India's spices board has decided to float a new company to market spices across the country and abroad.
Flavourit Spices Trading Ltd is the new company's name that the Board has finalized in consultation with the ministry of commerce.
Minister of State for Commerce Jairam Ramesh said the new company will get into retailing of a wide range of spices like pepper, cardamom, mint, chilies, vanilla and cumin under the brand name of Flavourit.
"The first set of Flavourit products will be launched within two months," Ramesh said. The minister announced that the Spices Board is negotiating with Mother Diary for selling the products.
The Board is expected to invest invest Rs 10 crore (Rs 100 million) initially to set up the new company. It will be based in Cochin, in the Spices Board headquarters, but will have marketing offices across the country.
Flavourit will have its own supply chain to package and market different spices, produced by small growers across the country. Promotional services of the India Brand Equity Foundation will be taken for promoting the products in the international market.
The government's move to set up a new company to sell spices comes in the wake of surging exports of spices during 2006-07. Spices exports registered a growth of 33.74 per cent at $793 million as against Rs 592.90 crore (Rs 5.92 billion) last year.
The spices board has set an export target of $878 million for the current financial year.