Disclaimer
The section contains a discussion on the opinions and perceptions of the Management on the trends that impact the Company. It has been collated from Information available publicly and reports by various nodal and governmental agencies that the Management believes to be accurate at the time publishing this report. The Company does not undertake or revise any of the opinions or statements expressed in this report consequent to, inter alia, revisions to the reports mentioned herein, new information, future events or otherwise.
This Management Discussion and Analysis Report presents a brief presentation of Companys performance over the previous years and simultaneously attempts to make a fair and practical analysis of our strengths and weaknesses and our position at micro level vis a vis the global scenario. While we recapitulate our past performance in this Annual Report, we have also endeavored to present our areas of focus which we feel would help the Company to go to next level.
This report contains forward-looking statements, identified by words like plans, expects, will, anticipates, believes, intends, projects, estimates and so on. All statements that address expectations or projections about the future, but not limited to the Companys strategy for growth, product development, market position, expenditures and financial results, are forward-looking statements. Since these are based on certain assumptions and expectations of future events, we do not guarantee that these are accurate or will be realized.
Our actual results, performance or achievements could thus differ from those projected in any forward-looking statements. We assume no responsibility to publicly amend, modify or revise any such statements on the basis of subsequent developments, information or events.
INDUSTRY AND DEVELOPMENTS AND OUTLOOK
Global Market, Business overview & future of frozen industry.
Global Frozen Food Industry: Market Overview & Outlook (2025 2030)
1. Current Global Market Landscape (2024 2025)
The global frozen food market was valued at approximately USD 320 330 billion in 2024 and is projected to grow at a Compound Annual Growth Rate (CAGR) of 5.2 6% over the forecast period 2025 2030. The industry is broadly segmented into frozen ready meals, frozen vegetables and fruits, frozen snacks and appetizers, and frozen non-vegetarian items such as meat and seafood. The increasing consumer preference for convenience foods, along with innovations in freezing technology, has significantly boosted the growth of the frozen segment across global markets.
2. Key Geographies and Consumer Trends
The United States continues to lead in volume and value, with growing demand for ethnic and ready-to-eat frozen meals. Europe, particularly the UK, Germany, and France, is witnessing rapid growth in vegetarian and vegan frozen offerings. In India, domestic consumption is expanding rapidly, especially in Tier 2 and Tier 3 cities, driven by improved cold chain logistics and growing urbanization. The Middle East shows a strong preference for Indian and Asian ethnic frozen foods, while Australia is experiencing growing demand led by its South Asian diaspora.
Globally, there is a marked shift toward clean-label, preservative-free, and handmade or authentic ethnic foods. Retailers are increasing their private-label frozen offerings, and collaborations with QSRs (Quick Service Restaurants) are becoming more frequent. Popular frozen Indian traditional foods such as parathas, samosas, dosa batter, and idlis are gaining mainstream attention in several international markets.
Future Industry Outlook (2025 2030)
Emerging Growth Drivers
The global frozen food industry is poised for sustained growth, supported by several structural and consumer-driven trends. Urbanization and changing lifestyles continue to drive the demand for convenient and ready-to-cook meals. In emerging economies such as India, increasing freezer penetration and cold-chain infrastructure development are further expanding the reach of frozen foods.
The rise of e-commerce and direct-to-consumer (D2C) channels has transformed access and distribution, with online frozen food sales expected to grow at a CAGR of 15 18% globally. Cloud kitchens, dark stores, and last-mile delivery logistics are playing a critical role in enhancing frozen food accessibility. Additionally, the globalization of taste preferences and rising awareness around sustainability and health are accelerating demand for plant-based, low-carb, and gluten-free frozen products.
Regional Insights & Market Trends
India
India is one of the fastest-growing frozen food markets globally, with a forecast CAGR of 12 14% between 2025 2030. Improved cold chain infrastructure and increased consumer spending in urban and semi-urban areas are major contributors. Traditional frozen snacks such as samosas, tikkis, and parathas, along with frozen meal trays and South Indian breakfast items, are leading the category. E-commerce platforms like Big Basket, Zepto, and Amazon Fresh are becoming significant distribution channels, alongside modern retail outlets and institutional buyers in the HORECA segment (Hotels, Restaurants, and Caterers).
United States
The U.S. frozen food market shows a growing appetite for ethnic and preservative-free offerings, especially among its 5M+ South Asian diaspora. The ethnic frozen food segment in the U.S. is projected to grow at a CAGR of ~8%, reaching USD 9.5 billion by 2030. Key products include handmade samosas, frozen parathas, curries, and ready-to-use dosa and idli batters. Ethnic shelves in major chains like Whole Foods, Trader Joes, Costco, and Walmart are expanding, and D2C ethnic brands are gaining momentum.
Europe, Middle East & Australia
In Europe, the emphasis is on vegan and health-conscious frozen products, with strong adoption in markets like Germany and the UK. The Middle East has a sizeable market for halal-certified ethnic frozen snacks, driven by the expatriate population from India, Pakistan, and Bangladesh. This region is expected to grow at a CAGR of ~9%, with increasing demand from airlines, hotels, and labor camps. In Australia, the growing South Asian immigrant population is creating consistent demand for authentic Indian and Sri Lankan frozen cuisines, especially in urban and suburban markets.
Strategic Recommendations for Frozen Food Companies
To capitalize on the momentum in the frozen food sector, companies must prioritize product innovation, clean-label transparency, and targeted channel strategies. Investments in R&D should focus on developing preservative-free, vegan, and handmade ethnic meals. Expansion of cold chain logistics, particularly in emerging markets and rural regions, is vital to improving product reach.
Companies should also position themselves around the themes of "traditional taste", "authenticity", and "clean-label heritage", especially for international consumers. A dual strategy of B2B supply (private label, HORECA) and D2C sales through platforms like Amazon, Instacart, Zepto, and Blinkit is crucial. Exporters should also ensure compliance with international certifications such as BRC, US FDA, and Halal, to build trust and credibility in global markets.
Ethnic Frozen Foods: Niche Outlook for Key Markets
Industry Snapshot
The ethnic frozen food segment, which includes regionally inspired ready meals like biryani, paratha, idli, dosa, kebabs, and curries, is emerging as one of the most dynamic categories in the frozen food space. It is driven by increasing demand for authenticity, convenience, and health-focused traditional meals. This sub-segment is particularly relevant for companies like TANVI FOODS, which specialize in exporting Indian frozen foods across global markets.
United States: Growth Anchored in Diaspora Demand
The U.S. ethnic frozen food market was valued at ~USD 5.8 billion in 2024 and is forecasted to reach ~USD 9.5 billion by 2030, with a projected CAGR of ~8%. Key consumption is driven by the large and growing South Asian diaspora, as well as broader consumer experimentation with global cuisines. Product opportunities include South Indian breakfasts, North Indian curries, and ready-to-fry snacks. Distribution channels include major retailers, specialty ethnic stores, restaurant chains, and cloud kitchens.
India: Domestic Appetite for Tradition & Convenience
Indias ethnic frozen food category, valued at over INR 12,000 crore (~USD 1.4 billion) in 2024, is set to exceed INR 30,000 crore by 2030, with a CAGR of approximately 14%. Rising dual-income households, urban work culture, and increasing organized retail have catalyzed category adoption. Traditional frozen items like samosas, idlis, vadas, and biryanis are gaining traction in both retail and institutional channels. Theres a growing opportunity in cloud kitchens, hostels, cinemas, and in-flight catering.
10. Middle East: High-Value Ethnic Market
The ethnic frozen food market in the Middle East stood at around USD 2.5 billion in 2024 and is projected to reach USD 4.2 billion by 2030, growing at ~9% CAGR. The regions large expat population, coupled with a strong preference for halal-certified Indian and Asian meals, continues to drive demand. Retail chains like Lulu, Nesto, Carrefour, and Choithrams are major distribution hubs. Frozen foods also serve significant demand in labor accommodations, airlines, and large-scale catering operations.
Market Forecast Summary (2025 2030)
Region |
2024 Market Size | 2030 Forecast | CAGR | Top Products |
USA | USD 5.8 Billion | USD 9.5 Billion | ~8% | Samosas, parathas, batters, biryani |
India | INR 12,000 Cr | INR 30,000 Cr | ~14% | Idlis, vadas, samosas, curries |
Middle East | USD 2.5 Billion | USD 4.2 Billion | ~9% | Halal biryanis, snacks, samosas |
SWOT ANALYSIS OF TANVI
Strength:
R&D team lead by Promoters, and proactive approach in new product development based on the market needs, regional tastes and current trends. Plant in compliance with British Retail Consortium (BRC) standards which allows sale anywhere across the world. Having Own Fleet of vehicles in various capacities helps to plan as per customer requirement and within the timelines. Unique Selling Point(USP) has been developed having explored the domestic market across India as per the regional tastes. Being into the root level of institutional sales, it would become easy for the vendors or caterers to handle ready to cook food in huge volumes, rather than cooking by themselves which involves huge of manpower. Cold storage spaces operated & maintained by in-house team.
Opportunities:
Utilization of frozen products across the globe has risen up every year especially since last 5 years it has doubled or even tripled to its revenue before 2017 that too in the snack range. Theatres across India are looking for Samosa range product alongside French fires in hot basket close to our fancied street food. Private labelling requests from Wholesale giants (Walmart, Metro Reliance) can cover some segments of market space. Huge margins in Export Market where the product is already tested under private labelling. Scope for Expansion to other countries in the Export Market.
Weakness:
Limited Sales area coverage due to production output or Working Capital
Threats:
RawMaterial dependence on Agri foods where price keep fluctuating which may result in varying margins. As all ways new entrants will be disruptive which will be part of challenges in the business. High Inflation on Raw Materials.
CURRENT SPACE
With the current production capacities our market has been expanded to the core level in Institutional segment in Andhra Pradesh, and 50 % in Telangana being majorly in retail space. We have been supplying some parts of Karnataka & to Chennai.
EXPANSION SCOPE
There is a huge scope for growth in PAN INDIA. Being the monopoly in this product space there is an opportunity to grow the business as the awareness of the frozen products is increasing. As SAMOSA being a regularly liked snack by any segment of people, we have an immense opportunity to expand and grow the business. With a wide range of snacks that too non availability of easy to cook snacks helps us to grow further.
Having covered only Andhra Pradesh & Hyderabad only till date gives us wide scope to expand across Telangana, Karnataka, Tamil Nadu all other states and moreover exclusively Vegetarian preferred state like Gujarat gives is opportunity to expand with immediate effect. Wholesale giants like Walmart, Metro, Reliance have approached us for placing our products in their stores across INDIA.
RESELLERS
Current market sales are covered with most of this category in Andhra Pradesh. There have been continuous enquires from other resellers from several parts of Andhra, Telangana, Tamil Nadu & Karnataka based on the limitation of production facility we were unable cater to them and put them on hold.
INSTITUTIONS
Schools & colleges across India can be planned for supplies by appointing local distributors in each state which will help out in reaching them easily with on time connectivity.
THEATRES
Age old tradition of samosa as a familiar street snack and huge wastage of the cooked product the organizations are looking for frozen products which can be cooked and served hot within minutes of orders received which directly increases their profit ratios.
SEGMENT-WISE & PRODUCT WISE REVENUE
Segment wise Reporting is Not Applicable. Entire operations of the Company relate to only one segment. Kindly refer Note No. 20 of the financial statements for break-up of revenue.
INTERNAL CONTROL SYSTEMS AND THEIR ADEQUECY
The internal control systems adopted by the Company are adequate and appropriate to its operations. The system has been designed to ensure that assets and interest of the Company are protected and dependability of accounting data and its accuracy are ensured with proper checks and balances.
The Company has appointed an Internal Auditor, to oversee and carry out an internal audit of the Companys activities. The audit is based on an Internal Audit Plan, which is reviewed each year in consultation with the Statutory Auditors and the Audit Committee.
The Internal Audit process is designed to review the adequacy of internal control checks in the system and covers all significant areas of the Company operations. The Company has an Audit Committee, the details of which have been provided in the Corporate Governance Report. The Audit Committee reviews audit reports submitted by the Internal Auditors.
The Companys Audit committee meets the Companys Statutory Auditors to ascertain their views on the adequacy of Internal Control Systems in the Company and keeps the Board of Directors informed of its major observations at periodic intervals.
OTHER RISKS AND CONCERNS
The success of our business depends greatly on our ability to effectively implement our business and growth strategies. We plan to increase our sales from the prepared foods or our self-branded foods being sold under the brand of "Frozen Kings". We also plan to explore additional geographies as well as ramping up our processing capabilities.
We believe our experience and expertise will help us in executing these business strategies; however, we may not be able to execute our strategies in time or at all in the future. Further, our growth strategies could place significant demand on our management team and other resources and would require us to continuously develop and improve our operational, financial and other controls, none of which can be assured. Any failure on our part to scale up our infrastructure and management could cause disruptions to our business and could be detrimental to our long- term business outlook.
FINANCIAL PERFORMANCE Vs OPERATIONAL PERFORMANCE
Our standalone revenue from operations on standalone basis increased to 8469.74 Lakhs from 8,129.89 Lakhs in the previous year. Your Company has posted yet another impressive year of performance. Out of the total revenue approx. 78% has been generated from the sale of Frozen Products and there is a substantial increase in sale of other products as well. The following highlights the financial performance of the Company
Particulars (Amount in Lakhs) |
FY 2024-25 | FY 2023-24 |
(Rs. in Lakhs) | (Rs. in Lakhs) | |
Income |
||
Manufacturing & Processing | 8,391.86 | 8,087.76 |
Sales and Trading | 77.88 | 42.13 |
Other Income | 12.38 | 10.58 |
Total |
8,482.12 | 8,140.47 |
Particulars (Amount in Lakhs) |
FY 2024-25 | FY 2023-24 |
Expenditure |
||
Cost of Product & Service | 7,486.69 | 7,232.57 |
Employee Benefit Expenses | 318.51 | 283.59 |
Financial Expenses | 223.50 | 216.80 |
Depreciation & Amortization | 50.76 | 58.42 |
Other Expenses | 461.88 | 298.37 |
Total |
8,451.44 | 8,089.75 |
Profit Before Tax |
30.68 | 50.72 |
Tax Expense |
(5.87) | 12.85 |
Profit After Tax |
36.55 | 37.87 |
EPS Basic & Diluted |
0.28 | 0.33 |
Cost of products & services mentioned above is net of changes in inventories of finished goods, work in progress and stock-in-trade.
With the commencement of new manufacturing plant, the Company is now fully focused on increasing its efficiency and effectiveness of a Companys day to day operations.
HUMAN RESOURCES / INDUSTRIAL RELATIONS
Our Company, being a man-power intensive unit, employs skilled as well as unskilled employees. The employees are trained in order to deliver the appropriate mix and taste while making corn samosas and other eatables and placed high important to employees.
Currently the company is providing the Provident Fund, ESI benefits to all the eligible employees and providing Health Insurance facility for all the senior employee(s). The Staff vintage with our organization is high. Currently, there are 230 permanent employees in the Company.
EMPOWERING WOMEN:
Empowering Women Building a Stronger Future
At TANVI FOODS INDIA LTD, our commitment to women empowerment is deeply embedded in our companys vision and operations.
We take immense pride in sharing that 85% of our workforce comprises women, many of whom are first-time earners supporting their families and communities.
Our inclusive work environment has created not only employment but also dignity, confidence, and long-term economic security for hundreds of women. With the recent launch of our new manufacturing facility, we are on track to significantly expand our women workforce, with plans to increase it further in the coming year as we scale operations both in India and globally.
We believe that empowering women is not just a social responsibility but a strategic strength one that fuels our productivity, innovation, and purpose.
As we continue to grow, we remain fully committed to creating more opportunities for women, strengthening gender diversity, and building a business that uplifts lives.
Details of significant changes (i.e. change of 25% or more as compared to the immediately previous financial year) in key financial ratios, along with detailed explanations therefor, including:
Key Financial Indicators:
Standalone |
Consolidated |
Explanation | |||
Sr. Particulars No. |
FY 2024-25 | FY 2023-24 | FY 2024-25 | FY 2023-24 | |
1 Debtors Turnover Ratio (Times) | 20.27 | 21.51 | 20.82 | 20.82 | Debtors recovery rate |
has decreased from | |||||
PY owing to market | |||||
conditions and the | |||||
trend in the industry | |||||
2 Inventory Turnover | 2.36 | 2.21 | 2.35 | 2.23 | Not Applicable |
3 Interest Coverage | 1.36 | 1.50 | 1.37 | 1.53 | Not Applicable |
4. Current Ratio | 1.73 | 1.55 | 1.91 | 1.61 | Not Applicable |
5. Debt Equity Ratio | 0.30 | 0.42 | 0.32 | 0.42 | Not Applicable |
6. Operating Profit Margin | 3.60% | 3.29% | 2.97% | 3.29% | Not Applicable |
7. Net Profit Margin | 0.43% | 0.47% | 0.42% | 0.55% | Not Applicable |
8. Return on Net worth | 0.52% | 0.64% | 0.50% | 0.76% | Not Applicable |
Kindly refer the financial statements and notes to financial statements for further details
Disclosure of Accounting Treatment
These financial statements have been prepared in accordance with the generally accepted accounting principles in India under the historical cost convention on accrual basis. Pursuant to section 133 of the Companies Act, 2013 read with Rule 7(1) of the Companies (Accounts) Rules, 2014, till the standards of accounting or any addendum thereto are prescribed by Central Government in consultation and recommendation of the National Financial Reporting Authority, the existing Accounting Standards notified under the Companies Act, 1956 shall continue to apply.
There has been no deviation in the accounting treatment from that prescribed in the Accounting Standards.
Cautionary Statement
This report contains forward-looking statements extracted from reports of Government Authorities / Bodies, Industry Associations etc. available on the public domain which may involve risks and uncertainties including, but not limited to, economic conditions, government policies, dependence on certain businesses and other factors. Actual results, performance or achievements could differ materially from those expressed or implied in such forward-looking statements. This report should be read in conjunction with the financial statements included herein and the notes thereto. We assume no responsibility to publicly amend, modify or revise any such statements on the basis of subsequent developments, information or events.
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