ADF Foods: Stomach for Success

Bimal Thakkar looks more like the gym-frequenting sort than the foodie that he is. That is because the trim Thakkar, 45, does not indulge himself but instead thinks about new recipes and concoctions all the time for his company, ADF Foods.

Main markets: US, Canada: 25 per cent Europe: 35% West Asia: Over 20% Asia Pacific: 15% India: 5% Differentiator: First to offer options such as ready-to-eat whole-wheat parathas and Indian pickles in virgin olive. Customers: Present in ethnic stores as well as in major retailers. Business: Exports & retails pickles, ready-to-eat & frozen foods & snacks under popular brands such as Ashoka, Camel, Aeroplane, Khansama and Truly Indian First order: Mid 1960s under Camel brand to West Asia, Ashoka brand in late Eighties to the US

"I worry constantly about being able to offer an authentic taste to both Indians and foreigners abroad, but I also want to offer new things --- foods that they are reaching out to with changing times," says Bimal, Managing Director of ADF Foods. Every morning, after reaching office, he switches off his mobile
phone and gets into debates with his master chefs and staff over new recipes or a new market.

His passion pays and last year was particularly good: ADF Foods reported a 55 per cent increase in its profit after tax to Rs 15.81 crore on a turnover of Rs 109 crore.

But why does Thakkar take the trouble of negotiating foreign markets when India' burgeoning middle class and retail chains have the appetite to consume his entire production? The story goes back to Bimal's grandfather Hariram, a shop called American Dry Fruits and the camel. "My grandfather set up the store in 1932, and the family diversified into processed food only in the 1960s when it acquired a company that used to make pickles branded Camel for the Gulf market," says Bimal.

As Camel did well, the Thakkars extended its range to include rice, tea and spices. Next, they launched an economy brand for the Gulf and West Asia, following up with ready-to-eat vegetarian foods for North America.

"Soon, we realised that almost 70 per cent of our revenue, even back then, came from sales abroad," says Bimal. The Thakkars even got American Dry Fruits listed on the Bombay Stock Exchange in the early 1990s.

Four years ago, the business hit a bump when a family dispute forced a split. "The retail store went to my uncles and the rest is under my father, Ramesh Thakkar," says Bimal.

Today, ADF has entered the domestic market with a brand called Soul, even though its international brands are doing well. Recently, it acquired an 89 per cent stake in Elena's Food Specialties, a company based in South San Francisco that makes and markets organic and natural frozen food products.

"We see a lot of synergies and it will offer us their manufacturing facility --- which also allow us to offer a non-vegetarian cuisine in our international portfolio," says Bimal.

Bimal Thakkar's next goal: a turnover of Rs 500 crore within five years by not just growing its own business but also by acquiring companies.

-Shamni Pande