How organic farming brand Natureland Organics is staying relevant amid tough competition

After completing his studies from Delhi University, Ajeet Godara decided to go back to his village in Sri Ganganagar, Rajasthan, as he wanted to create a difference in the field of farming. 

Coming from an agricultural family, Ajeet decided to join his father and brother Arvind, who had abandoned his studies to join farming. But Ajeet and his brother’s decision to get into farming was not welcomed by the local farming community. They were disheartened to see the brothers, who had invested significantly in their education, pursue farming, which the community was already disillusioned with.

However, Ajeet and Arvind were not discouraged. They teamed up and came up with a plan to start an organic farming business. This led to the birth of Natureland organics in 2002. 

The brand has over 180 SKUs, including pulses, millets, wheat, mustard, barely, rice, gram, oils, etc. From B2B, the brand entered the D2C segment in 2016, and is now eyeing clocking an annual revenue of around Rs 150 crore, closed FY23 with Rs 135 crore.

Farm to fork

Ajeet says that transforming an agricultural land into an organic farming haven took them around three years. 

“In those tough times, we faced difficulties and didn’t have money. Not just our family, but people around us would discourage us because we were going through a hard time. They said our efforts wouldn’t succeed and that we were wasting our time,” he recalls.

But Ajeet and his brother’s persistence slowly began to yield results, and by 2005, with an investment of around Rs 25 lakh, they established a thriving business engaged in the business-to-business (B2B) trade of wheat and chana. 

“We explained our concept to farmers in other geographies, and even though it wasn’t a cakewalk, many agreed to convert their land into organic farms. Like this, we covered a wide region and this marked the inception of Natureland Organics,” says Ajeet.

As of now, Natureland Organics has over 35,000 acres of dedicated farmlands across India, spread across nine states including Rajasthan, Uttarakhand, Himachal Pradesh, Madhya Pradesh, Chhattisgarh, Maharashtra, Andhra Pradesh, Telangana, and Karnataka. 

Natureland also provides farmers with specialised training programmes to enhance their crop management skills and boost yields. “Our goal is to safeguard our farmers from any potential contaminants in their food supply,” says Ajeet, speaking about the challenges in organic farming compared to conventional farming.

A journey from B2B to D2C

After setting foot into the business, from 2002 to 2015, Natureland Organics was operating solely as a B2B supplier to other organic food brands. But the next phase of growth happened when it marked its entry into the D2C space in 2016. 

Speaking about what made the brand foray into D2C, Ajeet says, “We started our journey as a B2B company from a small farmland. However, over the years, we felt the dire need to expand the reach of organic food products at a fair price point to mass consumers and not just premium ones. Hence, we forayed into the D2C segment.” 

Recognising changing consumer behaviour and preferences, the brothers explored all mediums like offline stores and ecommerce portals to reach consumers. But by entering the D2C space, Natureland Organics has been able to establish a closer connection with its customers, says Ajeet.  

“Our D2C brand is now contributing to 40% of our revenue, and the numbers are growing,” he adds.

Natureland Organics, which competes with the likes of 24 Mantra Organic, Organic Harvest, and others, is today available to consumers through its own website, as well as via all leading ecommerce and quick commerce platforms like Bigbasket, Zepto, Amazon, Flipkart, etc. 

Ajeet says that in a decade, the company has touched over 15,000 retail points, with 180+ SKUs. 

Apart from selling under its own brand name, Natureland Organics supplies products to other brands like Organic India, Bigbasket’s private label brand BB Royal Organic, and also Shark Tank fame Anveshan. 

The brand also forayed into seed verticals recently by expanding into wheat, barley, mustard, grains, etc. 

Seizing the market opportunity

Ajeet says, a green wave is happening as people are becoming more health-conscious and thinking of the environment. 

“Consumers today are more inclined to buy products that are sustainable and environmentally-friendly. Organic farming practices are often seen as more eco-friendly. This aligns with the broader trend towards sustainable and ethical consumption, making organic foods an appealing choice for consumers,” Ajeet highlights.

At the same time, organic farms typically have more production costs. Ajeet says, Natureland Organics efficiently manages these costs through sustainable farming practices and supply chain optimisation, including utilising solar power and rainwater harvesting.  

The organic food market in India has been making noise in the last decade and reached $1,582.2 million in 2023. According to IMARC Group, the market is expected to reach $8,918.5 million by 2032, exhibiting a growth rate of 21.19%.

“Over the past decade, our growth has been exponential, allowing us to reach a position that legacy companies took years to attain. This shows the growing demand for organic food,” Ajeet adds. 

Ajeet says there are also unscrupulous practices in this market, with some brands charging extremely high prices under the pretence of being organic.

Natureland's product pricing varies according to the pack size. Pulses like a kg of Toor dal costs around Rs 265, Kabuli chana costs around Rs 310, and a litre of Mustard oil is priced at Rs 297. 

Talking about future plans, he says that price war is a serious challenge right now, and since Natureland Organics wants to be a brand for masses, it will continue to thrive in the market.