This aspect basically focuses on the consumer behavior and perception about the biscuit market, to find out

the brand consciousness, purchasing capacity, taste and preferences of the consumers.

Segments Export Import Marketing Industry Per Capita Consumption Main Categories Popular brands

Segments: The organized and unorganized sectors of the biscuit industry is in the proportion Of 55%:45% ratio. Exports of Biscuit is estimated to around 17% of the annual production during the year 2006-07.The export of biscuits for year 2007-08 was Rs.145.93 crore & year 2008-09 was Rs.280 crore . The major exporting region are Haiti ,Angola, USA ,Ghana ,UAE. Imports of biscuits into India has not shown any significant growth during the last two years and has not affected production/sales by the Indian Biscuit industry

Marketing: Wholesale and Retail marketing in the Biscuit industry is carried out with a network of C & F Agencies (for States and/specific Districts) Dealers / Wholesalers and Retail shops. Biscuit Industry, especially the Small & Medium Sector, consisting of around 150 units(besides three Large Industries), are facing erosion in their profitability and competitive capability, due to imposition of Value Added Tax (VAT) by the State Governments @ 12.5% on Biscuits, compared to VAT oat 4% levied on other similar food products.

Per capita consumption of Biscuits in the country is only 1.8 kg, as compared to 2.5 k to 5.5 kg in South eastern countries and European countries & USA respectively. Popular Brands of Biscuits in the country are, Britannia, Parle, Priyagold, Anmol, Biskfarm, Dukes, Cremica, Priya, Veeramani, Bonn, Bhagwati, Raja, Champion,Sobisco,Madhabi, Nezone, Windsor, Cookieman, Sufeast, Ankit, Shangrila, Nalanda, etc.

Year: 2003-2004 11.00 lakh MT 2004-2005 -- 12.54 lakh MT 2005-2006 - 14.29 lakh MT 2006-2007 -16.14 lakh MT 2007-2008 - 17.14 lakh MT 2008-2009 - 19.5 lakh MT

Britannia biscuit in India with respect to certain variable like price ,price of the substitute(parle biscuit),income of consumer & population,have the main objective of demand variation.To achieve this we assume all other factors like tastes of consumers,advertising ,are constant. Biscuit industry is taken as a whole without differentiating between various segmented brands.

To arrive at the demand function of britania,multi variate regression analysis has been used over non linear model.

Britannia Net sales for 08-09 are 3112.2 Cr . For 07-08 are 2329.9 Cr. Parle It covers almost 30 to 35 % of total biscuit market. ITC It covers current market share of 10% is now clearly established as a third brand.

As per the study conducted by FBMA, On the basis of frequency of eating biscuits, most of the consumer consumes biscuits every day. Out of 50 peoples 27 said they eat biscuit everyday, 7 people said they take once in a week and 16 people take sometimes according to their mood. Thus, biscuit is major product of the FMCG sector.

In Indian BISCUIT Industry even the small companies are able to make profits. Indian biscuit Industry has a continuous growth and will not be hindered due to external factors. Biscuit Industry has flourished in India enormously over the years and is still growing phenomenally Entrepreneurs or businessmen who are in process of buying , installation of new biscuit line should keep following points in mind ,apart from legal requirement of industrial licenses , pollution clearance's and of course finances