Coca-Cola expects faster growth in rural India

Coca-Cola expects faster growth in rural IndiaCold drinks market in urban India has saturated and the real growth is coming from small towns in the country, a senior Coca-Cola executive said.

Venkatesh Kini, senior vice president for Coca-Cola's Indian operations, said acknowledged that Indian cities still accounted for a majority share of the company's sales, but it was the rural parts of the country that would register faster growth at-least in the near future.

Speaking on the topic, Mr. Kini said, "Cities have developed. The real growth is coming from small towns."

To stretch its feet in the newer areas, the company recently introduced Rs 8 price point for its widely-popular Coke.

With the start of summer, the beverage maker has started expanding its distribution network across the country. It has plans to expand its distribution network from current 2.2 million outlets to 2.4 million outlets this year.

Mr. Kini also announced that the company was open to introduce Coke in new pack sizes as well as to introduce new brands.

In 2012, Coca Cola India registered a volume growth of 16 per cent. The company has been enjoying growth in sales for the last 26 consecutive quarters.

Meanwhile, Coca Cola is also preparing to announce its results for the January-March quarter on Tuesday, April 16.