Abram Food is engaged in the manufacturing and trading of Chana Dal, Flour (Chakki Atta), Besan, Multi-Grain Atta, Maida, Sooji, Spices, Cattle Feed (Khal), and Edible Oils under the brand “Kherliwala”. Operations span across Rajasthan, Delhi/NCR, and Uttar Pradesh, with distribution through a well-established network.

Bulk packaging of 30 to 50 kg is offered for products such as Chana Dal, Atta, Besan, Chana Churi, and Cattle Feed, enabling retail sales in loose form. A standardized packaging process is followed to maintain product quality and authentic taste.

Raw materials are sourced from key mandis like Alwar, Khairthal, Bahrod, Jaipur, and Delhi, and processed without artificial preservatives or chemicals, ensuring a portfolio marked by freshness and natural quality. Products are manufactured, processed, and packaged to match optimal shelf-life, promoting waste reduction and resource efficiency.

The company also monetizes by-products such as Chana Churi, Chana Chilka, and Chana Kachri, strengthening its revenue streams through effective by-product utilization.

Sales are predominantly from Rajasthan and Delhi-NCR, with an expanding presence through an online platform. The product lineup includes:

• Rajasthan Royal: Besan, Maida, Sooji, Chakki Fresh Atta, Multi-Grain Atta

• Spices and Oils Range

• Cattle Feed (Khal)

• By-products: Chana Churi, Chana Chilka, Chana Kachri

The brand Kherliwala is recognized for quality, trust, and innovation, especially in the Chana Dal, Besan, and Flour segments. With a robust supply chain and deep understanding of regional tastes, Abram Food continues to strengthen its market presence and support growth in the agro-processing sector. The company has 18 permanent employees which comprises of 12 skilled and 6 unskilled employees out of which 12 employees are male and 6 employees are female. The Banker to the Company is ICICI Bank Limited.

INDUSTRY ANALYSIS

Industry Analysis – Indian Agriculture and Food Processing Sector

The Indian agriculture sector is poised for strong growth in the coming years, driven by increased investments in infrastructure such as irrigation, warehousing, and cold storage. The rising use of genetically modified (GM) crops and the development of early-maturing pulse varieties are expected to enhance crop yield and support India’s goal of becoming self-sufficient in pulses. Additionally, the government's increased Minimum Support Prices (MSP) and various reforms aim to boost farmer income and productivity.

Government Initiatives and Investments

• The Government of India, through the Ministry of Food Processing Industries (MoFPI), is actively promoting the sector via schemes like PMKSY, with an allocation of ₹4,600 crore (US$ 559.4 million) till March 2026.

• The PM Matsya Sampada Yojana aims to attract US$ 9 billion in fisheries, targeting fish production of 220 lakh tonnes by 2024-25.

• Several quality assurance frameworks such as TQM, ISO 9000/22000, HACCP, GMP, and GHP are being adopted to raise standards across food processing units.

• From April 2000 to March 2024, the food processing industry attracted FDI inflows worth US$ 12.58 billion, highlighting strong investor interest.

• The PMFME Scheme, with a ₹10,000 crore (US$ 1.27 billion) outlay, supports micro food enterprises with financial, technical, and business aid.

Market Size and Growth Outlook

• The Indian agriculture sector is projected to grow to US$ 24 billion by 2025.

• The processed food industry is forecasted to reach US$ 958 billion by 2025, growing at a CAGR of 12%.

• India’s food and grocery market ranks 6th globally, with retail contributing 70% of total sales.

• In FY 2023-24, India recorded a foodgrain output of 148.5 million tonnes (Kharif only), while horticulture production reached a record 351.92 million tonnes.

• In April–May 2024 alone, agricultural and processed food exports stood at US$ 4.34 billion.

Export Performance

• Major exports during April–May 2024 included:

  • Rice (Basmati & Non-Basmati): US$ 1.96 billion

  • Marine Products: US$ 1.07 billion

  • Spices: US$ 769.22 million

  • Buffalo Meat: US$ 551.78 million

  • Sugar: US$ 454.89 million

  • Processed Fruits & Juices: US$ 143.51 million

The Agricultural and Processed Food Products Export Development Authority (APEDA) is leading efforts to diversify exports, focusing on fresh produce, processed foods, and animal products.

Technological Advancements and FaaS

Emerging technologies like AI, GIS, drones, remote sensing, and e-farming applications are transforming farming practices. Farming as a Service (FaaS) is gaining traction, offering affordable technology on a subscription or pay-per-use basis, especially valuable for small and marginal farmers. This model turns fixed costs into variable costs, improving access to modern agricultural tools and enhancing productivity.

Policy and Institutional Support

Key government measures include:

• Launch of the PM-Kisan, PM-KMY, and Kisan Credit Card (KCC) initiatives for financial inclusion and income support.

• 729 Krishi Vigyan Kendras established across India to disseminate improved seeds, farming techniques, and breed information.

• Digital Public Infrastructure (DPI) roll-out for farmer registration and land digitization, beginning with a digital crop survey in 400 districts.

• Incentives for natural farming, development of bio-input centers, and formation of vegetable production clusters.

• Continued investment in Mega Food Parks, Cold Chains, Agro-processing Clusters, and Backward & Forward Linkage Projects.

Opportunities

• Technology-driven, integrated supply chains offer reduced costs, quicker market access, and better product variety.

• Strong growth potential in agri-inputs like high-quality seeds and plant nutrients.

• India’s potential to become a global agricultural hub, especially for countries with limited agricultural resources.

• Government and private players are exploring FaaS to improve farming efficiency and sustainability.

• India to host the 27th WAIPA World Investment Conference in December 2023, further emphasizing global interest.

Conclusion

India’s agriculture and food processing industry is undergoing a transformation, driven by government support, private investment, technological adoption, and infrastructure development. The sector presents immense opportunities across exports, agri-inputs, processing, and technology-enabled farming, positioning India as a future leader in global agriculture and food supply chains.

BUSINESS STRENGTHS

A. Strategically Located Manufacturing Facility
The manufacturing and processing unit is located at B-34, MIA, Alwar, Rajasthan – 301030, with an annual capacity of 4,366.53 MT for pulses, 506.6 MT for flour (including Atta and Besan), and 2.00 MT for spices as of March 31, 2025. The facility is equipped with modern machinery and technology, ensuring high process efficiency through consistent investment in advanced manufacturing and packaging equipment.

B. Robust Sales and Distribution Network
As of March 31, 2025, branded products are distributed across Rajasthan and Delhi-NCR through a network of 80 distributors managed by 5 sales personnel. The network is supported by trade promotions, target-based incentive schemes, and a dedicated salesforce that coordinates directly with distributors to ensure market responsiveness and consistent supply.

C. Experienced Management Team
Led by Mr. Brij Bhushan, the Managing Director with over 40 years of industry experience, the senior management team brings deep expertise in sourcing, production, pricing, and distribution of FMCG products. The team possesses strong regional insight, commercial acumen, and a proven track record in driving operational growth.

D. Strong Customer Relationships
With over a decade of experience in manufacturing and trading Chana Dal, Besan, Spices, Flour, Mustard Oil, Refined Oil, Til Oil, Khal, Sooji, and Maida, the company has built a reputation for quality, price competitiveness, and customer-specific taste alignment. The in-house marketing team works closely with distributors to ensure market feedback integration and effective brand positioning.

E. Optimum Resource Utilization
By-products such as Chana Churi, Chana Chilka, and Chana Kachri are efficiently processed and monetized, contributing to revenue and minimizing waste. The focus on quality control and efficient operations ensures that by-products retain high market value, supporting sustainable growth.

BUSINESS STRATEGIES

1. Market Expansion Across India
Plans are in place to expand market presence to Haryana, Uttar Pradesh, and Gujarat within the next five years. The strategy includes increasing the distribution reach of Kherliwala and its variant brands through supermarkets, modern retail formats, and e-commerce platforms. Focus remains on leveraging existing distributor relationships and strengthening the online customer base, while also exploring opportunities for strategic partnerships or acquisitions to accelerate growth.

2. Scaling Production Capacity with Automation
To meet rising demand for besan, chana dal, flour, edible oils, and spices, efforts are underway to enhance production capacity through the installation of advanced machinery and automation in blending, grinding, and packaging. Implementation of modern testing and quality assessment tools is also being considered to maintain production efficiency and product integrity.

3. Commitment to Quality Standards
Maintaining consistent product quality remains a priority. Regular quality reviews, remedial actions, and a proposed traceability system for raw materials will ensure compliance with food safety norms and reinforce customer trust across product categories.

4. Strengthening Stakeholder Relationships
Strong relationships with suppliers, distributors, customers, and employees are viewed as essential to business sustainability. A structured procurement process helps secure raw materials at competitive prices without compromising quality. Long-term, mutually beneficial ties with strategic partners are targeted to improve supply chain performance, increase cost-efficiency, and support organizational growth

BUSINESS RISK FACTORS & CONCERNS

1. High Revenue Dependence on Chana and Chana Dal
A substantial portion of revenue is derived from Chana and Chana Dal sales. For FY 2023, 2024, and 2025, these segments contributed ₹2,577.60 lakhs, ₹2,237.65 lakhs, and ₹5,724.6 lakhs, respectively. Any decline in demand or production of these products could significantly impact business performance and financial health.

2. Geographical Revenue Concentration
A major share of revenue is generated from operations within only two Indian states—Rajasthan and Delhi-NCR. Any adverse developments in these regions may disrupt operations and affect overall revenue.

3. Dependence on Raw Material Availability
Operations rely heavily on chana and wheat, sourced from local mandis and traders near Alwar, without long-term supply contracts. Price volatility, seasonal fluctuations, or supply shortages may negatively impact production and profitability. However, current access to competitively priced raw materials supports pricing strength against competitors.

Abram Food faces risks due to its reliance on Chana and Chana Dal, regional revenue concentration, and vulnerability to raw material supply fluctuations. Any disruption in these areas may adversely affect operations, pricing, and financial performance.