Tea time biscuit loved by all—Parle G
Parle –G, the name is enough to bring back the childhood memories. The struggle to eat the biscuit before it crumbles is the real one. Whenever you feel hungry and there is nothing else to eat, the best option many people opt is having a cup of tea and Parle G. This is the only biscuit which is in the market for the last 7 decades and people still love it. Parle G is still popular and the taste hasn’t changed with time, not even the price.
Let us see some facts about Parle –G
Parle G is a brand of biscuits manufactured by Parle Products India. It was established as a confectionery maker in the Vile Parle of Mumbai. It began manufacturing biscuits in the year 1939 and is 75 years old. It is the best-selling brand of biscuits in the world.
The girl on the biscuit is only an illustration created in the year 1960 and she still remains to be on the packaging.
Parle G biscuits were called Parle Gluco until the 1980s.
The month production of Parle G biscuits can cover the distance between Earth and the moon. It is the only brand to sell products worth over Rs 5000 crore in a year.
Approximately 4550 people around the world are eating Parle G, as we read this article.
Parle sold at the same price for 25 years:
When parle increased the price by just 50 paise, there was a drastic drop in sales and people protested the hike in biscuits. So Parle G decided not to go with price hike but still managed a turnover of Rs 8000 crore, how? Because the consumers are price-sensitive, Parle G did not increase the price of the biscuit but reduced the quantity of the biscuit. Parle decided to keep a low-profit margin on Parle G biscuits but will earn profits from other urban biscuit brands like Krack Jack, Monaco, Hide n seek. Parle’s raw materials purchase is the most meticulous and reasonable. They make purchases from the direct sources. The production line of Parle is so efficient, that there is negligible wastage. The low-cost packaging of Parle G, with simple plastic, also added to the net profit. Parle focused on increased inventory, fund rotation, low-cost logistics, and low-cost warehouse. Parle focused on price variant. Starting from Rs 2/- a packet to Rs 50 a packet.
Parle factory in Mumbai shuts down:
The iconic factory at Vile Parle will no longer make these heavenly smelling biscuits. The factory is shutting down after 87 years. The owners stopped the production a few weeks ago and finally had to shut down. Parle says may lay off nearly 10,000 employees due to slowdown. The 18 percent GST on the low-cost biscuit has hit sales. Parle employs about 1 lakh people. This is definitely a difficult time for everybody. The entire biscuit industry is going through a demand slowdown.
It was told that the decision to lay off around 10,000 employees was taken due to the GST, economic slowdown and due to the price hike. These biscuits were exempt from excise duty but have been included in the 18 percent GST. They are asking the government to reduce the GST on biscuits. These biscuits are usually consumed by middle –class and lower middle class, but there has been a dip in sales of the “value biscuits”. The news comes as a slowdown in the economy and has hit demand for everything forcing companies to curtail production and recruitment while hoping that the Indian Government would revive the economic growth.