Click to play videoMumbai: Godrej group of foods and beverages is all set to enter into the mineral water segment with its exclusive range of bottled mineral water 'Aava', currently being sold in limited regions in the country.
The company is in talks with Ahmedabad-based Sheelpe Enterprises to market the brand on a larger scale.
Bottled mineral water by Godrej, 'Aava' is sourced from the Aravalli and is currently being retailed in Gujarat, Mumbai and Pune. However, the company plans to market it at a much larger scale.
"We are getting offers of source supply from the Himalayas and the foothills of the Himalayas. One or two sources are available from Kathmandu as well, one also from Gujarat. Keeping all this in mind, we plan to expanding our market share extensively," Director, Godrej Beverages and Foods, A Mahendran said.
The bottled water industry in India is worth Rs 1,000 crore. It is growing at 40 per cent a year and by 2010 it is expected to reach Rs 5,000 crore. With the mineral water distribution accounting for one third of the entire segment, it's here that the companies are parking their money.
Market leader Bisleri will introduce its mountain water variant later this month, while Seabuckthorn Indage, the makers of Lee Berry juice will launch its exclusive range of bottled spring water in the market. Also, Coca-Cola is believed to be eyeing stake in Himalayan, the market leader in the mineral water segment.
Analysts say this shift from packaged water to premium-fortified water is a strategy to cope with shrinking margins and stiff competition. Meanwhile, water, remains more than just a thirst quencher for Godrej.
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