Orkla India, the listed maker of MTR Foods, is restructuring the sales and distribution network of Eastern Condiments nearly five years after acquiring the southern company, the firm confirmed this week. The revamp focuses on modern trade, quick commerce, and convenience foods, marking a strategic shift in Eastern Condiments’ approach to the Kerala market, according to livemint.com.
The decision follows years of analysis of Eastern Condiments’ business, which has been deeply tied to Kerala’s unique retail landscape. Sanjay Sharma, CEO of Orkla India, said the company aims to adapt to evolving consumer preferences and retail formats by enhancing its presence in modern trade channels and quick commerce platforms. This approach intends to complement Eastern’s traditional strengths while expanding its reach in convenience-focused segments.
This move reflects broader trends in India’s food and FMCG sectors, where companies are increasingly prioritizing modern trade and digital commerce to capture urban consumers. Orkla India’s focus on quick commerce aligns with rising demand for faster delivery and ready-to-eat products. The revamp also positions Eastern Condiments to compete more effectively with other regional and national spice brands adapting to changing market dynamics.
Orkla India acquired Eastern Condiments in 2021, and the sales model overhaul announced this month represents a significant strategic shift. The company will report its next quarterly earnings on August 5, when investors will assess the impact of these changes on Eastern Condiments’ performance in Kerala and beyond.