer!! For the welfare of the customers,
they use the best ingredients and test them in
their own labs, after which they are sent for
trials first amongst employees and then piloted
across a few stores. They launch new products
at Huber and Holly and open them to the public
after total satisfaction, because the customer is
not king, but GOD.
Fab Flavours: The company works on a
lot of fusion concepts, as it wants to offer
customers unique and signature flavours for
their products. They work very closely with the
clients to understand their needs for the flavours
and make products suited to them. Fab’s
market research team keeps up with the latest
trends in the market and helps develop flavours
accordingly.
Dukes India: is a company that takes the
strategy development process seriously. It
all starts with an in-depth understanding of
customers, consumers, and industry, followed
by the relevance phase, i.e., what opportunities
are relevant based on the company’s strengths,
they pursue it and implement their strategy.
Over time, the process has transformed the
organisation into one that is more agile,
customer-centric, and forward-thinking. That is
why Dukes India has been able to add value to
our clients in a way nobody can match.
Mirtillo International: For this company,
consumer trends are the most important factor
Sunil Pamnani
in developing your company. Flavour selection
or flavour launch based on sensory feedback
from experts and professional tasters always
provides an accurate vision for reaching the
right consumers. Mirtillo is already the best at
this by introducing new flavours every month
and season. The industry can, however, be
successful by looking for repeat purchases or
immediate growth in specific flavours.
Print Express: For this company, its products
are as necessary as any given nutritional part
of the product. Packaging is critical for the
transportation of goods.The potential and
unfulfilled demands in this industry are a
motivator for our company, and we strive to
move ahead with the same enthusiasm as before
the pandemic arrived.
Bolmay Cocoa: Every brand has a story, and
half of it is revealed in their products. And as
Bolmay’s products reach the people, they unfold
half of the story. There are many reasons behind
Bolmay’s growth. But the huge credit goes to
Bolmay’s team, the great team they have built.
And mainly due to that team’s different systems
and methods, Bolmay has reached the end of
people. It has been serving people with a rich
taste of its products, and so Bolmay brings a
little smile through just a few clicks.
Adani Wilmar: is an organisation that is
constantly striving to improve itself and meet
the needs of its customers. With the global
pandemic increasing, so do the production costs
for clients.
Hence, the company is working on a new
formulation to strike a balance between the cost
and quality of fats. During this pandemic, Adani
has introduced a number of products to its ice
cream fat portfolio and is continuously evolving
according to customer needs in the future. It has
a well-established R & D setup and always takes
care of clients’ needs and develops products to
best suit their requirements.
ICYTINS: Their products look out for client
satisfaction, which you get from all the visitors
from all over the country and abroad too, at the
time the machine is in operation, giving out the
end product, which clearly states the technology,
development of the integrated system, and
strategy.
Gemini International: The company’s goal is
to be the most important partner in the success
of our customers and to ensure that we grow
together.
Teetar: The company Teetar handles the entire
branding of businesses and keeps in mind that
in everything that they create, it projects their
business’s core values through designs. While
doing so, consumer psychology and current
trends have to be kept in mind. A detailed
analysis of the product, what it is all about, is
also necessary to bring out the right designs to
represent it.
Alpha Cashews:The company’s decisions on ice
cream are predominantly based on the ground
level insights that they get from the ice-cream
sellers. More than market studies or surveys,
Gajendra Bhardwaj
they bet on the ground reality and encourage
ice-cream manufacturers to look at a cashew
supplier who is in the market with a reputation
for standards and not just look at the price
alone.
ICT insights
This year, the ice cream industry is going to
experience a period of great creativity and
innovation. The impact of the coronavirus, the
lockdowns and the restrictions on the hospitality
industry have led many people to consume ice
cream at home. In this regard, it has become of
the utmost importance for manufacturers to build
new bonds with these consumers.
During the last few years, ice cream trends
have shifted toward greater flavour variety and
complexity and the search for new textures
that are fun, original, and daring in an attempt
to dazzle consumers. Manufacturers have set
off on a quest to find the “perfect ice cream”,
a goal that requires combining new flavours
(without forgoing the classics, such as vanilla
and chocolate, which are still attractive to many
consumers) and trying out new and surprising
textures. And not only that – they have also
had to adopt a transparent, healthy, and ethical
approach when choosing the ingredients for their
formulations. Low sugar formulations are also
gaining importance, and artificial sweeteners have
steadily lost ground. Erythritol, stevia, and monk
fruit are now the top three choices in low sugar
and sugar-free ice cream.
Holistic food exclusively composed of natural
ingredients free from additives and artificial
sweeteners is a macro trend that applies to most
foods. For ice cream, consumers also tend to
look for products manufactured with simple
ingredients that offer functional benefits. This
is why new vegetable product formulations,
natural sugar substitutes, and nuts are becoming
more popular. In this regard, for example, we are
seeing that some ice cream manufacturers are
launching their own certifications to strengthen
concepts such as Gluten Free, while others
are reinforcing their good for you claims with
healthier preparations such as products free from
preservatives, low in fat, or that include fresh,
top-quality ingredients.
The ice cream industry is also following the
high protein trends, with the percentage of ice
creams with added proteins rising from 1% to
2% during the last 4 years, according to data by
Mintel. With the goal of continuing this trend, ice
cream manufacturers are looking into different
healthy protein options, particularly vegetables,
as alternatives to dairy proteins, and nuts such
as peanuts and peanut-derived products play an
important role.
As we have seen, dairy-free formulations, low
sugar recipes, transparent labels, and ethical
ingredients are some of the top trends in the ice
cream industry. Nuts and nut-derived ingredients
are fully aligned with many of these ice cream
consumption and manufacturing trends. On one
hand, they boost the nutritional value of
formulations, and on the other hand, they
perfectly mesh with many of the new drivers of
innovation in the industry. Henceforth, amends
and innovation are what will change the course of
the ice cream industry in this pandemic-effected
world.