Mumbai: Marico Ltd has ended its distribution alliance with Indo Nissin Foods Ltd, a year ahead of expiry, it said in a statement made over the weekend.
Marico had entered into an alliance with Indo Nissin in 1998 for marketing and distributing the latter’s products such as Top Ramen and Cup Noodles range in India.
“Our size and portfolio of brands have grown smartly over the past few years. The imperative now is to channel our energies into brands from our own stable,” Saugata Gupta, Chief Executive Officer of Marico’s consumer products business said in the statement.
Indo Nissin, which is the Indian unit of Japan’s Nissin Food Products has also achieved a critical turnover mass and was keen to set up its own distribution network in India.
The original agreement covered marketing by Marico, but when it was renewed in 2006, the agreement was scaled down to cover only distribution.
The increased scale of business has prompted the companies to end the agreement, the statement said.