Zurich-based Barry Callebaut, a $3.3 billion world leader in manufacturing cocoa, chocolate and confectionery products, is set to enter the Indian market in September this year.
To be headquartered in Mumbai, the company is also planning to set up its chocolate training academy in India by December to keep pace with the demand for talent as chocolate giants such as Hershey's and Fererro Rocher launch their products in India.
Barry Callebaut's foray is in line with the company's strategy to capture growth opportunities in the fast-growing emerging markets. According to industry estimates, the Indian market is expected to grow at 12 per cent for the next five years.
Maurizio Decio, vice-president, Asia-Pacific, Callebaut, said that the India operation would allow the company to serve its rapidly expanding customer base. The company currently supplies materials to Cadbury and Hershey's in the country.
"We are following our large multinational customers into this promising market. We will supply to national food manufacturers as well as numerous four- and five-star hotels and bakery chains in urban centres," said Decio.
The strategy is in line with the company's aim to increase the share of sales in regions outside Western Europe and North America from 11 per cent to 20 per cent by 2010.
Currently, the Indian market is estimated to consume about 45,000 tonnes of chocolate. Barry Callebaut, which is present in 23 countries with 30 manufacturing facilities, serves the entire value chain from food production to global retailing. It also provides a range of services such as product development, processing, training and marketing.