Maliban enters spread and sugar-free markets in Sri Lanka

• Launches two new products and a new company

By Cheranka Mendis

Maliban Biscuit Manufactories on Wednesday broke into the spread category and the sugar-free category in the market by introducing two new product brands – Maliban Goodness Fat Spread and a Feel Good Sugar-Free Biscuit, with an estimated investment of over Rs. 30 million.

Launching another subsidiary under the Maliban name, the fat spread was launched under a new company, Maliban Dairy and Agri Manufacturing Limited, and has been set up to realise the vision of the group of becoming the number one food company in Sri Lanka. The second product under the new company will be launched before April this year.

Currently, as Sri Lanka’s premier biscuit brand, Maliban Biscuits has grown exponentially over the years, recording a 40% growth during the 2010-2012 period cumulatively, while the biscuit industry category only grew by 20%. Likewise, in the milk segment, the group’s second company established 10 years ago, volume growth during the last three years was a recorded 500% while the milk powder market only grew by 45%.

With such accomplishments under its belt, the group is confident in dominating the spread and sugar-free goods market in the near future, Maliban CEO Sales and Marketing Ravi Jayawardena said.

“This is a significant step towards realising the Maliban vision. In this journey to become the number one food company in the country, we have launched a new company with a new product as well as a breakthrough product brand fulfilling the needs of society,” Jayawardena said.

Revolutionising the margarine market, Maliban Goodness Fat Spread is manufactured by the MOI Foods, Malaysia, a subsidiary of the leading Mewah Group. The margarine is produced under strict hygiene conditions adhering to superior quality standards which Maliban products are known for. MOI is among the top brands of oils and spread manufacturers in the world, Jayawardana added.

MOI International Director Ming You Choe, expressing his views, commented that the company is excited to partner with Maliban to get into the consumer marker. Providing fast moving consumer goods to over 80 countries, MOI is equipped with state-of-the-art factories with very little human intervention, Choe said.

Created to address the needs of two segments of consumers – those that are highly conscious of the nutritional platform and for the young adults, the product fits well into the gap that exists between these products in the current market. It is also the only margarine in the local market to be enriched with vitamins A, D, and E as well as Omega 6 and 9.

An estimated 15% of children are suffering from malnutrition while 22% are suffering from low weight issues. A majority of the children also suffer from cholesterol from a very young age. It is hoped that the spread, with its high quality, good value and affordable prices, would do well to reduce such conditions in the future.

With one in five adults recorded to be either diabetic or pre-diabetic in Sri Lanka, the Feel Good Sugar-Free Biscuit is a timely product for the local market. With close to 90% local biscuit kinds being introduced by Maliban such as cracker, marie, chocolate biscuit, lemon puff, ginger nut etc., the new product too is bound to do well, Jayawardena noted.

Having done no market research before going into manufacturing the product, he noted that the need was an obvious one with people becoming increasingly conscious of their health and wellness.

“Diabetes has spread to 8% of the global population, 9% of South Asia, and over 15% in Sri Lanka. This is because of the lifestyle we enjoy today,” he pointed out.

A brainchild of Maliban Chairman Ratnapala Samaraweera, years of research has been put into making the sugar-free product. Hoping to go for a zero sugar percentage in the near future, the sugar-free biscuit contains less than 0.5% sugar and abides by Sri Lankan, Singaporean, EU and USA regulatory standards for sugar-free products. Sugar has been replaced by Maltitol for bulking and sweetening and sucralose sweetener, a reputed Splenda brand; both a naturally occurring sugar substitute.

The product is the first of a number of products that will be launched under the sugar-free label within the next few months.