Gujarat's MSME Marvels and other top SMB Stories of the week
From a Gujarat-based dairy hitting a Rs 100 crore milestone to a game-changing innovation in children's playtime - here's what SMBStory covered this week.
Sunday May 21, 2023,
4 min Read
This week, SMBStory delved into the vibrant world of small and medium businesses in Gujarat. From transformative success stories to groundbreaking innovations, Gujarat continues to foster a thriving ecosystem for businesses of all sizes. Here are the success stories from the dynamic landscape of Gujarat's MSME sector.
Shree Radhe Dairy
Despite the intense competition and presence of players such as Gujarat Co-operative Milk Marketing Federation, Mother Dairy Fruits and Vegetables., and SMC Foods, eight-year-old Shree Radhe Dairy Farm & Foods is making a space for itself in the dairy segment.
In FY22, the company achieved a turnover of Rs 50 crore, which doubled to Rs 100 crore in FY23. Now, with ambitious plans for FY24, Shree Radhe Dairy aims to surpass Rs 350 crore in revenue and expand its operations into the B2B HoReCA (Hotels, Restaurants, and Catering) segment.
“We also plan to venture into the international market and are planning to export to the UAE,” says Bhupat Sukhadiya, Founder, Shree Radhe Dairy.
Sukhadiya's journey in the dairy industry began in a junior administrative role with a modest salary of Rs 2,500 per month. In 2010, he embarked on the journey of establishing his own dairy business in Surat.
With an initial investment of Rs 40 lakh from personal savings and bank funding, he founded Shree Radhe Dairy Farms and Foods Pvt. Ltd. in August 2015, introducing the Vastu brand in Surat. The company stood out from the competition by offering high-quality, preservative-free ghee in attractive packaging.
However, expanding to other states presented its fair share of challenges. Many distributors were hesitant to pay in advance because the product was new, which strained the company's working capital as it had to bear the cost of raw materials.
To overcome this hurdle, Sukhadiya sought advice from a sales professional who suggested adopting an advanced payment model. This strategic shift proved to be a game-changer for the company's operations.
Another Gujarat-based company, Havi.co, aims to revolutionize playtime for children. It has introduced innovative robotic toys that offer a unique and immersive experience for children. By combining cutting-edge technology with interactive play, Havi is reshaping the way children engage and learn during their playtime.
In his seven years of homeschooling his two children, Prashant Mamtora witnessed how toys are a great educational tool for kids. However, Indian parents spend the least on toys as they are predominantly seen as leisure items.
Mamtora firmly believed toys can be powerful tools for cognitive development and learning. Armed with this conviction, the engineer-turned-entrepreneur created an innovative solution to merge play and education seamlessly—Havi.
“Just like Legos, which encourages children to utilise their creativity by constructing structures with interlocking blocks, I envisioned a similar approach but with robotics at its core,” Mamtora says.
He designed a do-it-yourself (DIY) robotic toy kit to captivate and engage young minds while fostering STEAM (Science, Technology, Engineering, Arts, and Mathematics) learning.
Since October 2022, Havi.co is seeing an 8% consistent monthly growth. Presently, Mamtora claims the company, with a customer base of around 550, sells 70-100 kits per month. Its average monthly revenue is between Rs 75,000 and Rs 1 lakh. Its Havi Elements - DIY robotics starter kit emerged as the top-selling product.
Other top picks of the week
Chilzo is an emerging sauce and condiment brand that adds international flavors to dishes. The company aims to bring a unique taste experience to consumers with its range of sauces. By infusing global influences into its products, Chilzo Sauce offers a diverse and versatile culinary experience. Their vision is to become a go-to condiment brand for those seeking to elevate their meals with exciting flavors from around the world.
Dikshita, Ojasvi, and Hema Sharma began their entrepreneurial journey by making sauces such as arrabbiata and marinara for Italian dishes, as well as Harissa, a North African spice, at home during the lockdown.
“We thought of starting a small business out of it by supplying to other houses, just for the fun of it,” says Dikshita. After receiving a positive response from the consumers, they felt that it was something that could be scaled.
This led to the birth of the Mumbai-based brand—Chilzo. The founders established a factory in Vasai in October 2021 with an initial investment of Rs 40 lakh that came from family and bank funding. The commercial operations began in January 2022.
In FY23, the business made a turnover of Rs 1.2 crore. Chilzo is currently available in over 80 stores across Mumbai, Delhi, and Kolkata. It is also available on ecommerce and quick commerce platforms such as Amazon, JioMart, Dunzo, and Big Basket. The products cost Rs 149-Rs 349.