AWL Agri Business Ltd (NSE: AWL) Q3 2026 Earnings Call dated Feb. 03, 2026
Corporate Participants:
Unidentified Speaker
Shrikant Kanhere — Managing Director & Chief executive officer
Analysts:
Ashutosh Joytiraditya — Analyst
Sanjay Shah — Analyst
Harit Kapoor — Analyst
Dhiraj Mistry — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the AWL Agribusiness Limited Q3FY26 earnings conference call hosted by ICICI Securities Limited. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star zero on your touchstone phone. I now hand the conference over to Mr. Ashutosh Jyotira Ditya from ICICI securities Limited. Thank you and over to you sir.
Ashutosh Joytiraditya — Analyst
Thank you. Rituja hello and good afternoon everyone present on the call. I on behalf of ICIC securities welcome you on AWL Agribusiness Limited’s Q3FY26 earnings call. I would like to thank the management to give this opportunity of hosting the call from the management we have Mr. Anshu Malik, Executive Deputy Chairman, Mr. Srikanth Ganhere, MD and CEO Mr. Shaman Seth, Executive Director and Chief Operating Officer and Mr. Pankaj Goel, the interim CFO. I’ll now hand the call over to the management for any opening remarks. Thank you.
Shrikant Kanhere — Managing Director & Chief executive officer
Thank you and good evening everyone and thank you again for joining this call. I will begin with a brief overview on the operating environment followed by our Q3 performance and the key business updates during the quarter. Operating environment remained mixed with a heightened volatility in sunflower oil following intensification of Ukraine conflict. Even as Russia emerged as the largest supplier to India, edible oil prices more or less remained largely range bound with a grammage laid value offerings continuing across the industry. We also saw off late Indonesia delaying the B50 mandate and a continued availability of cheaper soya imports under the SAFTA route into India shaping the overall market dynamics.
Edible oil imports have remained broadly flattish over past two oil years, now close to 16 million tonnes in both the years. During the current year import across all three major oils, palm, soya and sunflower were lower compared to the last year indicating measured consumption and the inventory discipline. Sunflower continued to trade at a premium or soya and palm during the quarter and at the same time the price gap between the soya and palm widened meaningfully influencing customers choice and a portfolio mix across the categories. So finally we are seeing the chart which usually we used to see a couple of years back where sunflower sitting on the top of the table followed by soya and finally pap on wheat side.
This year the wheat prices more or less remained range bound between the range of 27, 27 and a half to 28 and a half and 29 rupees, a kilogram flattish kind of price trend that we have observed. This essentially puts players like us into a disadvantageous position who procure significant amount of wheat during the harvest and of course it puts into advantageous position to all the smaller and repackers who normally work on replacement basis. On the Results snapshot for the Q3FY26 against this backdrop, Q3FY26 overall volume grew by 3% year on year while revenue increased by 10%.
Profitability during the quarter was in line with the management estimates reflecting disciplined execution in a stable pricing environment. Our core brands continued to perform well we with Fortune oils, Fortune brand rather I would say and food delivering a very healthy growth of 13% year on year. Kohinoor which we acquired in May 2022 registered a strong growth of 32% while Kinks which is now second largest brand in India. Oil and food together grew by close to 7% year on year. Growth was broad based across the channels but the alternate channel and Horeca plus the branded exports delivering even stronger momentum.
On the P and L our standard On a standalone basis, volume grew by 2% during the quarter with the revenue growth of 8% on per turn basis. That is what we always suggest to look at our profitability metrics. Both the gross profit as well as the EBITDA remained in line with our stated management estimates. On consolidated basis, volumes grew by 3% year on year with a revenue growth of 10%. The difference between standalone and consolidated profitability reflects improving performance of our Bangladesh subsidiary and a consolidation of GD Foods and Omkar Chemicals both of which are scaling up well.
On a quarterly gross profit trends and EBITDA trends, we are delivering strong improvement in the gross profit and EBITDA per ton as compared to the previous quarters. This reflects better operating leverage, product mix and a sustained cost discipline. On business updates. At a company level volumes grew by 3% led by oils with food remained broadly flat excluding G2G sales that we had last year. Industry Essential declined due to challenging macros in Castor while Olio continued to scale steadily. Our last 12 month EBITDA now is close to 2,200 crores and the Q3 EBITDA stood at 637 crore.
Consistently we are delivering EBITDA of plus of 600 crore quarter after quarter. Alternate channels for us continue to scale very rapidly with last 12 month revenue from this only channel close to 4800 crore now. The demand environment remained moderately challenging though the offtake improved in the second half of the quarter. Edible oil volumes grew by 8% with broad based growth across categories and double digit growth in mustard. Market share improved sequentially on a quarterly basis supported by high marketing intensity and continued grammage play that we saw across the industry. On a food volumes were impacted by.
A pricing action in the wheat and a flat G2G sales. However, our domestic branded rice business delivered robust and sequentially improving growth. We maintained market share in wheat flour and saw meaningful improvement in the Basmati rice market share. Now Basmati rice market share is now on a mad basis has actually crossed 11.9%. Products other than rice and wheat continued to grow in a strong double digit and now contribute to the 30% of the food or FMCG volume and these products are basically sugar nuggets, Kohas, Suji, rava, Maida and other products which constitute now 30% and growing in a double digit.
On industry essential front volumes were impacted by macro challenges in Castor while Olio volumes are flattish. Olio contributes about 30% of the segment and continues to deliver high single digit margins. We are steadily diversifying into specialty chemicals which now contributes close to 78% of our portfolio volumes and offer higher margin potentials. On GD Foods which we acquired this year. In April 2025 the business delivered a growth of revenue growth of 15% with underlying volume growth of 18%. Material margin stood at healthy 54% and distribution expenses remained the key focus. Alternate channels grew sharply for this particular business as the GDE is increasingly leveraging AWS distribution and infrastructure plus bundling bundled offer along with the AWS products.
Our priorities for GD Foods includes accelerating distribution expansion, leveraging AWL’s infrastructure and scaling channels beyond general trade. We are also focused on driving growth in tail end products to broaden the portfolio and improve overall throughput. On brand investment, we are consistently investing in this. We stepped up brand investment during the quarter with multiple new advertising campaigns launched across the region. These investments are aimed at strengthening brand salience and supporting medium term growth across the categories. As far as the distribution is concerned, now we reach close to 9,50,000 outlets across the country directly. Rural distribution has scaled up to over 60,000 towns now and we are now focused on improving throughput and distribution efficiency.
Alternate channel remains one of the core focus area for us as this is the channel of the future and growing very fast. Alternate channels continued the strong momentum this quarter also with the volume growing by 42% year on year. Quick commerce now accounts for close to 30% of our overall alternate channel volumes and we continue to invest behind this channel given its growth potential. Big Commerce volume grew by robust 65% year on year during the quarter. Our brand strength is clearly reflected in the market leadership across the categories with strong shares in Oil, Soya Nuggets, Besan Sugar and Maida.
We continue to invest in expanding a meaningful portfolio and therefore in that direction in the health and convenience portfolio. We launched Fortune Multigrain Atta during this quarter and the initial feedback is quite positive on the product. Our value added and convenience offering across oils and food are also steadily scaling as we plan to expand this portfolio further in the coming quarters. With this I think I am done with the initial thoughts about the performance of the company for the quarter and now I hand over call to the to the chorus team to you know open the lines for Q Day and me along with Mr.
Malik and Somin and Pankaj are here and happy to take questions from the participants over to you.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the Touchstone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use answers while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Sanjay Shah from KSA Securities Private Limited. Please go ahead.
Sanjay Shah
Yeah, good evening gentlemen and thanks for opportunity. Sir, your guidance regarding Your guidance for 3,500 to 3,000 EBITDA per ton as a sustainable so now in stress commodity cycle, what are the biggest levers where you can use to protect this margin? These numbers.
Shrikant Kanhere
See actually the levers are basically it’s. Like. More to do with the proper risk management that we follow. I mean in a sense the guidance that we give of 3500 to 3600 is basis all the risk management that we have put in and this is generally we have been able to deliver and given the fact that our positions are not speculative in nature and therefore we and that is the basis at which we are giving this estimate of 3500 to 3600 and generally we have not seen this per turn margins going down below this even in very strong bearish or volatile trends.
Sanjay Shah
That’s great. So in food business we have become now EBITDA positive. So what margin band should we expect when the scale and when this business grows meaningfully.
Shrikant Kanhere
This business to actually deliver meaningful ebitda? I think we will still have to allow some more time to this business. As we have said earlier that we have we took some pricing correction this year and therefore we are EBITDA positive. But however, having said that this business will still remain in an investment phase or a growth phase as we go forward for a meaningful EBITDA margins, I think we will have to wait for another two to three years where it will start delivering. And as we have been saying earlier also the food has got better margin profile than edible oil.
And what we have seen in our competition, the EBITDA margins, anywhere between 5 to 6% or little over 6 to 7% are something which we can look at for the food. However, having said that, as I said earlier, this business for at least some time for next two to three years will still remain into investment phase.
Sanjay Shah
My last question is regarding GD Foods. As we have done 54% material margin. How much of these margins advantage can be retained as volume scale using AWL distribution channel?
Shrikant Kanhere
No. So I think we have already retained these margins. In fact, when we took over GD Foods, the material margins were actually in the range of 50% kind of margins. We have actually while scaling up the business, we have been able to retain this margin. So it’s not a. So we don’t want to grow by being aggressive on the pricing in the market. Rather we. We want to leverage the AWL distribution. That is what we are doing. So to answer your question, I think we will maintain these margin levels but we’ll be able to showcase growth just by leveraging the AWL distribution.
Sanjay Shah
That’s great. So thank you very much and very helpful to understand. Thank you.
operator
Thank you. Participants who wishes to ask a question, please press star. And the next question is from the line of Harit Kapoor from Investec. Please go ahead.
Harit Kapoor
Yeah. Hi, good evening. I had a few questions. So the first was, you know, on this soya palm sun kind of pricing situation, it seems like, you know, things have little bit normalized. You know, your volume growth is also back. Just wanted to get a sense, you. Know, of how you are kind of thinking about the macro context on the edible oil prices. You know, you have a strong team who kind of works around this. So and how in turn could that kind of affect the overall volume growth? Maybe a near to medium term would be helpful basis your understanding.
Shrikant Kanhere
See one is that we have been in all the category of oil that we work. So as a brand or as a company, we are present in all the oils. So whenever there is escalation in price of one particular oil, say Sunflower oil then soya bean oil is there because of mustard oil or palm oil to back up the volume. So if you see the growth that is happening is an all round growth which we are doing in all the oils. The growth has come from mustard oil, it has come from soybean oil, it has come from also overall price wise there has been some escalation in prices of particularly sun oil because of the tightness in the market in supply chain.
But otherwise palm oil and soya has been raised down. So it has helped us to grow the volume. Going forward we are confident that with the brand and with the type of distribution that we are expanding, it’s possible for us to continue with the volume growth.
Harit Kapoor
And you know your mention about this. Smaller damages market moving to 750 grams. So. You know what, what’s happening here? Why the movement downwards? Is it a price thing? Is it affordability? Driving up affordability? Is it competitive intensity? Give some color on what’s happening in. The market as you’re moving down SKU.
Shrikant Kanhere
Amongst all the food products. If you see last year versus this year edible oil prices are almost 20% higher. So what happened is with the inflation pressure at least three, four months back or a year back, the pressure on prices were huge. So what happened was when the packaging order law changed that you can have any grammar as long as you mentioned the same. So competition started reducing the weight so as to reduce the price and it started to say 900 and then 850, then 800, then 750. Now at 750 it is almost stable at 750 and all the competitors are at 750 level.
This is only to reduce the price and create affordability. And I’m sure if the edible oil prices remain stable or calm, the drainage might go up and it is possible. But in case of mustard oil we have seen there is no grainage cut. This is mainly in palm oil and soybean oil. We have seen that even in sunflower oil we have seen grammage cut.
Harit Kapoor
Got it, got it. And if you look at EBITDA per term this quarter for edible all actually very healthy. You know, if you add back the, you know, the derivative gain. So is there something, you know, where we can, you know, apart from the other, what’s sitting in the other income which is the derivative game. Can we also assume that because of. The way the prices move up, there would have been some kind of mark to market positive gains on commodity as well in this quarter on edible oil XP derivative X, the forex?
Shrikant Kanhere
Yeah, no, that’s fine. I think very, I mean right question to ask. You know, when you look at our numbers, I think, and this has been, we have been saying this for quite some time is looking at a quarter number is not the actually right way of looking at it. In our scheme of the things, since we plan everything for 90 days, given the fact that we are quite a big operator dealing in some more than 3, 3.5 million tons of oil, our planning cycle goes beyond 90 days. And therefore when you plan it in such a way, you always have an overlap of some M2M between the quarters.
And therefore if you really look at a six month level or a yearly level, is there something which gives you a right number? So always you have either some overlapping shifting from previous quarter to this quarter or something getting shifting from this quarter to that to the next quarter. And that’s the only reason and therefore we say that on a guidance level you should be working on anywhere between 3,600 to 4,000 rupees a ton and that we should be able to deliver.
Harit Kapoor
Got it right. Yes. Last question was on smcg. So you’ve seen this kind of muted. Situation on the volume side, but now we are actually seeing your sequential market share is also kind of improving in the higher growth categories in the branded categories. Just wanted to get your sense on. When do we start to see X G2G which is now pretty much not in the base. Also when do we start to see an acceleration in volume growth in food and fmcg? I mean what is your kind of thought process outlook there.
Shrikant Kanhere
On food and fmcg? When you see and you break down all these products you will find that except for non basmati rice and chakki atta, all our food products have shown a very healthy growth in some of the products with 20% plus whether it is sugar or poa or maida or suji rawa dal besan, even basmati rice as you see basmati rice also market share has improved substantially. Now what has happened in non basmati rice is that we have done some consolidation internally. Last year we expanded rapidly but then we found that non basmati rice needs to be understood well at each geography and so we consolidated it and then again we are now getting back into the action after our learnings how to get the business well structured.
That is one and you will see going forward that our non basmati business is giving US volumes that is 1 and 2 is that Chaki ata as said in the presentation that wheat did not prices did not increase as a result, we did not get the carry cost as every year we would get if we stored the wheat. And we generally store the wheat for six, eight months only to ensure that the quality remains consistent throughout the year. Now local players have the advantage that they work on hand to mouth inventory. Obviously they could buy the wheat at a cheaper price and be much more competitive.
And that is why we did not grow much in both non Baskati rice and Chakti Atta. These are two big portfolios in the food. Had we had grown there even 10% the overall food basket would have grown by 15% or so. So we are confident that going forward things would be better. As we see now January also we have seen both non Basmati rice and Chakti Atta started showing better results. And new crop is awaited. Anytime from March we will get the new crop of wheat and non Basmati rice also. New crop has started coming from November onwards.
So things are little better.
Harit Kapoor
Got it? And last question if I may. Your outlook on the prices for Atta and for wheat and rice. Given that new crop is likely to come in soon, prices haven’t moved up much as you rightly mentioned is this. Is there if one could guess for the next 612 months. Is there a stable price outlook right now? Is that how you’re thinking about it for both these commodities?
Shrikant Kanhere
I think the nonvastati crop has been very good this year. And I think it is one of the highest production of padding. Outpacing even China to become number one. The prices are very affordable, stable. Anything at 38, 40 rupees you get today. Sona Mussoorie at the middle level, ex middle level is a very good price, affordable price. Wheat also if you see the production is going to be very good. Better than last year. And that is because very good monsoon. And coupled with so far the weather conditions are very good. So wheat production also will be higher than last year.
Wheat makes both the commodities at very very stable prices. And when there is stable prices obviously the brands have advantage.
Harit Kapoor
Great. I’ll come back for more. Thank you. Wish you all the best.
operator
Thank you. The next question is from the line of Dheeraj Mistry from ICICI Securities. Please go ahead.
Dhiraj Mistry
Yeah. Hi sir. Good evening sir. First question is regarding edible oil. So last quarter you highlighted that there is a soya oil import from Nepal which is particularly impacting our business in north part of the region. What’s the status on that? Now.
Shrikant Kanhere
Nepal exports only soybean oil. And that also in consumer bank that what is the under Sapta they can do that. And most of the market they penetrate are Bengal, Bihar, UP, Jharkhand. These are four big markets where AWL has over 50% market share in Sweden. So it has surely impacted earlier but slowly what we are finding that with competitive prices and pomelin becoming cheaper. So that is fighting against the imported soybean oil from Nepal. So Nepal influx has reduced by almost 30 40%. At its high it was almost 200,000 tonnes per quarter. Now it has come down to roughly around 125 1lakh 25,000 tons per quarter.
So it has reduced. Not that it has become zero, but the impact has surely come down. And that is why you see our market share also seen improving in Q3.
Dhiraj Mistry
Okay, okay. And sir, second is on foods business. So our aspiration of 10,000 crore which was there earlier for FY27, where are we in terms of you would expect any delay in terms of achieving that? 10,000 crore of top line?
Shrikant Kanhere
Yeah, I think see so this 10,000 crore of estimate that we gave, of course this is the kind of growth that we saw on the food side in FY23 24 and 2526 was flattish for us. And I think we spelled out the reasons why it was a flattish. As we go forward in 27 I don’t think we will have any such of reasons which we had this year will be there. Having said that, I think if meaningfully GD foods also contributes to it along with couple of more interventions that we are going to take. I think we if not 10,000 I think we would be in a striking distance that we are trying to work out.
Yes, but FY27, 10,000 seems to be now kind of number which we may not be able to achieve. Maybe it may go up to FY28 but we would certainly be into a striking distance of this number.
Dhiraj Mistry
Got it, got it. And some foods business we have seen lot of innovation where there’s a new product launches has been quite aggressive in a way. What would be the contribution of NPD to the overall growth of FMCGN foods in our portfolio?
Shrikant Kanhere
See, in our portfolio we have not been very aggressive in ready to eat because only ready to cook. We have gone into in which we have this biryani kits of different varieties. We have double roasted suji that we have put. We are also put expert functional oils which have started doing well. So these are some of the NPD products which have done well. But as a percentage it may not sound very big because Our general staples business is quite large in edible oil Obviously if you look at our total volume it’s very large. So these all put together NPD will be roughly around 500 crores or something in that range.
Dhiraj Mistry
No, Got it. I was asking that NPD contribution to the foods and fmcg. Yeah but find a crude it’s I can reverse calculated and it would be safe to assume that all this NPD would be more of a margin accretive for you compared to the existing portfolio of SMCB and goods.
Shrikant Kanhere
Yes, surely the margins are higher. Only thing is that in the beginning you need to invest in some amodee brand building or promotion or creating some consumer connect that cost. If you take it out then surely it has much much higher margin. If you take our expert oil say immunity oil this oil gives us at least three times more margin than the normal. But then these are new oil which you need to advertise or you need to inform consumers in any way. We have now we have cold press oil. We have just launched cold press Right.
We have pelidar as the first press but now I have introduced cold press mustard oil. We are working on cold press grounder toy. We have multigrain Atta. We have just launched multigrain Atta we are working on high protein Atta. There are few more products on which we are closing very fast.
Dhiraj Mistry
Got it? Got it. And sorry if I missed but if I look at only hoods and FMCG business what would be the contribution of this alternate channel? And in light and at what rate it has been growing at the same time what would be the profitability of this alternate channel compared to let’s say general trade channel for us?
Shrikant Kanhere
Okay, see first at all India level let’s look at all India level food and FMCG staples business 25% business comes from alternate channel. 75% comes from your general trade. This is at all India level. Now when you go to different towns, say rural there isn’t any alternate channel. Everything is general trade but rest in towns when you go you have different alternate channels doing that. Now modern trade has been growing at around 15 20% but quick commerce is the fastest growing at around 65% and e commerce is growing at around 45% overall overall the alternate channel has been doing much better and you can say around 35, 40% is an average growth rate of alternate channel versus 5.
7% 8% in general trade. And in some of the towns when you go further break up whether you take Bangalore, Pune, Mumbai, NCR you will find food and staples business, 50% comes from our channel.
Dhiraj Mistry
Got it. And sir, on profitability and market share, can you comment on for this alternate channel?
Shrikant Kanhere
E Commerce. E E Commerce gives us slightly more modern trade also gives us more than general trade. For the simple reason that we don’t employ or deploy a lot of people in the trade. Distributors are not there. Most of it is direct dealing with the clients. So we supply directly to Reliance or Dmart or anybody. So that saves us one cost as well as the manpower cost fees less delivery at one point. So that these are all some of the savings that you get. Overall alternate channel gives us better margin than.
Dhiraj Mistry
Last question from my end. Can you give some color in terms of demand? Let’s say what on ground, demand, environment do we see? Be it in terms of geography wise, north, east, west, south or in terms of Ruger versus urban. And is there any pickup you have been seeing or what your analysis has been that how the FY27 would pan out in that. Thank you.
Shrikant Kanhere
Okay, good question. See first is that first half was very dull. Both rural and urban was done. Q3 onwards. October onwards we started seeing some uptick in consumption both rural and urban. Now OND normally is a good consumption month because all festivals, the Sera, Diwali and then marriage season. And then overall up to Christmas and New year the market is always good. So OND is good for all. But the 15th of November onwards we found that rural market started giving us much more consumption. And there was a demand that we can we could see clearly.
And this demand continues even till today. Urban markets I would say tier 2 and tier 3 towns showed very good results and very good demand which also continues till today. Only the pressure remains in the metro cities where possibly the stress is still there. An alternate channel is taking some business away from the general trade. That is the possible thing. Otherwise the demand is up going forward. What we feel is that with the prices stable, market mood sentiments are positive. Agri production is increasing overall overall the consumption mood is much better. And staples. Normally people come little later on buying bigger quantities.
They first buy other products. But once they now see that rice, wheat, flour, sugar and all these prices are stable, consumption starts growing. We are looking at at least single digit growth in alaboloids and double digit in food going forward. That is what indicates gives indications are like that from the market.
Dhiraj Mistry
Thank you. Thank you very much. That’s it from my side.
operator
Thank you. Participants who wishes to ask a question please press Star and one. The next question is from the line of Ashutosh JYOTI Aditya from ICIC Securities. Please go ahead.
Ashutosh Joytiraditya
Yeah, thank you for the opportunity, sir. So my question is on the foods business, so given the aggression that you have on the food business.
operator
But we are unable to hear you so clearly, your voice is breaking. Can you please check?
Ashutosh Joytiraditya
Hello, am I audible?
operator
Yes, please go ahead.
Ashutosh Joytiraditya
Yeah, so my question was on the foods business, so given the aggression which you have, are you looking for any inorganic opportunity as well in the particular foods segment? And also like if you can, if you could just elaborate more on the initiatives that you are taking to grow the overall food strictness.
Shrikant Kanhere
As far as the inorganic opportunity or inorganic route to grow the business, I would only say that as a company we keep evaluating lot of proposals which comes on our table and that’s a continuous process that keeps going on. I would not comment anything whether the opportunity is there today, yes or no. But I think yes, as a process we continue to look out for such kind of any opportunity that comes with and if it fits into our valuation and it fits into our bill, we certainly do it as we did in past. Like we acquired Co Ignorant Foods and of course in Oleochemical we acquired Konkar Chemicals.
So that always will be there. As far as the various initiatives are concerned to expand the food business, of course we would be little bit aggressive as we go forward on some of the product lines like wheat flour and rice. And of course the big work that needs to be done of course on the distribution side. So while we say that we are leveraging oil distribution, but answer is are we there in terms of fully leveraging oil distribution, yes or no? I think the work is still in process. So the big initiative that we would be taking is on the distribution side, number one.
And number two, given the encouraging results on the Quickcom and alternate channel, we would be spending quite a big focus and big efforts on this particular channel because this has given us quite a significant growth along with a good market share. So these are the two things we will continue to do particularly for the food.
Ashutosh Joytiraditya
Okay? Okay, sure sir. And you have highlighted the small, the earlier parties that Q3 the demand has been good. But like in general is there any down trading kind of trend which you see like particularly in the Depot oil portfolio, any like movement from Fortune to maybe bulk or intel players, something like that?
Shrikant Kanhere
No, no. In fact we are finding people are coming back to Fortune of Fortune is higher than our second brand. And that can be very clearly seen because Nielsen is also catching the same thing and we have seen our brand Fortune doing better so if you see our all India Fortune share has increased. And that’s an indication that consumers are one, getting back into consumption. Two, they are getting back into their preferred brands. So that is possibly because weight reduction was done to ensure that the affordability remains of the brand. And that is why consumption of Fortune is higher than our second brand kings.
Ashutosh Joytiraditya
Okay. Okay. And one last thing sir. So on this US tariff, so would the company see any better opportunity for expansion for this oliochemical exports? Anything on that?
Shrikant Kanhere
See I think the deal has just been announced. Not been even 24 hours. I think details will be soon out. We have not yet seen exactly what and how part of the deal. But yes, certainly on a branded export side we will be certainly get benefited. Because till now the branded exports were attracting more than 50% of tariffs which now come down to 18%. And the Olio and other things and the bean oil. And there are a lot of discussions going around what will happen whether India will import bean oil from us. Yes or no.
I think once the details are out only then anyone can be able to comment on it.
Ashutosh Joytiraditya
Okay, sure sir. That’s all from my side. Thank you sir.
operator
Thank you. Ladies and gentlemen, this was the last question for today. Thank you. I now hand the conference over to management for closing comments.
Shrikant Kanhere
Thank you once again for all the participants for joining the call. And if you wish to ask any further questions, any queries, you can certainly reach out to our investor relations team through an email. And we will certainly see to it that your queries get answered. Thank you very much.
Unidentified Speaker
Thank you everyone.
operator
Thank you. Ladies and gentlemen, on behalf of ICIC securities limited that concludes this conference. Thank you for joining us. And you may now disconnect your lines.