About this ebook
Purpose of writing this book is to help FMCG students & professionals to understand each and every aspects, whether it is related to understanding concept of FMCG, FMCG terminologies, food supply chain, food safety challenges, food product market, legal food regulation compliance nationally or internationally, FSMS (Food Safety Management System) certification, food hygiene practices, and many more.
Manish Sharma
A seasoned chemical engineer with Master of Science from BITS Pilani. A Certified Six sigma Black belt. CQI & IRCA qualified lead auditor for ISO QMS 9001, 14001, 45001, and FSSC 22000, IMS (Integrated Management System). Diploma from IIP (Indian Institute of Packaging), Mumbai A Competent professional with over three decades of industry experience in Flexible packaging, Labeling, Lamination, Chemical Production, Product Development, Project Management, Customer Relationship, Quality Assurance, and Technical services. Skilled in implementation of lean methodologies and 5S technique; Hold competency in food packaging grade product legal and statutory compliance. And last but not the least the spiritual practitioner, who believes that life journey is always a path of new experience for betterment.
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Excellence2FMCG - Manish Sharma
Preface
First edition
Perfection is not attainable, but if we chase perfection, we can catch excellence.
Vince Lombardi
FMCG (Fast Moving Consumer Goods) is a broad category we have chosen; it contains a wide range of products consumed daily by billions worldwide.
Health is one of the top prime priorities for every individual. Everyone wants to keep away from any disease.
We can ensure we have a good awareness of all kinds of products available in the global market.
Why This Book?
The purpose of writing this book is to help FMCG professionals to understand every aspect, whether it is related to understanding the concept of FMCG, FMCG terminologies, food supply chain, food safety challenges, food product market, legal food regulation compliance nationally or internationally, FSMS (Food Safety Management System) certification, food hygiene practices, and many more.
Acknowledgment
Every completed task is the effort of so many peoples. This book is an example of this.
I am thankful to my wife and sons for supporting me throughout writing this book.
I am also grateful to my professional colleagues from whom I got a lot of valuable practical experience incorporated into this book.
Information was collected from many sources such as the Internet, books, and newspapers, attending various training programs, visiting and interacting with customers, participating in the audit process, and addressing multiple technical issues during the three decades.
Since sources for supporting information were not readily available for acknowledgment, I would be grateful to everyone to be part of this journey for their direct or indirect support to make this task possible.
I am also thankful to all for using various illustrations /images to explain multiple concepts better and more clearly and to my friend Dipak Khade for designing a cover page.
If I missed giving credit inadvertently, it will be taken care of in the next version and brought to the author's notice.
CHAPTER 1
What is A FMCG > Basic Understanding
A brand for a company is like a reputation for a person. You earn reputation by trying to do hard things well.
Jeff Bezos
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FMCG(Fast Moving Consumer Goods)
FMCG
Basic Understanding
There should be the query, that when n number of books, articles, and information on FMCG (Fast Moving Consumer Goods) subject round the clock are available over finger touch on the internet in a fraction of a second, then why do these additional sources on the same subject time and again.
Here is a different thought process for writing this book, especially for FMCG manufacturers, retailers, whole-sellers (offline or online), customers, consumers, students, and professionals.
The information available is stored at different locations with different sources, yet there needs to be consolidation.
This initiative will help every one of us to get at a glance all relevant technological, product, and market-related details for our immediate ready reference.
With this, we are now commencing Our journey of FMCG towards global excellence.
Let us come together and join hand in hand in this journey.
This chapter consists of:
› FMCG Products
› Macro Product Categories
› Current FMCG Market Trends
› Challenges
› Technical Dictionary
FMCG PRODUCTS
Products with a very high consumption rate and non-durable mean having a shallow shelf life. Different product has different shelf life.
The period during which food remains natural by using preservation techniques that inhibit microbiological or biochemical changes, thereby providing a further extension for sales, distribution, and storage, thus allowing time for distribution, sales, and home storage.
By using preservatives, flavors, colors, aromas, and textures, varieties have been added to food products, collectively known as eating or Organoleptic quality.
The aim of doing this is to change the form of food by doing further processing changes to allow further processing (like milling of grain to convert it into flour.
Another aim is to provide desired nutrient quantity and quality in the food for better health (called Nutritional quality).
MACRO PRODUCT CATEGORY
Let us first see what the macro product, especially food products, falls under FMCG, which is primarily classified for our fundamental understanding of all to come at a common platform.
Snack
Biscuits
Bakery products
Sea-foods
Dairy products
Confectionary
Personal care
Frozen foods
Fruit and vegetables
Beverages
Alcoholic drinks
Pet products
Snack Foods
Snack is a part of the food, generally smaller than a regular everyday meal, and it is a light meal or refreshment taken between meals.
There are wide varieties of Snacks consisting of packaged and processed foods. This type of food generally has 300 calories or less per serving, for example, Pretzels, Tortilla chips, Cookies, Cheese, snacks, Crackers, etc.
tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_5ca7dd3c.jpgSnacks
Biscuit Foods
A biscuit is a flour-based baked food product. It is a small baked unleavened cake, typically crisp and flat. It is made up of baking powder, baking soda, or yeast and many other ingredients, for example, Hardtack, Biscotti, Fish and Brewis, Fried, Drop, Dumpling, Soft, Beaten, Scones, Angel, Southern, Herbed, Casserole topper, Cheese & Bacon, etc.
tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_136a0564.jpgBiscuits
Bakery Products
These products are made from flour produced in a bakery forexample, Bead rolls, Buns, Cakes, Cookies, Crackers, Doughnuts, Pies, Pastries, Pretzels, Bagels, Pizzas, Crumpets, Pandesal, Muffins, Brownies, Croissants, etc.
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tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_67cd5e4d.jpgBakery
Sea Foods
It is in any form food for humans. It predominantly includes fish, shellfish, and Roe. Seafood is not meat but also not a part of a strict vegetarian diet for example, Fish- Anchovy, Bass, bluefish, carp, catfish, Char, Cod, Flounder, Haddock, Halibut, Herring, Orange roughy, Sardines, Salmon, Trout, tuna, Crustaceans- Crab, Crayfish, Lobster, Prawns, and shrimp, etc.
tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_m6bb101f3.jpgSea-foods
Dairy Products
These products are made from milk or directly in the form of milk only. It is received from milk-producing animals such as cows, buffaloes, sheep, camels, etc., for example, Cheese, Butter, buttermilk, Curd, Cream, Milk powder, Casein, Frozen desserts like Ice cream, Ice milk made from dairy products, cultured dairy like sour cream, yogurt, cottage cheese, Custard, etc.
tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_m5bf82d63.jpgDairy products
Confectionery Foods
Confectionery is the which is rich in sugar and carbohydrates. Sugar confectionery includes candies (usually called sweets), candied nuts, chocolates, chewing gum, bubble gum, pastillage, and other confectioneries that are made primarily of sugar, for example, Bubble gum, Candy bars, Caramel Carob Chewing gum Chewy lollies.
Chocolate Chocolate bars, LiquoriceLollies Marzipan Medicated, cough lozenges Mints Nougat, Sugar-coated choc bits Sugar-coated nuts, Sweetmeats Toffee Yoghurt compound, Cotton candy/fairy floss Crystallised or glazed fruit and ginger Eucalyptus and honey drops Fondant Fruit balls with added sugar Fruit flakes with added sugar.
Personal Care
With legal definitions, some products commonly called personal care products
are cosmetics. Cosmetics and personal care products contain a mix of chemicals, for example, Skin moisturizers, Perfumes, Lipsticks, Nail care, Eye and facial makeup preparations, Shampoos, Permanent waves, Hair colors, Toothpaste, Deodorants, Lip balm, Lotion, Makeup, Hand soap, Facial cleanser, Body wash, Pomade, Hand sanitizer, Mouthwash, Baby products, etc.
Frozen Foods
Food that has been subjected to rapid freezing is kept frozen until used. Food preserved by a freezing process and stored in a freezer before cooking, for example, Peas, Ice-cream, Fish fillets, bread, pizza, sausages, plain chicken, fish fingers, ready meals, breaded, chicken, burgers, ice lollies, Yorkshire puddings, sweet corn, green beans, broccoli, carrots, roast, potatoes, desserts, etc.
tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_2adf4498.jpgFrozen food
Fruits & Vegetables
Botanically, a fruit is a seed-bearing structure that develops from the ovary of a flowering plant, whereas vegetables are another part of the plant, such as roots, leaves, and stems. These are highly perishable with limited shelf life.
tmp_a628fc273530ce1e5e8723a6502ae7de_tv92us_html_5aef8cf0.jpgFruits & Vegetable
Beverages Drink
A beverage is any potable liquid drink other than water.
Examples: Tea, Coffee, Beer, Milk, Soft drink, Liquor, Juice, etc.
Alcoholic Drink
An alcoholic beverage: This drink contains ethanol/ ethyl alcohol. Beer, wine, and spirits start with fermentation, the natural result of yeast digestion of the sugars found in ingredients like fruit, cereal grains, or other starches, for example, Beer, Whisky, Rum, Brandy, Vodka, Gin, Tequila, Baijiu, SinganiSoju, Wine, Cider, Korn, Awamori, Cognac, Pisco, Jenever, Mead, etc.
PET Products
Pet foods is a plant or animal product intended to be consumed by pets. It is sold in Pet-shop and