### **Overview** Avanti Feeds Limited is a leading integrated aquaculture company in India, with over three decades of expertise in shrimp feed manufacturing, hatchery operations, and shrimp processing for export. Headquartered in Hyderabad, Telangana, the company has evolved from a shrimp feed leader into a diversified protein and nutrition solutions provider. It maintains a dominant ~50% market share in India’s shrimp feed segment and operates through key subsidiaries across feed, processing, power, and the newly launched pet care divisions. The company’s strategic vision emphasizes vertical integration, innovation, and diversification to strengthen resilience amid global trade volatility, particularly in its key export markets like the U.S. In recent years, Avanti has strategically expanded into value-added seafood products, domestic consumption, fish feed for high-value species, and the premium pet nutrition market. --- ### **Recent Developments (2024–2025)** #### **1. Entry into Pet Care Market – Launch of Avant Furst** Avanti Feeds made a strategic foray into the fast-growing Indian pet food sector in January 2025 through its 60%-owned subsidiary, **Avanti Pet Care Private Limited (APCPL)**, established via a joint venture with **Bluefalo Company Limited, Thailand**. - **Brand Launch**: Launched *Avant Furst*, a premium, science-led pet food brand. - **Product Rollout**: - **Jan 2025**: Cat food (ocean fish flavor) – first product launched. - **Jul 2025**: Cat food (tuna flavor) introduced. - **Aug 2025**: Dog food launched in chicken & vegetable flavor. - **Market Rationale**: Dog food was prioritized due to its dominance in the pet food market (~65–80% share). - **Initial Sales**: Pet food sales grew from **INR 38.17 lakh in Q1 FY26** to **INR 95.08 lakh in Q2 FY26**, indicating strong early adoption. - **Distribution Strategy**: - Initial sales in 5 major cities (Mumbai, Pune, Chennai, Bangalore, Hyderabad). - Expansion into Tier 2 and Tier 3 cities underway. - E-commerce launched via **Supertel platform**; planning **Amazon India launch by end-Nov 2025**. - **Marketing**: Digital campaigns on Instagram and Facebook (@avantfurst) are driving brand awareness. #### **2. Manufacturing Expansion in Pet Care** - Acquired **30 acres of land near Hyderabad** for a state-of-the-art pet care manufacturing facility. - Civil works completed; awaiting government approvals for construction. - Currently **importing pet food from Thailand**, with plans to begin **local production by 2026** following successful market validation. --- ### **Core Business Segments** #### **1. Shrimp Feed Division** - **Capacity**: 775,000 metric tons per annum across 5 ISO- and BAP-certified plants. - **Market Share**: Near 50% in India – market leader. - **Performance**: - Turnover: ₹4,563 crore in FY25. - High farmer loyalty due to technical support, 24/7 advisory, and on-ground diagnostics. - **Innovation**: Focus on improved feed conversion ratios (FCRs), disease resistance, and sustainable formulations. - **Customer Support**: Over 2,000 field technicians provide pond management guidance, seed selection, and disease mitigation. #### **2. Shrimp Processing & Exports (via Avanti Frozen Foods Pvt. Ltd. – AFFPL)** - **Processing Capacity**: 36,000 MT/year post-commissioning of new **7,000 MT plant at Krishnapatnam (March 2024)**. - **Products**: Raw, cooked, and value-added shrimp (e.g., marinated, breaded, skewers, shrimp rings). - **Markets**: - Traditional: USA, Canada, EU, Japan, South Korea, China, Middle East. - Strategic shift to reduce reliance on U.S. market (historically >50% of exports). - **Growth Strategy**: - Increasing value-added exports (higher margins). - Expanding into Japan, Europe, Canada, Bangladesh, and Middle East. - Fully traceable “farm-to-fork” supply chain with international certifications (BRC, HACCP, FDA, etc.). #### **3. Hatchery Operations** - **Facility at Gudiwada, Andhra Pradesh**: State-of-the-art hatchery with capacity of 600 million post-larvae (PL) annually. - Produces high-quality, disease-free shrimp seed. - Supports sustainable farming and strengthens Avanti’s upstream control in aquaculture value chain. #### **4. Renewable Energy** - Operates through **Srivathsa Power Projects Private Limited**. - **3.2 MW Wind Power Project** in Chitradurga, Karnataka. - Generates ~48 lakh units/year, sold to BESCOM under power purchase agreement. - Contributes ancillary revenue and ESG credibility. --- ### **Strategic Diversification Initiatives** #### **1. Fish Feed for High-Value Species** - Partnership with **Thai Union Feedmill (Thailand)** for technology transfer. - Conducting trials in India for feed suitability for **Sea Bass, Murrel, Rainbow Trout, and Snakehead**. - Feed imported from Thai Union for trial; plans for **domestic manufacturing post-trial validation**. - Targeting a niche, high-margin segment of freshwater aquaculture. #### **2. Domestic Market Development** - Recognizing low per capita shrimp consumption in India, Avanti is actively promoting domestic consumption. - Piloting **shrimp sales in domestic retail channels**, with focus on urban centers. - Exploring **e-commerce and home delivery models**. - Preference for upfront payments due to credit risk in domestic trade. #### **3. Export Diversification** - Actively reducing dependence on the U.S. market affected by **5.77% CVD tariffs**. - Expanding into **EU, Japan, Korea, Canada, and the Middle East**. - Strengthening presence in **Bangladesh** and planning entry into **Saudi Arabia, Qatar, and Oman**. --- ### **Financial & Operational Highlights (FY24–FY25)** - **FY24 Revenue**: ₹5,505 crore | **Profit**: ₹537 crore. - **Revenue Segmentation** (as of Mar 2025): - **India**: ₹451,239.53 million - **USA**: ₹73,808.12 million - **Rest of the World**: ₹36,178.42 million - **No single customer accounts for >10% of revenue**. - **Capacity Utilization**: ~60–65% annually; targeted to reach **80%+ in 4–5 quarters**. - **Working Capital**: Strong internal funding allows flexibility, reduced dependency on bank loans. --- ### **Corporate Structure** - **Key Subsidiaries**: 1. *Avanti Frozen Foods Pvt. Ltd. (AFFPL)* – Shrimp processing & export. 2. *Avanti Pet Care Pvt. Ltd. (APCPL)* – Pet food and care products. 3. *Srivathsa Power Projects Pvt. Ltd.* – Wind power generation. - **Associate Company**: - *Patikari Power Pvt. Ltd.* – Hydel power project. - **Dissolved Subsidiary**: - Avanti Feeds Fandri, Inc. (USA) – shut due to sustained losses (Mar 2023). - **Stock Scrip Name Changed** from *AVANTI* to *AVANTIFEED* in Jan 2024 for branding alignment. --- ### **Leadership & Partnerships** - **Chairman & MD**: *A. Indra Kumar* – 29+ years of experience, pioneer of India’s shrimp feed industry. - **Key Leadership Additions**: - *Nikhilesh Alluri Chowdary*, Executive Director, AFFPL – former Thai Union executive; instrumental in growing Avanti Frozen’s revenue from $35M to $135M (FY17–FY25). - **Strategic Partnerships**: - **Thai Union Group**: Long-term technical collaboration on feed, R&D, and global distribution. - **Bluefalo (Thailand)**: JV partner for pet care; technology and supply support.