Kwality Wall's, Vadilal Shares Fall Up To 4% As Reliance Enters Ice Cream Market
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Shares of Kwality Wall's and Vadilal Industries fell more than 3% after Reliance Consumer Products launched its Bombay Creamery ice cream brand, intensifying competition in India's Rs 271.7 billion ice cream market as both new and existing players push dairy-based formulations.
Shares of ice cream makers Kwality Wall's and Vadilal Industries came under selling pressure on Wednesday after Reliance Industries announced its entry into the segment, adding to competition in the organised ice cream market.
Reliance Consumer Products Ltd (RCPL), the FMCG arm of RIL, unveiled its new ice cream brand Bombay Creamery on Tuesday. The brand will be backed by the company's distribution network, retail presence and consumer insights, according to a company statement.
RCPL has said the Bombay Creamery range is made using real dairy cream. RCPL Director T Krishnakumar said the brand is being positioned around dairy-based ice cream and affordability.
In an update on X, RIL said the range spans multiple formats, including cones, cups, tubs, bars and sticks, with prices starting at Rs 10. The rollout begins in Western India with immediate availability and is expected to expand pan-India over time.
Why The Competition Could Intensify
The entry comes at a time when Kwality Wall's is separately working to shift its portfolio towards milk-based formulations, with plans to convert its full range to milk-based ice creams by 2027.
With both companies highlighting dairy-based formulations, Reliance's Rs 10 entry price and distribution reach could add to competition in the segment.
At 12:38 pm, Kwality Wall's shares were trading more than 3% lower at Rs 42.94 on the NSE, having slipped as much as 3.6% to an intraday low of Rs 42.75. Vadilal Industries shares fell as much as 3.64% to Rs 7,474 on the NSE.
India's Ice Cream Market Outlook
India's ice cream market was valued at Rs 243.50 billion in 2025 and is estimated to reach Rs 271.7 billion in 2026, according to IMARC Group. The market is projected to expand further to Rs 639.41 billion by 2034, growing at a CAGR of 11.29% between 2026 and 2034, driven by rising disposable incomes, urbanisation and increasing demand for premium frozen desserts.
The report also noted that India's per capita ice cream consumption has climbed steadily, from 400 millilitres in 2011 to nearly 1.6 litres in 2023. It said expanding urban retail, quick-commerce and foodservice channels are supporting market growth.
Impulse ice cream accounts for 60.60% of consumption, while cones are the leading format at 27.30%. Maharashtra has the largest regional share at 15.90%.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Rochelle Britto has spent 8+ years decoding India's markets, businesses, and consumer economy, reporting for ET Prime and Times Internet along the way, covering the stories behind the numbers.
A Mumbai native and perpetual planner of the next holiday, she stays far, far away from the eternal question, “Where are we going next?” When she's not chasing headlines, she's chasing new cultures, open roads, and a bit of quiet in nature.
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