Gujarat’s Ice Cream Craze Heats Up Before Summer

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Gujarat’s Ice Cream Craze Heats Up Before Summer

| Updated: March 3, 2024 15:55

Vadodara: The scorching heat of summer has not yet arrived, but people in Gujarat are already cooling off with their favourite frozen treats. Ice cream brands have reported a 15% increase in sales in February alone, compared to the same month last year, across the state.

Major ice cream companies in Gujarat are predicting record-breaking sales between March and June. They expect this surge to be driven by both people eating ice cream at home and dining out at restaurants and hotels.

Amul, which is India’s largest FMCG brand, is investing Rs 1,000 crore to increase its manufacturing capacity. They’re building new plants in six locations, including Kutch, Surendranagar, Taloja, Pune, Ujjain, and Varanasi, bringing the total number of ice cream plants to 25 from 19 last season.

The company’s growth rate is between 25-30%, and they anticipate another strong year in 2024-25, especially after last summer’s disruptions due to unusual weather.

Sales in February were good, with the Gujarat market growing by 12-15% compared to the same month in 2023. Experts predict that this summer, the market will expand by a similar margin. Rural demand for ice cream has also been rising, mainly due to more electrification and higher incomes for farmers.

This year, there’s expected to be an increase in the volume of ice cream sold, as there won’t be any price hikes. While milk prices have gone up from last year, milk powder prices have stayed steady. Two years ago, the industry faced significant price increases due to higher packaging and raw material costs.

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