India continues to remain one of the fastest-growing major
economies globally, with GOP growth estimated in the range of
6.S%-7.0% for FY 2025-26. supported by strong domestic demand,
infrastructure development, and stable macroeconomic
fundamentals
The country also benefits from a large and young population, with a
median age of around 28 years, driving sustained consumption
growth. The Indian food and grocery market remains one of the
largest segments of the economy and is projected to exceed
US$ 1.3 trillion by 2026-27, driven by rapid urbanization, rising
disposable incomes, and evolving consumer preferences towards
packaged, processed, and convenience foods.
Increasing penetration of organized retail, e-commerce platforms,
and quick commerce has further accelerated demand in the FMCG sector.
The food processing industry continues to be a critical pillar of Indias
economic growth, contributing significantly to employment generation,
reduction of agricultural wastage, and value addition to agricultural
produce.
Government initiatives led by the Ministry of Food Processing Industries
(MoFPI), such as Production Linked Incentive (PLI) Scheme for Food
Processing Industry, PM Formalisation of Micro Food Processing
Enterprises (PMFME). and development of mega food parks, have
strengthened the sectors infrastructure and investment ecosystem.
) KEY GOVERNMENT INITIATIVES
PLI Scheme
for Food Processing
Industry
rib PM Formalisation
of Micro Food Processing
Enterprises (PMFME)
-J* Development of
Cs) mega food parks
Indias food processing sector is expected to maintain strong growth
momentum in FY 2025-26, supported by robust domestic demand,
policy support, and rising exports. The industry size, estimated at
around U5$ 3SO* billion in 2024, is projected to reach approximately
USS 500-535 billion by FY 2026-27, reflecting sustained expansion
across value-added food segments.
- Increasing consumption Government initiatives such as
* Su??n#dgrowth ,Tl 0) processed and /?JV\ ?A? the Production Linked
till demesne demand, policy Mi convmi.nc. foods, rapid steady growth in FY 2025-26, In^^^rW^^
umonrf and rkinn nixvtr urbanization, and expansion indicatino imorovino V infrastructure development
support and nsmg exports. inoicatmg improving are further expected to accelerate
of organized retail and global competitiveness. investments, enhanm supply chain
e-commerce channels. .fhewncy, and strength
overall growth outlook.
The sector continues to play a critical role in the economy, contributing
nearly 7.5%-8% to manufacturing output and supporting over 7 million
jobs, highlighting its importance as a key employment generator.
Growth in FY 2025-26 is being supported by rising consumption
(with Indias total food market expected to reach -USS 1.2 trillion
by 2026). increasing demand for packaged and convemance foods,
and rapid expansion of organized retail and e-commerce.
Indias diverse eg ro-climatic conditions continue to support large-scale
production of cereals, pubes, fruits, and vegetables, positioning the country
among the leading global food producers.
The Indian food and grocery market remains one of the largest segments
of the economy and is estimated to be over USS 1.1 trillion in 2025, forming
a major part of the overall retail sector Organized and traditional retail
together account for nearly 65-70% of total sales, with rapid growth
in modem retail and e-commerce channels.
A strong food processing industry remains critical for ensuring
] B food and nutritional security in India by improving shelf life,
enabling efficient transportation, and enhancing accessibility
of food products across regions. It also supports farmers
through better price realization and value addition to
agricultural produce.
)The FMCG sector in India continues to witness steady growth,
driven by improving consumption demand, product premiumization.
and expansion of distribution channels including e-commerce
and quick commerce. The sector is expected to grow at a
moderate rate of around 7%-9% in FY 2025-26, supported
by volume recovery and stable pricing. Rural demand has
shown stronger momentum compared to urban markets in
recent quarters, aided by improved income levels, government
support, and agricultural performance, thereby contributing
significantly to overall FMCG growth.
Going forward, resilience across supply chains, manufacturing
processes, and distribution networks will remain a key focus
area for FMCG companies. Increased adoption of technology,
data-driven consumer insights, and agile logistics systems are
expected to enhance operational efficiency and help companies
sustain long-term growth.
Global wheat production reached record leveH m 202S-26. estimated
at around 841-842 mKon metric tons, driven by improved yields in
major producing regions such as the European Union. Russia, and
Argentina.
For the upcoming 2026-27 marketing year, global wheat production
is expected to shghtiy moderate to around 820-82S mibon metric
tons, primarily due to normafctatien of yields alter record highs and
some reduction m harvested area across key regions.
Global consumption continues to remam strong and *s expected to
A ttay dose to record levels, supported by steady demand for food.
feed, and industrial use. particularly in emerging economies such at
^ India and Southeast Asia At the seme time, global wheat stocks are
expected to romam relatively comfortable, with adequate supply
levels helping stabilize international prices.
AMONG MAJOR PRODUCERS:
European Union |
Russia & Black Sea Mggn region continue to wjj Wy influence global supply, though geopolitical risks remain |
.?gT- United States & Australia may see ™ pressure due to acreage and weather factors |
Argentina & L , Canada are expected
to support global supply with relatively stable production |
Wheat continues to be one of the most important Rabi |
| The crop typically has a growth duration of 100-120 days. WH ? with average yields improving to around 3,200-3.300 kg per hectare, reflecting gradual productivity enhancement. Wheat cultivation is best suited to alluvial and loamy soils with good water-holding capacity and neutral pH levels. |
| However, adverse weather conditions such as unseasonal nw rainfall, heat waves, and fungal diseases (e g., yellow rust) continue to pose risks to crop quality and yield. |
i STATE-WISE WHEAT PRODUCTION - INDIA
(Aligned to latest Govt. & Industry estimates for 2026: -120 MMT total)
1 State |
Production Share (MMT) % | Remarks |
| Uttar Pradesh | -38-40 32-33% | Largest producer |
| 2 Madhya Pradesh | -24-26 20-21% | Fastest growing |
| 3 Punjab | -16-17 13-14% | High yield state |
| 4 Haryana | -10-11 9-10% | Strong irrigation |
| 5 Rajasthan | -9-10 7-8% | Increasing area |
| 6 Bihar | -6-7 5-6% | Stable growth |
| 7 Gujarat | -3-4 2-3% | Moderate share |
| Others | -4-5 3-4% | Remaining states |
| All India | -120 MMT 100% | Record production |
, Source: -
Z- - Ministry of Agriculture & Farmers Welfare, Govt, of India - Second Advance Estimates 2025-26
- - USDA - Wodd Agricultural Supply and Demand Estimates (WASDE). 2026
- Industry reports & Reuters (2026) wheat outlook
?STATE WISE WHEAT
PRODUCTION ESTIMATES -
ALL INDIA
Indias wheat production outlook for FY 2025-26
remains strong, supported by higher acreage,
improved yields, and favorable weather conditions.
Z - Wheat acreage for the current season
) is estimated at around 33.4-33.8 million
hectares, reflecting a marginal increase
of about 1-2% over the previous year.
Average yields are expected to improve
to approximately 3,300-3,400 kg per
hectare, indicating a growth of around
2-3%, driven by better agronomic
practices and climatic conditions.
f \ - Wheat production is estimated in the
f ] range of 117-120 million metric tonnes
J (MMT), registering a growth of
^ approximately 3-5% over the previous
year, thereby reaching near record levels.
? State |
Production Range (MMT) |
Share in All India Production (%) |
Key Remark |
? Uttar Pradesh |
38-40 | 32- 33% | Largest producer |
Madhya Pradesh |
24-26 | 20 - 21% | Fastest growing |
^ Punjab |
16-17 | 13 - 14% | High yield state |
^ Haryana |
10-11 | 9-10% | Strong irrigation |
Rajasthan |
9-10 | 7-8% | Increasing area |
Bihar |
6-7 | 5-6% | Stable growth |
Gujarat |
3-4 | 2-3% | Moderate share |
PT Maharashtra |
2-3 | 2% | Gradual growth v |
Others |
4-5 | 2% | p 1 Remaining states |
All India |
117-120 | 100% | Near record production |
I -^ Source: Ministry of Agriculture & Farmers Welfare (Govt of India).
I USDA WASDE Report 2026, Reuters (India Wheat Outlook 2026)
jSf J FLOUR INDUSTRY STRUCTURE AND DEVELOPMENT M
The Indian wheat flour industry continues to demonstrate
X steady growth, supported by rising consumption of wheat-
based staple foods and increasing demand for packaged
and branded flour products.
The India wheat flour market was valued at approximately
USS 8.7-8.8 billion in 2025 and is projected to grow to
around USS 10.9-12 billion by 2031-2034, reflecting a
CAGR of about 3.4%-3.8% from 2026 onwards.
This growth is primarily driven by factors such as rapid
urbanization, rising disposable incomes, expansion of
organized retail, and changing consumer preferences
towards hygienic, fortified, and packaged flour products.
Additionally, increasing consumption of bakery and
processed food items such as bread, biscuits, and
ready-to-cook products is further supporting demand
in the flour industry.
. The packaged atta segment has emerged as one of the
fastest-growing categories within the flour industry.
The market was valued at around USD 82 billion in 2024
and is expected to reach approximately USD 196-200
billion by 2030, growing at a strong CAGR of about
15%-16%, driven by rising health awareness, brand
preference, and shift from loose to branded products.
At the global level, the wheat flour market is also
expanding steadily, with the market size estimated at
r/ around USS 194 billion in 2026, and expected to grow
at a CAGR of about 4% through 2034, supported by
increasing demand for processed and convenience foods.
FLOUR INDUSTRY STRUCLCTURE AND EVELOPMENT
The Indian wheat flour industry is demonstrating steady growth, driven by a shift to
packaged products, health trends, and urbanization. Market sizes, projected growth rates
and key trends for the industry are highlighted below:
| -$8.8 BILLION (2025) | $82 BILLION (2024) | KEY TRENDS |
| SZ * Shift to packaged and branded flour | ||
$10.9-12 BILLION (2031-2034) -$194 BILLION (2026) |
$196-200 BILLION (2030) |
LI products Rising health consciousness in consumer chokes { W Growth m organized retail H and urbanization Increase m bakery and processed food consumption |
Overall, the Indian flour industry is undergoing
C structural transformation, with increasing
formalization, technological advancements in
milling, and growing penetration of organized
players. The outlook for the sector remains
positive, supported by strong domestic
consumption and evolving dietary patterns.
Bharat Atta (Subsidized Wheat Flour Scheme)
)The Government has continued the "Bharat Atta" initiative,
under which wheat flour is made available at subsidized
rates through cooperative networks such as NCCF, NAFED,
and Kendriya Bhandar outlets. The scheme is aimed at
controlling retail prices of wheat flour and ensuring
affordability for consumers amid inflationary pressures.
The scheme remained active through FY 2025-26 with
periodic supply interventions.
Free Foodgrain Scheme * |
Wheat allocation remains |
provisions. - |
The scheme has been |
Open Market Sale Scheme (0MSS) - |
- In FY 2025-26, the |
Sale Scheme (OMSS) to control wheat prices by |
- Around 3-5 MMT of |
Export Restrictions & Trade
Policy Measures
To ensure domestic availability and price stability:
- The Government has continued restrictions on wheat
exports (initially imposed in 2022. still largely in place
with controlled exceptions). Import duty adjustments
remain a policy tool, although currently imports are
limited due to sufficient domestic production.
- These measures are aimed at preventing inflation and
ensuring adequate domestic supply
Minimum Support Price (MSP) &
Procurement
- MSP for wheat has been increased to *2,275
per quintal for RMS 2025-26. encouraging
higher sowing and farmer participation.
- Government procurement remains strong, ensuring
buffer stock maintenance and farmer income stability.
Digital & Supply Chain Reforms
- The Government is promoting digital procurement
systems. e-NAM integration, and improved
storage infrastructure.
- Investments in modern silos and warehousing
are helping reduce wastage and improve
efficiency in grain management.
The Company is well-positioned to leverage growth opportunities in
the flour and food processing sector, supported by its modern, fully
automated wheat flour and atta manufacturing facility, adequate
warehousing capacity, and strong working capital support. The
Companys adherence to international quality standards and
certifications such as FSSC and BRC enhances its credibility and
enables it to cater to both retail consumers and institutional clients.
The growing demand for packaged and branded wheat flour products,
increasing health awareness, and preference for hygienic and quality
food products provide significant growth opportunities.
The Company also benefits from bulk procurement capabilities.
enabling sourcing of high-quality raw materials at competitive prices.
thereby improving cost efficiency and margins.
Additionally, the Companys skilled workforce, efficient management
structure, and established brand presence in its operating region
provide a competitive advantage. Expansion of organized retail.
e-commerce channels, and institutional demand further
strengthens the Companys growth prospects.
The Company operates in a highly competitive market, where pricing pressure from
competitors, including unorganized players, may impact margins Intense competition
often leads to price undercutting, which can affect profitability.
Further, the Companys primary raw material, wheat, being an agricultural commodity,
is subject to risks arising from climatic conditions, such as droughts, unseasonai
rainfall, and other natural calamities, which may impact both quality and availability.
The business is also exposed to government policies and regulatory changes,
including export restrictions, stock limits, MSP revisions, and price control measures,
which may influence raw material costs and market dynamics.
In addition, fluctuations in input costs, supply chain disruptions, and
changing consumer preferences may pose challenges to sustained growth.
The Company continues to strengthen its presence in the branded segment
through its brands "Bhajan" and "Panchakanya." with a growing share of sales
coming from consumer packs. Increased demand for packaged and hygienic
food products, along with expansion in modern trade and quick commerce
platforms such as Blinkit. has improved market reach and customer accessibility. ^
The Company is also exploring opportunities in institutional sales and export
markets to further expand its business. qBHI
The Company has successfully commissioned its wholly owned subsidiary
at Bihta. Patna (Bihar) with a capacity of 350 TPD. enhancing its production
capabilities. Additionally, diversification into products such as Besan. Sattu.
Rice Grits, and Millet-based items is expected to strengthen revenue
streams and profitability. Overall, the Companys outlook remains positive,
supported by expansion, diversification, and increasing demand for
branded food products.
Regulatory risk:
The Company operates in a highly regulated environment
where government policies relating to wheat procurement, stock
/ limits, subsidies, and export restrictions may impact pricing and
availability. The Company mitigates this risk through efficient inventory ^
management and a focus on branded products, which provides relative
stability against policy-driven price fluctuations.
Competition risk:
The Company faces competition from both organized and unorganized
I players, which may exert pressure on pricing and margins. However,
its strong brand presence, consistent product quality, and diversified
product range help in maintaining a competitive edge in the market..
We are not just flour miller rather is the market leader of branded segment
of flours. Due to quality, consistent supply, brand image, wide varieties,
convenience in carrying, value for money peoples are moving towards
branded now a days. Enhanced focus on a 360-degree brand building
exercise and engaging customers at multiple points resulting in an
integrated communication approach. Therefore, risk from another
producer is mitigated.
Raw material risk:
Wheat, being the primary raw material, is subject to availability and price
fluctuations due to seasonal and climatic factors. The Company manages
this risk through established sourcing networks, adequate storage
infrastructure, and sufficient working capital to maintain optimal
inventory levels
Geographical risk: j
The Companys operations are currently concentrated in specific regions, ^ i
which may expose it to regional demand or market disruptions. To mitigate ?*?-* A
this, the Company is expanding its presence into new domestic markets ^ j W
and exploring export opportunities to diversify its geographical footprint. „
The Company has started its market from Jharkhand ten years back and
now it has its footprints in Jharkhand, Odissa, West Bengal and Adhra
Pradesh. With the successful commencement of operations at the
Companys subsidiary unit in Bihta, Bihar, the Company is now focused
on expanding its presence in export markets as well as strengthening its
domestic footprint across Bihar, the North-East, Maharashtra, Telangana,
and Karnataka. This expansion is expected to reduce risks arising from
geographical concentration.
The Company has adequate internal control procedure for the purchase of raw material,
stores including
components, procurements & management of fixed and other assets, sale of goods, human
resource
management, quality and operational management and other internal control system which is
reviewed
by internal auditor and managed by audit committee with the recommendation of the top
management
and timely reviews and recommendations are considered to strengthened the internal control
system
to ensure that the system is operating effectively and consistently throughout the period.
The financial statements are prepared as per the Accounting
Standards applicable to the Company. Detailed disclosure of
/ accounting treatment has been highlighted in nots to accounts of
financial statements.
No shares are in the demat suspense account or unclaimed
/ suspense account as on 31.03.2026
1
Statements in the Management Discussion and Analysis Report describing
the Companys objectives, projection, estimates and expectations may
constitute "forward looking statements" within the meaning of applicable
laws and regulations.
By their nature, forward-looking statements require the Company to make
assumptions and are subject to inherent risks and uncertainties. There is
significant risk that the assumptions, predictions and other forward-looking
statements may not prove to be accurate. Actual results might differ
materially from those either expressed or implied.
Readers are cautioned not to place undue reliance on forward-looking
statements as a number of factors could cause assumptions, actual future
results and events to differ materially from those expressed in the forward-
looking statements.
Accordingly, this document is subject to the disclaimer and qualified in its
entirety by the assumptions, qualifications and risk factors referred to in the
Management Discussion and Analysis Section of this Annual Report.
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