Lotte Wellfood Chooses India as its First Global Destination for Lotte Pepero Production
Lotte Wellfood Chooses India as its First Global Destination for Lotte Pepero Production
- The new facility will play a pivotal role in manufacturing and exporting Lotte Pepero
Globally
- Company plans to introduce Lotte Pepero to the Indian retail and ecommerce space
by mid-2025
- Company has earmarked an investment of over Rs.200 Crores towards setting up of this new state-of-the-art manufacturing facility in Haryana
India, 31st January 2024: Lotte Wellfood, formerly Lotte Confectionery, today announced its strategic growth plans for India with the establishment of a new line in Haryana to produce its globally popular confectionery product, Lotte Pepero. This marks Lotte Wellfood's first exclusive line set up outside of Korea for Lotte Pepero. To be operational by mid-2025, the new facility will be strategically located alongside their existing state-of-the-art factory in Haryana, which is currently dedicated to the production of Lotte Choco Pie. With a committed investment of over Rs. 200 crores, this modern line will accelerate the milestone of Lotte Pepero reaching to Indian consumers.Equipped with automated production lines, the new facility is poised to meet the surging global demand for Lotte Pepero. This move not only streamlines logistical operations but also underscores Lotte Wellfood's dedication to staying responsive to the dynamic tastes of consumers worldwide.
The new facility, while catering to global export demands, will also support in bringing Original and Crunky Pepero products to the Indian market. Lotte Wellfood plans to focus on establishing Lotte Pepero as a premium brand in the local market, following the success of Lotte Choco Pie. The company will initially, target the premium market represented by large retail formats and e-commerce channel, expanding to smaller traditional channels in the future.Commenting on the occasion, Mr. Lee Chang-yeop, the CEO of Lotte Wellfood, said, "We plan to actively expand our investments in the Indian market, which holds substantial growth potential. Following Lotte Choco Pie success in India, introducing Lotte Pepero will enhance Lotte’s brand strength and expand sales in the Indian market. We are also actively pursuing initiatives to create locally tailored Lotte Pepero products that resonate with the regional food culture and cater to the climate-specific dining preferences.”
He further added “This investment aims to strengthen the position of Lotte brands in India, a country with a confectionery market worth approximately 27000 Cr. Lotte India's sales performance reached Rs. 654 Crore in 2023, and we are targeting more than 20% growth in 2024."Chocolate holds a high preference among Indian consumers, almost becoming one of their essential shopping items. As part of an in-depth research conducted, Lotte Pepero received positive feedback from 90% of Indian consumers in the “Concept and its Taste”. There was also a favorable response to its innovative product differentiation i.e. chocolate stick snacks. Havmor ice cream which is a 100% subsidiary of Lotte Wellfood’s and one of the leading ice cream brands in western India has committed to a capital investment of INR436 crores in a new state of the art upcoming production facility in Maharashtra. The production is set to start from Q2 this year in Talegaon, Pune. It is Lotte Wellfood’s first new factory since its acquisition and is made basis transfer of technology and advanced manufacturing processes from LOTTE Korea.
