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01   INTEGRATED      73  STATUTORY     178   FINANCIAL
                                                                                   Integrated Annual Report 2021-22                      REPORT              REPORTS             STATEMENTS
                                                                                                                                         Specialty Products


                                                                                                                                   Competitive Advantage
                         Prebiotics & Formulations                                                                                 Differentiated product                                          Global distribution network
                         Green Chemistry through fermentation platform                                                                Short-chain fructo-oligosaccharides (scFOS) produced            200+ customers
                                                                                                                                     using a patented process that is nature-inspired                 Distribution network in
           We are leveraging green fermentation platform to offer ingredients and formulations that improve health while delivering a positive   involving whole cell fermentation. It is clinically   35+ countries
           food experience.                                                                                                          studied to promote beneficial bacterial growth in the
                                                                                                                                     gut and delivers sweetness without raising post-
                                                                                                                                     prandial glycaemic and insulin levels, making it ideal
           Business Overview                                                                                                         for sugar reduction / replacement
           The Prebiotics & Formulations business develops specialised, nature-inspired and science-backed ingredients and formulations for     Variety of functional benefits established for various
           human and animal nutrition. FOSSENCE®, a clinically studied prebiotic dietary fibre, is our flagship product. It supports beneficial   segments in F&B as well as nutraceuticals
           bacterial growth in the gut, which is linked to improvement in vital health aspects: digestion, bowel movement, micronutrients
           absorption, immunity, and weight management.
                                                                                                                                                                                                  Commitment to sustainability
           Our products are manufactured at the state-of-the-art facility in Mambattu, Nellore, which is FSSC22000-certified and IGBC gold-                                                          Substantial energy requirement fulfilled
           rated. We have a multi-disciplinary team of scientists working on microbiome science (the core science platform) and fermentation                                                        by solar energy
           technology (the manufacturing platform).
                                                                                                                                                                                                     Zero liquid discharge and zero fossil fuel
                                                                                                                                                                                                    usage
           Product Portfolio and End Users                                                                                                                                                           Gold Rating in IGBC factory rating system

           Product Category               End-user segments and applications                  Brands/Products                      Deep customer connect
                                                                                                                                      Pioneer in India with application-
           Prebiotics                             B2B: Wellness food and beverage (F&B), nutraceutical   FOSSENCE®                   led market development
                                                  formulations and animal feed companies      COCONOURISH
           Formulations                                                                       RITEBLEND                               Co-creation of products and
                                                  Flavouring, fortification and essential nutrient applications                      application with customers
                                                  for F&B, feed and pharma companies          GUTSHAKTI                               High customer satisfaction index
                                                                                                                                     and NPS scores

           Value Chain








            Raw Material  Processing    Products       Packaging     Logistics    Distribution   End Use
                Cane sugar,      Biotrans-      FOSSENCE® -      Bags      Through      50%         Food &
              Cultures      formation     short chain      Jerry cans   road, air &   domestic,   Beverage
              (Micro-       of Sugar to   FOS in liquid      IBCs     sea           50% export       Nutraceuticals
              organisms),   fructo oligo-   and powder                                30% direct,      Infant
                                                                                    70% through
              growth        saccharides,   form                                     channel       Nutrition
              media         for more                                                partners         Animal Feed
                            than
                            95% purity










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