Powering India’s healthy snack boom

0
2
Powering India’s healthy snack boom


In Pune’s rapidly growing startup ecosystem, innovation is no longer limited to software and technology companies. Entrepreneurs are building businesses focused on health, nutrition and packaged foods to cater to India’s fast-evolving consumers.

Preeti Deshmukh, 40, who completed her master’s in nutrition from Pune University in 2007, entered the food business with her husband Amitesh in 2016. (ht)

Behind many of these emerging food brands lies a lesser-known but important layer of support, research, product development, manufacturing, packaging and shelf-life engineering. This is where Pune-based startup Food Nest, founded by Preeti and Amitesh Deshmukh, has carved a niche for itself by helping food entrepreneurs turn kitchen ideas into scalable commercial products.

When consumers pick up an energy bar, a pack of nachos or a protein cookie, they typically check two things: the expiration date and the ingredients list. Then comes the real test: taste. If the product tastes good, it gets returned to the shopping cart.

But behind that simple act of opening a packet is a far more complex world that involves formulations, machinery, production systems, packaging, shelf-life testing and manufacturing precision. Food Nest works quietly behind the scenes, helping brands on that journey.

beginning

Preeti Deshmukh, 40, who completed her post-graduation in nutrition from Pune University in 2007, entered the food business in 2016 with her husband Amitesh, an electronics engineer with prior experience in the franchise food sector.

The couple initially supplied fresh food to corporates and health-conscious consumers. “Customers would often ask us a simple question,” recalls Preeti. “What healthy food can we carry while travelling?”

That question inspired the experiment with portable healthy snacks, specifically millet-based bars made in small batches at home. Around the same time, a packaged healthy food company organized a competition focused on millet-based products.

“I participated with my millet bar and won,” says Preeti.

That became the turning point.

“I contacted the company and asked if they would be interested in my energy bar. They said yes. More importantly, they helped me understand the packaged food business and what it takes to go from a home kitchen to factory-scale production. It’s a 180-degree difference.”

The company placed an order for 20,000 bars, prompting Deshmukh to set up a small manufacturing unit in Bavdhan, Pune.

“We invested in machinery for manufacturing and packaging and got ready to place orders,” says Amitesh. “But then Covid hit in 2020 and everything came to a halt.”

Instead of letting the products go to waste, Preeti distributed the bars to healthcare workers during the pandemic. But the experience also gave rise to a bigger realization.

That insight came at the right time. India was witnessing a rise in food entrepreneurship, with founders launching protein bars, healthy snacks, millet products, cookies and functional foods for health-conscious consumers.

But many people had to struggle on a large scale.

“A recipe that works in the home kitchen often fails commercially,” says Preeti. “Handmade protein bars can completely change in texture when produced in tons. The products must survive rolling, cutting, packaging, transportation and storage without compromising on quality or taste. This is where most startups struggle.”

“Founders usually come in with a vision for their product,” she adds. “But taking that idea from a kitchen recipe to a commercially viable product requires deep technical expertise. Food Nest was created to bridge that gap.”

From home kitchen to commercial shelves

Today, Food Nest serves as an end-to-end product development and manufacturing partner for emerging food brands. Its focus areas include protein and nutrition bars, cookies, nutrition premixes and nachos. The company now works with over 25 brands and has helped develop over 50 products.

This process starts with understanding the founder’s vision.

Food Nest then converts these ideas into commercially manufacturable products.

“We don’t just ask whether something tastes good,” says Amitesh. “We ask whether it can survive manufacturing, maintain shelf life, maintain nutrition and still make financial sense.”

The science behind scaling food

One of the biggest misconceptions in food entrepreneurship, says Preeti, is that scaling up means producing large quantities of the same recipe.

A manually prepared recipe behaves very differently when processed through industrial machinery. Moisture levels, texture, fat content, and even flavor release can change significantly on a large scale. A handmade protein bar may not need added fat, but industrial extrusion or sheeting processes can completely change its texture. Packaging and storage conditions affect shelf stability, while machinery settings vary significantly between 10-kg and one-tonne batches.

Food Nest helps founders navigate these technological changes. The company works with a variety of manufacturing processes, including molding, rolling, sheeting, extrusion and commercial mixing.

Its 16-member team comprises nutritionists and food technologists who handle product R&D, nutritional analysis, shelf-life testing, commercial feasibility studies and formulation of SOPs.

“Our goal is simple: to create products that taste the same on day one and at the end of their shelf life,” says Preeti.

construction products

Food Nest positions itself as a one-stop solution for food startups. The company begins with product development and nutritional analysis, evaluating ingredient functionality, shelf life, cost structure, pricing feasibility, texture retention and nutritional goals.

Once the concept is viable, prototypes are created with a particular focus on healthy formulations that avoid palm oil, artificial binders and added refined sugars. Natural alternatives are tested wherever possible.

The next steps include packaging development, preservative selection, stability testing and production planning, before the company eventually moves on to manufacturing products ready to sell.

Minimum order quantity is determined based on machine capacity, product type, installer requirements and projected sales.

“We help brands decide on practical production quantities,” says Deshmukh. “Some founders can quickly sell 100 kg, while others require smaller quantities initially.”

Over time, Food Nest expanded into cookies, nachos, protein snacks and export manufacturing.

money story

The company’s financial journey has been relatively straightforward. Preeti had initially taken a loan from the bank 25 lakhs to set up the first manufacturing unit.

“Within a year we paid off the loan,” she says. “Since then, we have expanded entirely through internal resources. We are debt-free.”

Scaling with Purpose

Food Nest is now preparing for the next phase of its growth.

“In the next three months, we will be moving into a 20,000-square-foot facility to meet the growing demand and larger production,” says Preeti.

While the company initially focused on startups, it is increasingly working with established food brands with growing revenues. 100 crore more 500 crores. Exports are also becoming a major focus area.

Food Nest was recently selected among 30 women-led startups under NITI Aayog’s initiative in collaboration with the Women Entrepreneurship Forum to support export-oriented businesses.

“All the 25 brands we currently produce are based on recipes developed by us,” says Deshmukh.

big vision

Food Nest isn’t trying to be another consumer-facing food brand. Instead, its ambition is to become part of the infrastructure supporting India’s next generation of food entrepreneurs.

As India’s healthy food and packaged snack market grows, the demand for reliable manufacturing, R&D and product development support is expected to increase rapidly. Food Nest believes that the future belongs not only to brands, but also to the companies that enable those brands to succeed.

About the Founders

Preeti Deshmukh has over two decades of experience in the field of nutrition and has also completed an entrepreneurship program at IIM Bangalore. Amitesh oversees the operational and technical functions of the company.

India’s food revolution is no longer limited to big FMCG companies. The next wave of innovation is emerging from small founders creating healthier, smarter, and more niche products.

As Preeti says: “Innovation alone is not enough. Behind every successful food brand lies an ecosystem of R&D, manufacturing, packaging and process engineering that consumers rarely see.”


LEAVE A REPLY

Please enter your comment!
Please enter your name here