City-based Keventer Agro has struck a licensing deal with Disney to launch the US giant’s food products in India.
Keventer will manufacture and distribute products in the dairy beverages, frozen snacks and confectionery segments under the Disney Delight brand.
The consumer packs will sport popular characters such as Mickey Mouse, Spider Man and Marvel Iron Man among others. As part of the initial rollout, milkshakes and milk will hit the market nationally.
In subsequent months, the IPO-bound Keventer will sell frozen snacks and confectionery items with the Disney tag, significantly expanding its reach outside the East, where it has a strong manufacturing and marketing presence.
Mayank Jalan, chairman and managing director of Keventer, said the deal brings together a strong affinity of Disney’s characters and Keventer’s distribution strength: “We are delighted to launch an exciting range of nutritious food products for kids and families in association with Disney India’s consumer products business,” he said.
While Keventer initially plans to service the demand from the Barasat facility near Calcutta, it has tied up third party producers in other parts of the country to reach the market faster.
Disney is one of the largest licensors of fictional characters which enjoy mass appeal across the globe. The merchandise include toys, publishing, school stationery and clothes.
The market for Disney products is about Rs 20,000 crore a year.
While the UHT milk is growing at a rate of 20-22 per cent a year, the frozen food basket is doubling every 2 years.
Industry estimates Disney-Keventer could rake up about Rs 350-400 crore of business in two years time. The companies have priced the milkshakes at par with the existing players.