Friday 6 January 2017

The Knack of Snack: Perfected by Nichrome

The ball of innovation keeps rolling in the snack industry. Whether it is a new flavor or a product variant, a healthy option or a new entrant from overseas, manufacturers continuously introduce novel offerings to make the most of the exciting prospects in India.

Snacks used to be an occasional indulgence. Or a munch between meals, primarily at tea time. But today, snacking is synonymous with a ‘fourth meal’. The industry is booming worldwide, with India leading the way. In the savoury snacks market for instance, the Indian market has been forecasted to have the highest growth among all the other countries in the world – 16.6 percent between the years 2015 and 2020.

Snack is described as a small quantity of food eaten between meals or in place of a meal. Snack food generally comprises bakery products, ready-to-eat mixes, chips, namkeen and other light processed foods. . Though very large and diverse, the snacks industry is dominated by the unorganized sector. Potato chips are the bestselling snack in India. Yet according to an Apeda survey, almost 1,000 snack items and300 types of savouries are sold across India. The variety is almost mind- boggling with specialties from all regions, which have gained national acceptance.

The industry has been growing around 10% for the last three years, while the branded segment is growing around 25% per annum to stand at Rs 5,000-Rs 5,500 crore, due to various reasons like Multiplex culture, snacking at home while watching TV, pubs and bars (where they are served free). AC Nielsen's retail audit shows that the large sales volumes are due to a marked preference for ethnic foods, regional bias towards indigenous snacks and good value-for-money perception. Of course the branded segment is much smaller at Rs 2,200 crore, which is what makes it so attractive to food companies that are looking at bigger shares. In the branded snacks market, Frito Lay commands a share of 45%, followed by Haldiram’s at 27% and ITC at 16%.

Hectic lifestyles, urbanization, increase in purchasing power, growth in female work population, expansion of nuclear families and growing concerns of hygiene have led to the explosive growth of the packaged snacks market. Also, given the increasing concerns surrounding ‘unhealthy’ snacking, players have positioned brands and products around ‘health’, e.g. baked, roasted, multigrain, low fat, organic, fibre-rich, vitamin fortified, etc. to reach out to the health-conscious segments.

Today, well-packaged snacks are commonly associated with greater credibility, longer shelf life and better product quality. Moreover, with globalization and the rapid growth of the packaged snack market in India, more snack companies are starting to sell their products across India, and abroad.

Easy on-the-go packs of single-serve convenience are also a growing trend in India. The demand for small snack packs has increased considerably over the past few years, especially in the rural regions where price is a primary factor in snack purchase. In cities too, a recent survey has found an increased preference for on-the-go snacking.
Nichrome’s Vertical Form Fill Seal (VFFS) snack & namkeen packaging machines help manufacturers address the challenges of snack packaging. Nichrome is a leading supplier of packaging technology for the Indian snack industry, with a client list that includes Nestle, Haldirams, Chitale Bandhu and Bambino.

The inherent fragility and odd shapes of snack foods have to be taken into account while ensuring minimised costs and a highly efficient packaging process. Nichrome’s VFFS machines are also ideal forpotato chips packingdry fruit pouch packagingbiscuit packaging and for other products like Wrapped Candies, Macaroni, Biscuits, Pasta, Seeds, Breakfast Cereals, etc.

Nichrome’s Snackpack and Namkeenpack automatic snack packaging machines deliver speeds of up to 150 packs per minute. The gas-filled pouches provide protection for brittle snack products such as potato chips, while the vertical concept of the packaging solution helps to speed up the process. They allow easy format changes to produce CSPP and gusseted pouches of different sizes besides perforated chains of pouches. Namkeenpack also offers a variety of seal patterns such as Broad Seal with D Cut, Euro Slot, V-notch and V Serrated Edge. This gives snack manufacturers production flexibility and the convenience of packaging snacks in various styles and sizes according to marketing strategies, regional preferences, serving sizes and dietary needs − with just one machine.

Apart from offering versatility and efficiency, Nichrome’s Snackpack and Namkeenpack machines have also been designed to ease operational and maintenance challenges. Operations are simplified and to facilitate maintenance, they are also equipped with servo-technology that helps to reduce and eliminate technical errors.

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