Tata Consumer to Expand Food Services & Pharma Distribution in FY26
Tata Consumer Products (TCP) to scale up its food service and pharmacy channels nationwide, leveraging acquisitions and expanding international reach.
Tata Consumer Products (TCP) is set to expand its food services and pharmacy distribution channels across India in FY26 after successfully piloting them in select cities during Q3 FY25. The company, which acquired Capital Foods (maker of Ching’s Secret and Smith & Jones) and Organic India in 2024, is leveraging these brands to strengthen its presence in the hotel, restaurant, café, catering (HoReCa) industry and pharmacy networks.
Expanding Across Key Markets
The food service channel, initially launched in Mumbai and Ahmedabad between September and December 2024, focuses on providing bulk-packaged sauces, ketchup, noodles, and spices to the HoReCa sector. Meanwhile, the pharmacy distribution network is designed to sell Organic India products, green tea, low-sodium salt, mineral water, and other health-oriented items across pharmacies.
"With a strong product portfolio from Organic India and Capital Foods, we see significant growth opportunities in the pharma and food service channels. In many global markets, food services are often more profitable than retail consumer sales due to tailored product offerings. In India, adapting to HoReCa requirements, such as bulk-packaged sauces and spices, is a key focus," said Sunil D’Souza, Managing Director & CEO, Tata Consumer Products.
Scaling Up in FY26
- TCP plans to scale its food services network to 16 cities and pharmacy distribution to 40 cities by FY26.
- Capital Foods and Organic India generated a combined revenue of ₹850 crore in the first nine months (9M) of FY25.
International Expansion: TCP has leveraged Capital Foods’ global distribution network to expand its product reach and is now eyeing further international distribution partnerships to strengthen its presence in new markets.
"We have developed customized packaging, including five-litre jerry cans for soya sauce and half- and one-kilogram packs of chili powder, to cater specifically to the HoReCa industry. This business is accretive and profitable, and we see strong potential for expansion," D’Souza added.
Tata Consumer’s Growth Strategy
TCP operates across the food and beverage sector, offering products such as tea, coffee, plant-based meat, salt, pulses, liquid beverages, and cold-pressed oils. The acquisition of Capital Foods and Organic India has enhanced its ability to expand product portfolios and cater to diverse consumer segments, from health-conscious buyers to bulk food service operators.
With a strong focus on scaling its distribution channels, increasing revenue streams, and expanding globally, Tata Consumer Products is positioning itself for long-term growth in both the domestic and international food and beverage markets.
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