ITC Foods in South Africa

ITC Foods Expands Global Footprint with Strategic Acquisitions and International Collaborations

August 21, 2025

Johannesburg, South Africa – ITC Foods, the food division of India’s ITC Limited, has been actively expanding its global presence through strategic acquisitions and international collaborations, with a particular focus on the South African market.

Acquisition of MTR Foods and Eastern Condiments

In February 2025, ITC Limited entered into discussions to acquire MTR Foods Pvt. Ltd. and Eastern Condiments Pvt. Ltd. from Norwegian parent company Orkla ASA for approximately $1.4 billion. This acquisition aims to strengthen ITC’s presence in the South Indian food market and expand its footprint in the spices and ready-to-cook food segments. MTR Foods, founded in Bengaluru in 1950, offers a range of products including ready-to-eat meals and spices, while Eastern Condiments is known for its spice blends and condiments. The deal is expected to be completed by 2027, with at least a 47.5% stake in the business acquired by March 31, 2025. (economictimes.indiatimes.com)

Expansion into Dairy and Beverage Segments

ITC Foods has also been focusing on expanding its dairy and beverage portfolio. In January 2024, the company introduced the Sunfeast Farmlite Digestive Biscuit Family Pack, featuring eco-friendly 100% outer paper bag packaging. This move aligns with the growing consumer demand for sustainable and health-conscious products. (mordorintelligence.com)

International Collaborations and Market Penetration

Beyond acquisitions, ITC Foods has been actively involved in international collaborations to enhance its market presence. In June 2024, the company participated in The Good Life Show in Cape Town, South Africa, alongside African artisanal food brands. This event provided a platform for showcasing organic and plant-based products, emphasizing ITC’s commitment to promoting sustainable and healthy food options. (intracen.org)

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Challenges in South African Market

Despite these advancements, ITC Foods faces challenges in the South African market, particularly concerning infrastructure issues. In July 2023, South African food producers, including ITC Foods, reported spending substantial amounts to mitigate prolonged rolling power blackouts, water supply issues, and deteriorating infrastructure. These investments are expected to be passed on to consumers, potentially leading to higher food prices in the region. (news24.com)

Looking Ahead

As ITC Foods continues to expand its global footprint, its strategic acquisitions and international collaborations are poised to enhance its presence in key markets, including South Africa. The company’s focus on sustainable and health-conscious products aligns with evolving consumer preferences, positioning it for continued growth in the competitive food industry landscape.