IGI Logo

Vertically integrated business operations resulting in quality products and operational efficiencies

The company’s manufacturing operations are vertically integrated, enabling them to control the production process. This result in improved operational efficiency, reduced production costs, and enhanced control over the quality and origin of ingredients. They manufacture besan or gram flour and spices such as chilli powder, cumin powder, coriander powder, and turmeric powder, which are key ingredients to produce various types of namkeen and gathiya products. They also manufacture raw snack pellets to produce snack pellets, controlling the production of these ingredients allows them to maintain consistent taste, texture, and quality of their products, and reduce dependence on external suppliers, thereby resulting in lowering the overall cost of production. They possess the ability to customize machines according to their specific requirements, ensuring that the machines are optimized for the production of their product portfolio. For instance, they have customized machinery set-ups, including fryers, machines for manufacturing raw pellets, mixing machines, blending machines, ingredient controllers, and weight controllers.

These setups enable them to manufacture products with consistent temperature, shapes, textures, and taste. Additionally, they have customized their product identification mechanisms, automated warehouse, and conveyor roller belts, which facilitate their postmanufacturing processes. Furthermore, they employ a gravity-driven material movement process where raw materials flow from the top, are converted into finished products, and immediately transported downwards into cartons for delivery. Their belief is that this combination of technological capabilities and customization approach allows them to achieve cost efficiency in their operations.

As on Sep’23, the company owned and operated 263 logistics vehicles. They have an engineering and fabrication facility located in Rajkot, Gujarat, where they manufacture customized containers that are mounted on their vehicles for transporting their products. The facility is also equipped to perform repairs and maintenance on their logistics vehicles.

Their capability to manufacture containers ensures the strength of the metal body, protecting their products from heat, rain, and humidity. Furthermore, owning a fleet of customized logistics vehicles helps them avoid undue delivery delays, minimize the risk of in-transit pilferage, and prevent demurrage due to incidental delays. Additionally, using their logistics vehicles featuring their branding during transportation contributes to brand building. They have a cold storage situated within their primary manufacturing facility in Modasa, Gujarat. As on Sep’23, the facility boasted an annual installed capacity of 40,000 MT.

This capability enables them to manage storage conditions and offers flexibility in terms of storage schedule. Their vertically integrated business model, combined with their advanced manufacturing capabilities and processes, has resulted in a competitive advantage. This advantage strengthens their market position and grants them control over the production process, inventory management, logistics, quality of ingredients, and packaging of their products. As a result, they can effectively manage costs and facilitate the scalability of their business operations.

Strengthened and diverse product portfolio enables it to position itself in the organized snacks market

They offer a diversified portfolio of savory snacks, including ethnic savories such as namkeen and gathiya, as well as western snacks like wafers, extruded snacks, and snack pellets. Their product range caters to varied consumer tastes and preferences. Additionally, they provide fast-moving consumer products such as papad, spices, besan (gram flour), chikki, nachos, noodles, rusk, soan papdi, and washing bars. In recent years, the organized segment has strengthened its position in the savory snacks market by introducing new products and innovations that target both urban and rural consumers. As Sep’23, their product portfolio includes 84 products with 276 SKUs across various categories. Specifically, they offer 31 namkeen products and 8 gathiya products to meet consumer needs. Over time, they have established a strong presence in the organized snacks market in India.

Please refer disclaimer at https://www.nirmalbang.com/disclaimer.aspx
SEBI Registration number is INH000001766