REPORT ON MARKET ANALYSIS OF MUMBAI AND PUNE

EXECUTIVE SUMMARY

This analysis is based upon direct observations and visits backed by the views of
people who have been associated with this market for years. A total of 35 organised retail
stores each in Mumbai and Pune were taken into consideration. The hypermarkets
considered in Mumbai and Pune were 7 and 5 respectively. The prices recorded while
studying the market are higher than usual because of the non availability of abundant
supply during the period May-August as it is known as the breeding period of fishes along
the west coast, particularly Mumbai. Fishing activity is prohibited for this particular period
and therefore the supply happens from other parts of the country which increases the costs
ultimately.
Most of the retailers do not have a vendor and themselves visit the market to
procure the needful. The consumption of seafood is undoubtedly more than that of fresh
water fishes in both, Mumbai and Pune. Also , the consumption pattern in a particular area
depends upon the demographics of that place.
 METHODOLOGY
The objective of this research was to understand various factors influencing the supply and
demand, the purchase pattern, the supply chain, the problems occurring in the supply
chain, the types or levels of markets available, their functioning, the existing gaps, new
opportunities, etc. The data was collected through field visits, observation, discussion and
interviews with the people associated with this market. The unorganised as well as
organised retailers were interviewed and their views regarding the current situation and
future prediction of the market were recorded. The analysis is done using the Porters Five
Force Model.
The segments considered for research are
 Organised retail stores
 Unorganised sellers
 Major fish market in the city
 Hypermarkets
 Restaurants

To understand
 Major varieties of fishes consumed
 Wholesale prices
 Retail prices
 Consumption pattern
 Factors influencing consumption
 Source of supply
 The actual supply chain and how the quality gets affected

Harbours Traders Major fish

markets/wholesale
(Auction)
Fishes are exposed to direct Again the fishes are taken out of
Traders carry them in ice boxes to the fish markets
sunlight until the auction
ice boxes until distribution
process is on

Owner/vendor
Unorganised Hypermarkets Retail outlets
sellers

This shows how the shrinkage occurs and the quality degrades.
 Analysis using Porters five forces

Threat of new moderate

entrants

Supplier power Competitive rivalry Buyer power

high moderate moderate

Threat of
substitution low

BARGAINING POWER OF SUPPLIERS

The bargaining power of suppliers is high. The prices of different variety of sea fishes are
volatile. The prices depend on the quantity of fishes caught and also on the auction process.
In some docks where the auction doesn’t happen, the prices are fixed according to the
supply and demand factor .Also, some fishermen lease their boats to some
companies/traders for a certain period of time.

Raw material access

At times when fishing activity is prohibited across the western coast and the supply
happens from eastern coast the supplier’s bargaining power is high as the traders trading in
the markets of western India are ready to pay higher prices to fulfil the demand.
Infrastructure assets
The wholesale market in Mumbai has a number of sellers viz. BFC, HR, FEROZ, SKB, etc.
Each company sets its own wholesale prices. The difference between highest and lowest
price of a particular variety of fish in the market is not more than Rs.20-30. When the docks
are closed the companies get their supply via train if it happens from West Bengal and via
trucks if it happens from Andhra Pradesh.
At the retail outlet level
The market prices being high, the retailer too sets higher prices for sea fishes. These prices
include the transportation cost incurred as well as other cost for maintaining and operating
his store.

BARGAINING POWER OF BUYERS

Frequent buyers have moderate bargaining power. Their bargaining skills need to be strong
if they want to get it at the least price possible. A wholesaler, his network and the actual
demand being strong would not hesitate to not sell to a buyer if he doesn’t agree at a
particular price.
At the store level
Buyer power here is low as the retailers do not lower their prices easily. If the customer is a
frequent buyer and wants to purchase a good quantity of fish, then the retailer might
consider lowering the price to some extent. One of the reasons for buyer power being low
is that the buyer doesn’t have much options to buy seafood in a particular locality which
does not have or is far from a regional fish market.
At the fish market
Buyer power over here is moderate as the customer has a lot of options in the fish market.
The seller might reduce his price to some extent if he doesn’t want to lose the customer.
Also, the reason the seller in a fish market would easily reduce his price is that his fishes are
kept out of ice and could perish easily if not sold within a short period. Morever, they don’t
have infrastructure to store the material so that they could sell them the other day.

THREAT OF NEW ENTRANTS

The market’s ecosystem is a huge one and is growing at a greater pace. Every year,due to
the increase in production and demand, more and more people are finding ways to do
business. The unorganised market is moving towards an organised one gradually.There is
low to moderate scope for unorganised players and a good scope for organised ones.
Sufficient capital to grow
If an organised player wants to flourish, the company should have enough capacity to invest
in infrastructure, technology and man power. The growth would be gradual. The company
should not bother about short term profits or quick gains. There are chances the company
would not make any or much profit during the transition period.

THREAT OF SUBSTITUTES
The substitutes like chicken and meat do possess a threat to the seafood market. People
consume chicken more than fish.
The major reasons are
 cheaper rate
 ease of availability
However, the consumption pattern is likely to change as there is an awareness being spread
regarding the ill effects of eating meat/red meat. People might switch to eating more
seafood after becoming aware of its health benefits.
In places like Hyderabad where meat consumption is more, promoting seafood still remains
a challenge.

MARKET RIVALRY
Unorganised segment
There is a strong rivalry amongst the players in unorganised segment. Most of the
wholesalers have their dedicated traders from whom they have been purchasing for years
and would hardly think about switching to other trader. However, if any player has the
capacity to convert this unorganised market into an organised one, then it would change
the entire relationship pattern amongst the different players of this ecosystem.
Organised segment
Penetrating the organised retail industry is comparatively easier provided the
demographics and psychographics of a particular place be considered
 MARKET ANALYSIS OF MUMBAI
The seafood market in Mumbai accounts for 90% of unorganised and 10% of organised
market approximately even though there is a huge scope for organised raw seafood retail
outlets in the city.
Reasons:
Dominance of local fish markets and roadside fish stalls: People are accustomed to
purchasing fish from the local markets and fish stalls located near them.
Lack of awareness regarding price and sale of per kg of fish: In local unorganised
markets,the price of fishes is fixed according to a unit called as ‘vaata’ in whch the iprice is
higher than the price at which per kg of fish is sold in organised retail stores .The lack of
awareness regarding this type of pricing in organised retail outlets and absence of the same
in potential localities is the reason for dominance of unorganised sellers.
The mindset of people: The notion that organised retail outlets will charge more for the
same quantity of fish than the unorganised sellers is one of the reasons why people refrain
from visiting and buying from organised retail outlets which thwarts the growth of
organised fish retailers.
Additional costs incurred and wrong positioning: Organised retail outlets have to incur
extra costs for infrastructure,its maintainence,purchase of ice,etc which might sometimes
become burdensome if the sale plummets often due the above listed factors.
 THE SUPPLY CHAIN
SEA WATER FISHES
LANDING CENTRES (Bhaucha dhakka and Sasoon dock)

Hypermarkets Retail outlets

FRESH WATER FISHES

ANDHRA PRADESH (farms)

Dadar wholesale market

Retail outlets

Mumbai itself being a landing centre where fishing activity happens, issue of shrinkage does
not occur while supplying to the markets and retail stores across Mumbai.The fish as soon
as it is caught and auctioned is put into the ice boxes and supplied to all the major fish
markets across Mumbai and Maharashtra. The retailers across and near Mumbai get the
required quantity within an hour or two to their store via local train or their own vehicle.
The issue of shrinkage might occur in case of fresh water fishes sourced from Andhra
Pradesh.
MAJOR SEAFOOD CONSUMED MAJOR FRESH WATER FISHES

Mackerel Rohu
Bombay duck Catla
Black and silver pomfret Tilapia
Prawns Pangas
Indian salmon Pabda
Anchovy Roopchand
Pink perch
Seer

CURRENT SCENARIO
The seafood supply hubs of Mumbai are the two docks named as Sasoon dock and Bhaucha
dhakka.Fishing activity is prohibited in these two docks from the mid of May until
August.During this period the supply happens mainly from Howrah and other parts of West
Bengal and on a miniscule level from other places of the Eastern coast.
On the other hand the supply of fresh water fishes happens from a wholesale fish market
located in Dadar.The fresh water fishes are procured from the farms located in Andhra
Pradesh via trucks.
Retailers themselves visit these markets to buy the required quantity of fishes as per their
choice of size,quality and price.
Some retailers get their supply directly from the source via train when the aforesaid docks
in Mumbai are closed.

THE DEMAND PATTERN

 Demand for sea water fishes is more than that of fresh water fishes (ratio of 75:25)
 Demand is low on Monday and Thursday.
 Demand is low during festivals or auspicious days such as Ekadashi,Chaturthis,Jayantis
and during the month of Sharavan.
 Demand for exotic seafood like scampi prawns,atlantic salmon,lobsters,etc is ilesser
than the rest of seafood in small retail stores.They usually have a demand from
hypermarkets and exclusive retail stores.
 Demand for rohu,catla,pangas,tilapia is high in bengali fish centers from where bengalis
often prefer to buy.
 Demand for Tuna is more from bodybuilders and gym freaks.
 Also there is a good demand for crabs ( especially chimbori ) in Mumba
 Daily average requirement by retail stores
Fish Avg quantity of fish required per day
Rohu/Catla 4-5
Prawns ( 40 count) 7-8
Mackerel 5-6
Seer 4-5
Salmon 3-4
Pomfret 4-5
Bombay duck 7-8
Anchovy 5-6
Black pomfret 3-4

Current wholesale prices

FISH PRICE PER FISH PRICE PER
KG KG
Rohu 130 Prawns(medium) 300-350
40-42 counts
Catla 160-180 Seer(small) 500-550
Pangas 90 Silver 700-800
pomfret(medium)
Rropchand 95 Black pomfret 500-600
Pabda 350
Prawns(small) 200-230 Mackerel 220-240

PRICING IN HYPERMARKETS
STAR BAZAAR
FISH PRICE PER KG FISH PRICE PER KG
Pangas 1/89 Indian salmon 1099
Tilapia 199 Small pomfret 1279
Bombay duck 329 Norwegian salmon 1299
Big pomfret 1529 Roopchand 189
Black pomfret 899 Seer small 1049
Mackerel 319 Rohu 179
Prawns 489 Hilsa 1099
BIG BAZAAR
FISH PRICE PER KG FISH PRICE KG
Rohu 179 Pearl spot 525
Catla 199
Prawns 1549
Prawns 499
Pomfret 1499
Roopchand 199
Indian salmon 1250
Note: Here fresh water fishes are procured from Pune

MORE MEGASTORE
FISH PRICE PER KG FISH PRICE PER KG
Tilapia 250 Salmon 1300
Roopchand 190 Pangas 180
Sea bass 770 Black pomfret 699
Shark 799 Prawns 449
Rohu 155
Catla 199
Pomfret 1500

GODREJ NATURE’S BASKET

FISH PRICE PER KG FISH PRICE PER KG
White pomfret (big) 2000 Atlantic salmon 2500
Mackerel 380
Indian salmon 1600
Seer 1500
Prawns 1350
Rohu 175
Sea bass 1400
Note: The seafood and meat counter in Godrej is owned and operated by a company
known as Atlantic Gourmet and also a company called as Oceanic seafoods which also has
its counter in Pune’s Big Bazaar.
There are around 20-25 stores of Godrej in Mumbai and Thane.
 EXCLUSIVE RETAIL STORE
CAMBAY TIGER SEAFOOD MART
Fish Price per kg Fish Price per kg Fish Price per kg
Atlantic 2626 Bombay 336 Catla 286
salmon duck
Red snapper 950 Mackerel 260 Tilapia 210
medium
Sea bass 790 Black 1360 Basa big 200
medium pomfret
Indian 2056 Silver 2576 Hilsa 1716
salmon big pomfret
super
Indian 1334 Silver 2280 Vannamei 700
salmon pomfret big medium
medium prawns
Seer big 2146 Silver 1870 Sea tiger big 2270
pomfret prawns
medium
Shark 500 Rohu 236 Squid mdium 576
medium
Note: Cambay Tiger currently has 3 stores in Mumbai and it has its own farms in Gujarat
from where is procures fresh water fishes and prawns.
 Market analysis of Pune

The supply hub of Pune is the Ganesh peth fish market where sea as well as fresh water
fishes are sold. The merchants at Ganesh peth send their own vehicles to Andhra to procure
sea fishes and the fresh water fishes are procured from the farms in Pune itself. The
retailers visit this market to purchase the required quantity of fish according to their choice
of size and quality. When the Mumbai docks open for fishing activity the retailers and
merchants get their supply from Mumbai. Many merchants send their own vehicles to
Mumbai.
The merchants in Ganesh peth market are wholesalers as well as retailers in the fish market
itself.

Kolkata Retailers Pune

Ganesh peth market
Mumbai Andhra
i Retailers

The demand pattern

 In Pune the demand is high mainly on Wednesday,Friday and Sunday.

 The weekly average requirement of a small retail store in the city is around 150
kgs.(both seawater and freshwater)
 Some retailers who are also wholesalers have a daily requirement of around 500 kgs or
more.
Eg: shehnaz fish centre keeps around 40 sku’s of fish. ( also visit:
www.shehnazfishcenter.com ) (picture below)
SD supekar fish merchant who is a retailer as well as wholesaler requires around ! ton of
fish everyday.He sends his trucks to procure fish.Currently he is procuring seawater fish
from Kolkata.He procures rohu and catla from farms in Pune at Rs.95 and Rs.100-110 per kg
respectively.
Also it is learnt that people in Pune dislike freshwater fishes from Andhra and prefer the
locally sourced fresh water fishes. However it depends on the retailer how he convinces
them to buy it.
There is a good demand for crabs in monsoon.
RETAIL PRICES AT SHEHNAZ FISH CENTRE

Pomfret small 700 Mackerel 280

Prawns 800 Rohu 160
Scampi 700 Catla 180-200
Seer 600-700 Pangas 160
Indian salmon 800 Tilapia small/big 120/200
Black pomfret 800 Pink perch 280
Pearl spot 600
 Hypermarkets
There are 4 star bazaar and 1 big bazaar in Pune which the company can consider.
STAR BAZAAR
FISH PRICE PER KG FISH PRICE PER KG
Rohu 189 Rock lobster 1499
Catla 215 Prawns 549
Seer big 1399 Pabda 649
Atlantic salmon 1649
Mackerel 319
Siulver pomfret 1249
small
Bombay duck 329

BIG BAZAAR
FISH PRICE PER KG FISH PRICE PER KG
Hilsa 1100 Pabda 599
Mackerel 319 Tengda 520
Silver pomfret small 1199 Seer 1425
Scampi 750 Bombay duck 279
Rohu 225 Indian salmon 1449
Catla 240
Prawns peeled 950
Note: The seafood counter at Big bazaar is owned and operated by a company called as
Oceanic seafoods which used to formerly supply to Star Bazaar in Pune.
 SCOPE FOR THE COMPANY

RETAIL
OUTLETS RESTAURANTS

NEKKANTI

RETAIL OUTLETS

NEKKANTI

GYMS HYPERMARKETS

Online delivery
platforms

Company’s own retail outlets:

There is a scope for setting up exclusive retail outlets in areas where people have a huge
paying capacity for hygienic, and well maintained quality seafood.Most of the retail outlets
fail to maintain the hygiene standards. Also, the fishes are exposed to room temperature
and the prescribed temperature of 0-6 degree Celsius is not taken into consideration.The
fishes being exposed to room temperature directly for a longer duration attracts a host of
houseflies which further degrades the quality.
Therefore the company can set up its own retail outlets by taking the above listed and all
other relevant factors into consideration.
Semi aggregator business model:
The company can supply to the retail outlets and adopt the oyo/swiggy/zomato model
where the retail outlets will function under the company’s brand name and the company
will provide marketing and other technology based services to them for which the company
would charge some commission on every sale. This will require installation of POS systems
in retail outlets.
In case of Hypermarkets:
Company can either supply directly or can also set up its own counters
Supply to Gyms:
Company can also approach gyms to supply Tuna to them regularly as the demand for Tuna
fish is mainly from bodybuilders and gym freaks.
Restaurants:
There is a good scope to supply to restaurants. However as per the research the uncertainty
of payment or credit is a major problem for suppliers.
Wholesale Market:
There is a comparatively lower scope to supply to the wholesale market as the wholesalers
have their dedicated traders.
Online seafood and meat delivery platforms
Pune
Fishvish- www.fishvish.com
Easy meat- www.easymeat.in
Fish fanatics-www.fishfanatics.in
Mumbai
The seafood and meat.co- www.seafoodandmeatco.in
Fisherianz- www.fisherianz.com
Freshfish- www.freshfishmumbai.com
Fresh to home- www.freshtohome.com
 RECOMMENDATIONS/SUGGESTIONS

If the company wants to supply to all the retail outlets it has to provide them a proper value
proposition which might make them switch their current purchase method.Currently most
retailers in Mumbai and Pune themselves visit the market to purchase fishes and do not
have any vendor.Very few retailers have a vendor who supplies to them daily or on
alternative days in a week.
The proposition in this case would be:
 Timely delivery which is around 8-9 am daily
 Competitive price with best quality possible.Will have to maintain end to end cold chain.
 Providing printed infographics bearing the name of the company and stating the
benefits of consuming different types of fishes which would be posted on the walls of
the retail outlets
 Providing the retailers with some discount if their demand exceeds a certain limit.
 If company wants to adopt the OYO/Zomato/Swiggy model, then the company will have
to use an integrated approach in marketing activities. Marketing would be essential for a
Halo effect which might increase the chances of retailers switching their current
purchase methods.
 Focus should be on building long term relationships with the retailers.
 Catalogue and visiting card is necessary before approaching any retailer or restaurant.