“India is one of our key international focus markets and we are investing to build this important business.” This is very recent statement of the Chairman and Managing Director of Hershey India, Mr. Praveen Jakate.
US based Hershey Co. joint venture with Godrej Industries Ltd (India), Hershey India Pvt. Ltd. planning to invest $50 millionin the country (India) in next five years. Because according to the chairman o and director of Hershey’s India is a country where their growth rate is more than their expectations. He gives a statement that, “We anticipate an investment of about $50 million during the next five years in India as we focus on growing and expanding our presence in India.”
Basically it is a US based company but with joint venture with Godrej it comes in India. Hershey India sell 11 brands in India including their chocolate related products like chocolate syrup, milkshake, almond spreads etc and juices like Jumpin and Sofit. On the joint venture with Godrej Hershey India Chairman said, “We invest only on the products owned by The Hershey Co. rather than in those brought from The Godrej Industries Ltd.”
Hershey Co is investing in India including Brazil and Mexico also. But India is the only country where net sale grew 16% year on year. Chief Financial Officer of The Hershey Co., Patricia A. Little said on 30th October 2017 that “Constant currency net sale in India increased 16% and slightly exceeded our plan. Growth in the brands we are investing behind continues to be solid.”
According to the chairman of Hershey India Indian Market is full of competition for them. They have Cadbury the biggest and the leading competitor of them in the market. Cadbury is ruling the Indian as well as other markets also in chocolate products. They set a bench mark in the market for other competitors.
Although Hershey India is also developing their business in India very incredibly. Their plans of investment in next five years will make the market competition very strong and it will definitely help Indian Market in terms of growth.