Sanjiv Goenka, the chairman of RP-Sanjiv Goenka Group (RPSG) is upbeat about the company’s growth prospects in the fast moving consumer goods (FMCG) segment. The group has set a challenging target of Rs 10,000 crore from its FMCG operations, up from the current Rs 500 crore, over the next five years.
In an interview with CNBC-TV18’s Shereen Bhan, Goenka talked about his ambitious plans in the FMCG segment: “We were hoping we would be at a beat rate of about Rs 600 crore and we are at a beat rate of about Rs 500 crore. So, we are slightly behind on that, but we have got some very interesting new products ready for launch. In the space of guilt-free snacking, we hope that by the end of this year, we will launch our next category. A lot of work is going on and some very interesting products are emerging,” he said.
Goenka refused to comment on speculations about the company’s foray into the quick service restaurant (QSR) space, including businesses like McDonald’s.
“I am not going to comment on that. I am not going to say whether we are looking at it or we are not looking at it, we have been approached or we have not been approached. I am not getting into that. The primary focus for us is to really look at the consumer goods space in the FMCG segment. We are going to look at lots of products in this, lots of categories, and we are working on a lot of things. The research our team has been doing is actually coming out with very great results,” he noted.
Regarding his plans in the retail segment, Goenka says the company would look to grow very aggressively in three geographies – West Bengal, Andhra Pradesh and Eastern Uttar Pradesh. “These are the three geographies where Spencer’s is doing exceedingly well and we will grow very aggressively in these territories,” he said.