United Biscuits of UK to enter India

13 Apr 2009

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The world's third-largest biscuit company, the UK's United Biscuits, is planning to enter India's Rs6,000-crore organised sector biscuit market.

United Biscuits, which has brands like McVitie's, Jacobs, Skips and Hula Hoops, is reportedly in talks with Indian biscuit companies, including Parle Products for its Indian operations.

The biscuit maker may tap the high-margin health segment of biscuits through its McVitie's brand, which is sold in over 100 countries.

It is learnt that United Biscuits is not looking at an outright financial investment or stake acquisition, but on manufacturing, marketing and distribution tie-ups that will allow its products reach the consumer as soon as it starts operations, according to the company's corporate communications head.

The British company has already set up a representative office in Mumbai and is in the process of hiring key officials to push its India plans.

The existing market leaders in the Indian biscuit market are Parle, Britannia and ITC, and the category has strong regional brands such as Priya Gold in the north, Cremica in the west and Dukes in the south.

United Biscuits is owned jointly by private equity firms, the US-based Blackstone and Europe's PAI.

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