Instant drink maker Rasna International, said it’s targeting 30-40 per cent growth in FY26 on the back of early onset of summer season, capacity enhancement, distribution expansion and new product launches. The company on Friday launched fruit drink powder concentrate called Rasna Rich eyeing a share of the fruit juice segment. It said it is also looking to launch a ready-to-drink product in the coming months.
Piruz Khambatta, Chairman, Rasna International, said, “We are investing ₹40-50 crore in setting up a new plant in Patna with a capacity of 2 million cases annually. This will be our 12th plant. This will also give access to litchi food concentrates for our portfolio.”
With growth expectations of 30-40 per cent, including exports, for FY 2025-26, Khambatta said, “With the launch of the “richer, thicker and tastier” fruit drink powder concentrate, ‘Rasna Rich’, we aim to grab a share of the fruit drink market, which is currently estimated to be ₹20,000 crore. We also believe that this will make mango-flavoured drinks more accessible.”
The company also said that it’s ramping up direct distribution to one lakh outlets by the end of the next fiscal year. Its overall distribution network is at 1.8 million outlets.
Tepid rural demand
Rasna Rich promotional starting price of ₹10 which yields 3 glasses of the beverage. The company said the strategy is aimed at offering more affordable pricing of fruit drink per serving compared to its peers.
Talking about channel growth trends, Khambatta said, “As quick commerce is expanding beyond metros, it has opened a big growth channel for us. Overall, 7 per cent of our total sales now comes from e-commerce, out of which about 3 per cent is now quick commerce.” He added that quick-commerce growth has been impacting modern trade channel sales.
He added that rural demand has not been growing at the pace that it was expected to and is critical for the FMCG industry’s growth turnaround. “We expect Rasna Rich to strengthen our presence especially in the mass urban markets,” said Kambhatta.
A low-calorie ready-to-drink beverage product in the wellness segment, which is part of the company’s future launches, is also in the works, he said.
The company exports to 60 countries and said that it has also been growing at a fast clip.
