The unexpected rise in temperatures this year has sparked a significant spike in India’s thirst for instant drinks, sending consumption soaring in both cities and villages. Rasna International, a leading player in the soft drink powder space, is seeing a steep surge in orders but is grappling with distribution hurdles. “The summer arrived ahead of schedule, which is a boon for us. Yet, fulfilling deliveries swiftly has become our biggest obstacle,” remarked Rasna Chairman, Piruz Khambatta.
Urban areas are fuelling much of the growth, but the rural picture is less rosy. Despite higher consumption potential, weaker purchasing power in villages is slowing momentum. “The rural demand hasn’t matched our projections since disposable incomes haven’t risen as anticipated,” Khambatta observed.
To overcome logistical bottlenecks and prepare for future spikes, Rasna is strengthening its distribution framework. The company is aiming to expand its retail reach to 1 lakh outlets by 2026. Additionally, it is investing in a new production unit in Patna, dedicated to manufacturing litchi-flavored concentrates with an annual output of 2 million cases.
Globally, the fruit concentrate sector is on an upward trajectory, projected to hit $7.27 billion by 2031, growing at over 14% CAGR. Rasna is tapping into this growth by emphasizing mass production, cost efficiency, and localized sourcing. “Our large volumes and use of Indian raw materials allow us to offer the best prices globally, outperforming even Chinese competitors,” Khambatta added.
#BeverageBoom #SupplyChainSolutions #SummerDemandSurge #RuralMarketTrends