Usha Shriram Enters FMCG Market with Aquaero Packaged Water, Targets Rs 1,000 Crore Revenue

Usha Shriram has ventured into the FMCG sector by introducing Aquaero, a premium packaged drinking water brand. The company aims to double its revenue to Rs 1,000 crore within two years before considering an IPO. "Aquaero marks our third brand and our foray into FMCG," stated Usha Shriram COO Satnam Singh Sandhu. He noted the potential in India's Rs 50,000 crore packaged water market, where 60-70% is unorganised.

Expansion Plans and Market Potential

Rajarshi De, Usha Shriram's zonal manager for the east, mentioned that Aquaero was first launched in Kolkata and will soon expand to other eastern states. Sandhu expressed confidence in reaching the Rs 1,000 crore revenue target within two years. "Once we achieve that revenue threshold, we will look at an IPO," he added. The company plans further expansion into FMCG with products like atta, pulses, and other staples.

Investment and Growth Strategy

Usha Shriram has allocated Rs 25-30 crore for its FMCG expansion over the next two years. Of this, Rs 8-9 crore has already been invested in plant setup, branding, and rollout. Founded over four decades ago, Usha Shriram's diverse portfolio includes lighting, solar products, wires, switches, cookware, electronics, purifiers, and furniture. With Aquaero, the company aims to leverage its brand equity in the fast-growing FMCG market.

Sandhu highlighted that a GST reduction could boost demand for Aquaero. The company sees significant potential in the largely unorganised packaged water sector. By tapping into this opportunity, Usha Shriram hopes to establish a strong presence in the market.

With inputs from PTI