Cutting carbs: India’s Lo! Foods eyes exports to Europe with low-carb and keto-friendly bakery and snacks
The current range consist of low-carb and keto-friendly flours, namkeens, desserts and cookies.
According to founder, Sudarshan Gangrade, the aim was to develop low-carb alternatives to the carbohydrate-heavy Indian diet.
All of Lo! Foods products provide less than 5g of carbohydrate per serving, which is approximately 60% lower than similar products in the markets.
For instance, typical Murukku contains between 9 to 11g of carbohydrates per serving, while Lo!’s has 2.9g.
Through these products, the firm hopes to reduce carbohydrate content in a typical Indian meal from 75-85%, to under 50%.
“We hope to reduce the incidence of obesity, diabetes and cardiac risks by limiting carbohydrates, and offering health benefits, particularly weight loss and reducing blood sugar levels, blood pressure, as well as triglycerides.”
In 2016, about 166 million adults in India are overweight or obese, and the number of diabetic adults were estimated to be nearly 73 million.
Domestic market
Since launching two years ago, the firm makes an average of US$1.5 million annually in sales, with sales growing month-on-month amid the pandemic.
In India, Lo! Foods products are mainly sold online through e-commerce platforms like Amazon, Flipkart, Bigbasket and its online store.
Its customer base includes health conscious consumers, as well as those who are actively trying to lose weight through a keto diet, or people who are diabetic and have been advised by their doctors to eat a lower carbohydrate foods.
Export markets
Outside of India, Lo! Foods products are also available in Singapore and US, having started exports this year.
Working with a distributor in Singapore, the full range of products comprising flours, namkeens, desserts and cookies are available on e-commerce platforms such as Lazada and Shopee.
In the US, it currently lists one product, an all purpose flour, directly on Amazon. “We are also launching brownie mix, coated peanuts, pancake and waffle mixes,” Gangrade said.
For its Europe exports, the firm will introduce its coated peanuts, nachos, crisps as well as developed a new range of products comprising of a brownie, pancake and waffle mixes.
“These products appeal to the global audience so we are not only focused on the Indian or the expats, our products will be available for everyone.”
“We've finalised distributors in UK and France, and we are looking to hopefully launch by July.” Similar to its domestic and other export markets, the products will be sold online.
According to a report from Grandview research, the global ketogenic diet market is expected to reach US$14.75 billion by 2027, expanding at a CAGR of 5.5% from 2020 to 2027.
R&D
Lo! Foods spent more than six months on R&D, coming up with an extensive product line of Indian snacks and staples.
To ensure the lower carbohydrate content, the firm uses seed or nut flour, instead of the traditional grains and millets.
Gangrade said its biggest challenge was creating the desired texture and shelf life.
“Snacking is not just about taste, but also texture. Taste can always be managed through flavors and spices.
“In addition, seed flours and other ingredients typically have a shorter shelf life, so we had to figure our packaging and ingredient proportion situation.”
“In the end, we're delivering a functional food so we need to make sure that every serving of ours, delivers exactly the same amount of carbohydrates that we are promising.”
Last year, it raised US$500,000 from angel investors, and this year in January, raised another US$1 million in a pre-Series A round.
