When Nestle launched the Indian arm of its dog and cat food business in late 2017, parent-company Nestle kept it separate from Nestle India. However, in October, Purina Petcare India will become part of Nestle India, reported the Business Standard. Switzerland-based Nestle S.A. owns Purina Petcare India and 62.76% of Nestle India. The integration of Purina Petcare India with Nestle India will cost INR1,253 million (US$15.95 million). For the financial year ended March 31, 2022, Purina Petcare India reported turnover of INR360 million (US$4.58 million). Purina Petcare India does not have manufacturing facilities of its own. The company imports all products, mostly from Nestle Thailand and Nestle Australia. While Purina Petcare India primarily sells dry dog and cat food, earlier this year the company launched wet cat foods under the Fancy Feast brand.
Pet food market in India
Mordor Intelligence projects a 4.7% compound annual growth rate for the Indian pet food market from 2022 to 2027. The market research group’s analysts noted that, although pet ownership increased in some nations during the ongoing pandemic, COVID-19 had a mixed effect on Indian pet owners. False rumors that pets could act as effective vectors for transmitting COVID-19 led some pet owners to abandon their pets. The Indian pet food market launched an awareness campaign to fight these unfounded fears. At the same time, India experienced the same pet food stockpiling also seen globally for many products. Supply chain, transport and other logistical challenges further complicated the Indian pet food market throughout the lingering pandemic.
Nestle Purina PetCare performance
Throughout the pandemic, Purina PetCare has continually grown sales. Worldwide, Purina PetCare continued delivering strong sales for parent company Nestle in the first half of 2022. Nestle released financial results on July 28. Purina’s sales reached CHF8,589 million (US$9.03 billion) in the first half of 2022, up from CHF7,403 (US$7,782 million) in the same period last year. Real internal growth reached 5.1%, with organic growth of 13.9%.
“By product category, Purina PetCare was the largest contributor to organic growth, with continued momentum for science-based and premium brands Purina Pro Plan, Purina ONE and Fancy Feast as well as veterinary products,” the company stated in a press release.