Food Processing sector in India is drastically important as it acts as an important bridge between the two main pillars of the economy, i.e Agriculture and Industry. The Indian food processing sector is considered as the second-largest producer after China with approximately 2% or vegetables and fruits, 8% marine, 35% milk and milk products and 6% of poultry being processed.

The food processing sector can be divided into the following categories

1. Cereal or pulse milling
2. Processing of vegetables and fruits
3. Dairy and dairy products
4. coffee, tea and cocoa
5. Fish and poultry products
6. Meat and meat-based products
7. Aerated drinks and alcoholic beverages
8. Bakery products such as bread, biscuits
9. Oils
10. Confectionery products and
11. Extruded food products

Welcome to Haldiram’s

Haldiram’s a private limited company based out of Nagpur, Maharashtra. The brand specialises in producing Indian sweets and snacks which has become one of India’s most trusted brand over the years. They’re manufacturing plants are located in Nagpur, Delhi, Gurgaon, Rudrapur and Noida with operational restaurants currently located in Nagpur, Kolkata, Delhi and Noida.

Haldiram’s manufacturers over 400 products which include traditional Indian namkeen, western snacks, Indian sweets, cookies, papads and many more. Apart from these the company also produces ready-to-eat food items as well.

The company’s main vision is to sustain and grow continuously in the global market both organically and inorganically with zero compromises on the quality and taste of its products.

History of Haldiram’s

Haldiram’s had opened its first tiny shop for sweets and savouries in Bikaner in 1937. In order to expand its reach to other customers, Shri Ganga Bhishen Agarwal (Founder of Haldiram’s) opened the company’s first manufacturing plant in Kolkata followed by Jaipur in 1970. The company in the early 1900s again opened its third manufacturing plant in New Delhi.

In 2003, Haldiram’s then started manufacturing and developing convenience foods which were marketed to its customers across the country. In 2014, Haldiram’s bagged 55th position among India’s trusted brands according to the Brand Trust report.

In 2017, the company was crowned as India’s largest snack company which successfully surpassed all its domestic and international competitors. Haldiram’s then started its first export to the USA due to the large Indian population present in the country. The company began its export with 15 products initially which were a favourite with the Indians.

After a huge success in the Indian market, Haldiram’s made its products available to more than 80 countries across the globe including Sri Lanka, UK, USA, UAE, Canada, New Zealand and many more.

What is Haldiram’s Unique Selling Point?

The company is well-known and known for its brand awareness. With the company’s presence both domestically and internationally, the brand awareness is on the higher side has been an Indian brand the company has been able to supply and reach its customers on a global scale.

Haldiram’s known for having an extensive product line with over 400 products manufactured and supplied globally to all its customers. Products such as chips, namkeens, sweets, sherbet, cookies, etc are few of the products that are available in the diversified portfolio of the brand.

 The brand is well-known for its quality, taste and hygiene while making the product. The consumers across the globe would want the products they consume to have unparalleled quality, so Haldiram’s ensure to deliver its products with the highest degree of quality and excellence and at the same time using their resources responsibly.

Haldiram’s known for its attractive product packaging which attracts the customers while they shop in a retail store. The brand has also priced all of its products appropriately and economically so that every customer can relish its products. This can further help the company to create a global presence in the market and also build a brand reputation so that they can export their products internationally as well.

What are the benefits of owning a Haldiram’s franchise in India?

One of the best benefits that a Haldiram’s franchise owner can get is the unparalleled taste and quality the products have along with prices that are both affordable and economical to all the consumers across the country. As a franchise owner, you don’t have to take any extra effort to establish a brand name as Haldiram’s already has a strong and well-reputed brand name both nationally and internationally.

With the brand’s presence not only in India but in other countries like USA, UAE, UK, New Zealand, etc Haldiram’s not only getting a cutting edge over its competitors but the same benefit is provided to its franchisees as well.

The quality of its products speak for themselves and this also acts as a selling point, therefore the franchise owners don’t have to spend extra on the marketing and advertising of its products in order to increase its sale. This means that the franchise does not have to spend an extra dime as there are no other hidden costs to the business deal.

What Are the Requirements to Start a Haldirams Franchise in India?

What is the area required for setting up a franchise outlet?

Haldiram’s franchises are distributed into three formats. Depending on which format the potential buyer chooses the built-up area is given.

• Casual Dinner – The built-up area required for this format is between 2000 to 5000 Sq.ft
• Kiosks – The built-up area required for this franchise format ranges from 75 to 100 Sq.ft. The main factor being the location at which the Kiosk is to open.
• Quick Service Restaurant – The built-up area required for this particular franchise format is from 1000 to 1500 Sq.ft

What are the skills required to set up a franchise in India?

The potential owner of the outlet needs to possess entrepreneurial and leadership skills to run the outlet in a professional manner with heavy footfalls.

The cooks hired at the outlet should know how traditional Indian sweets and namkeen items are made and their methods should most importantly align perfectly with that of the company’s.

The servers at the franchise outlet should be polite and courteous and should possess complete knowledge on how the products are made, the ingredients used in them, their shelf-life and also show them other products as well according to their taste and preference.

Which are the regions of operations for Haldiram’s?

The regions where Haldiram’s operations are Gurgaon, Rajasthan, Delhi, Punjab, Panipat, Janakpuri, Panipat, Noida, Ghaziabad, Uttar Pradesh, Faridabad, Kolkata and many more.

What is the training required for running a Haldiram’s franchise outlet?

The company will provide a detailed manual to the franchise management so that everyone will be able to understand the dos and dont’s on how a franchise should run within the company guidelines.

There will be a 2 weeks training course which will take place in Kolkata for the entire franchise management. The main head office will also provide its franchisees filed assistance during the setup of their store.

The IT systems will also be incorporated in the franchise and adequate training on how to use the system will also be provided. The franchise owners will also receive expert guidance from head offices based out of New Delhi and Kolkata.

What is the minimum staff requirement to run a Haldiram’s franchise?

The minimum staff required to run any of the above-mentioned franchise formats ranges from 2 to 15 employees.

What are the financial requirements needed to own a Haldiram’s franchise in India?

To open a Casual Dinner franchise the total investment amount required ranges from 1 crore to 4 crores. This amount is inclusive of 2 office staff, rent, maintenance, light. Water and electricity. As per Haldiram’s guidelines the potential franchise owner needs to have at least Rs.2,50,00,000 to run the outlet.

 To run a Haldiram’s Kiosk franchise the total amount of investment is the lowest when compared to the other two franchise formats. The maintenance of this specific format is also the easiest. All you need to do is to get a valid Haldiram’s licensing before you start selling the products. You can also apply for this franchise by logging on to the Haldiram’s website.

To run a Quick Service Restaurant the total investment needed is approximately 1 crore to 3 crores. This particular franchise does not require a big area but needs to be located on prime property.

Apart from the investment amount mentioned Haldiram’s also require a royalty fee of 2.5% annually.

The franchise agreement is signed for a period of 9 years and can be renewed once the stipulated time comes to an end.

The profitability of Haldiram’s can be explained through a hypothetical example shown below

Total investment made in franchise = Rs.1,00,00,000

Expenses incurred in a month

• Rent paid for a 2000 Sq.ft area = Rs.7.00,000
• Salaries paid to 5 employees (Rs.10,000*5) = Rs.50,000
• Miscellaneous expenses incurred for the month = Rs.10,000

Total expenses incurred in a month = Rs.7,60,000

Income earned in a month

• The average footfall of customers in a day = 200 customers
• Average amount an individual spends in store = Rs.300
• Total income earned in a day (200*Rs.300) = Rs.60,000

Total income earned in a month (Rs.60,000*30) = Rs.18,00,000

Gross profit for the month

Gross profit for the month (50% of Rs.18,00,000) = Rs.9,00,000

Total profit for the month

Total profit earned in a month (Rs.9,00,000 – Rs.7,60,000) = Rs.1,40,000

You can get back your entire investment based on the profitability example within 5 to 6 years.

Conclusion

Do you know Haldiram’s turned out to be such a big business opportunity? It was because 70 years ago when they laid their foundation in Bikaner, the company’s main focus was to attract customers through its attractive packaging for its ready-to-eat products.

Once this goal was achieved, Haldiram’s goal was to provide its customers with unparalleled taste and quality of its products by using the highest quality of raw materials and also using the resources responsibly. This is how Haldiram’s successfully managed to become the No.1 brand in the ready-to-eat food sector in India along with exports to countries Internationally. Thus creating a global footprint on the entire world with customers relishing its products even today.