HBI Staff | Hyderabad 
An Indian-chilli-focused hot condiments brand of Smerc Food & Beverages Kaatil, raised an undisclosed amount in seed funding. The funding was led by Mumbai-based Prajay Advisors along with Shivaan Ghai and Romil Ratra from Mumbai’s Graviss Group. This news came right after Kaatil won the Great Taste Award 2024 from the Guild of Fine Foods, U.K.
Kaatil, which made products in different categories, including Hot Sauces, Hot Ketchups, and Chilli Oils made of Indian chillies, plans to use the capital for expanding its product lines and presence through multiple national and international distribution channels including e-commerce marketplaces, quick commerce, and offline retail outlets. The company also plans to establish an independent business-to-business (B2B) supply arm to cater to Restaurants, Hotels and Cafés.
Sagar Merchant, founder of Kaatil, said, “We are very excited to have this investment from Prajay Advisors & other strategic investors, who have demonstrated a very sharp acumen in understanding the food and beverage space. Our observation from the last five years indicates that India’s food consumption behaviour has drastically evolved and people are now willing to experiment with new brands and products than ever before. Keeping in mind the palette of Indian consumers, we have curated the most flavourful hot condiments with different levels of heat, all made using Indian chillies. Our aim hereon is to reach consumers, who possess a strong liking for hot condiments, not only in India but also globally.”
Founded and headquartered in Mumbai in 2021, Kaatil came into existence to bridge the Indian food gap in the space of hot condiments by introducing and highlighting a variety of chillies. They also recently bagged the Great Taste Award 2024 by the Guild of Fine Foods, U.K. and are reported to be the only Indian chilli-focused hot sauce brand to win this honour.
Speaking on the announcement, Arjun Panwar, Co-Founder of Kaatil, said, “We are grateful to have raised this capital, which we plan to utilize for solidifying our presence and distribution, and expanding our product suite. Our goal is to also educate consumers on how these products fit into their everyday meals and can go well with all cuisines. We want to be their go-to partner for all the meals and in all their food choices. We also believe, our products can help uncover the story of Indian chillies to the world, which, by far, is lesser known to the people, despite being one of the biggest producers of distinct chillies.”
Staying true to its omnichannel model, Kaatil is currently available on its D2C site, Amazon, Big Basket, Nature’s Basket & in leading offline stores across Mumbai, Pune & Hyderabad. The brand’s products are also now available on Amazon USA & in offline stores in Canada & New Zealand.
The allure of Indian Seasoning, Dressing, and Condiments continues to captivate the local and global markets. Recent data suggested that the industry is pegged to grow INR 19,000 Cr by FY25. The Sauces and Condiments category has also witnessed high demand and is anticipated to reach INR 3,000 at a growth rate of 23.10 per cent by FY25. This exponential rise in demand can attributed to new and booming segments of home chefs, party hosts, caterers, and quick meal fixers.
