Diversified conglomerate ITC is reshaping its growth strategy by investing aggressively in future-focused product portfolios, digital transformation, sustainability-led businesses and strategic acquisitions as it looks to capture emerging consumer trends and strengthen its competitive position across businesses.
The company is expanding beyond its traditional strengths by creating “Portfolios for the Future” that cater to evolving consumer preferences around health, nutrition, convenience, organic products and premiumisation. Alongside organic growth, ITC is making value-accretive acquisitions to enter white spaces and build new categories, the company said in its Annual Report 2026.
Among its notable moves is the expansion into certified organic products, aimed at addressing rising demand for chemical-free and sustainably grown food products across domestic and international markets. ITC has also entered the premium natural baby care segment through acquisitions, leveraging traditional Indian ingredients and innovation to tap a fast-growing consumer category.
Fresh food emerges as a new growth engine
ITC is also strengthening its presence in India’s rapidly expanding food delivery ecosystem through its Fresh Food Business.
The business operates four brands—ITC Master Chef Creations, ITC Aashirvaad Soul Creations, ITC Sunfeast Baked Creations and Sansho by ITC Master Chef—which together are served through more than 70 cloud kitchens across Bengaluru, Chennai, Hyderabad, Mumbai and Pune.
The initiative combines ITC’s food brands, culinary expertise from ITC Hotels, food science capabilities and digital platforms to address the growing demand for premium ready-to-eat and freshly prepared meals.
Manufacturing investments reinforce Make in India strategy
ITC continues to deepen its manufacturing footprint with investments across FMCG, paperboards, packaging and value-added agri products.
The company today operates an ecosystem of over 250 factories and works with more than 7,500 MSMEs, enabling local manufacturing, exports, import substitution and rural value creation. Nearly 90% of ITC’s value addition takes place within India.
To support future demand, the conglomerate has established 12 Integrated Consumer Goods Manufacturing and Logistics (ICML) facilities across the country. These facilities serve as hubs for manufacturing, innovation, sustainability and technology while being strategically located close to major consumption centres.
AI-powered distribution network strengthens market reach
ITC has digitally transformed one of India’s largest distribution networks through a suite of more than 25 AI and machine learning-powered applications.
Its fully digitised distribution ecosystem enables faster decision-making, improved agility and stronger execution across emerging retail channels, helping the company strengthen its presence in what it describes as the “Channels of the Future.”
Agriculture business moves beyond commodities
The company’s century-old agri business is also undergoing a strategic transformation under the ITC Next framework.
Besides ensuring identity-preserved sourcing for crops such as wheat, potato, spices, aquaculture and leaf tobacco, ITC is moving into higher-value agricultural segments through traceability, certifications, organic farming practices and export-oriented products.
New focus areas include certified shrimp, coffee, organic fruit pulp and food-safe spices.
A major pillar of this strategy is ITCMAARS (Metamarket for Advanced Agriculture and Rural Services), the company’s phygital agriculture platform that combines digital technology with on-ground engagement through Farmer Producer Organisations (FPOs).
Built on the e-Choupal ecosystem, ITCMAARS offers personalised advisories, weather insights, input access, credit support and market linkages. The platform aims to benefit one crore farmers by 2030 while improving productivity, climate resilience and farm incomes.
Sustainable packaging opens new opportunities
ITC is also expanding into sustainable packaging solutions through its Paperboards and Packaging Business.
The company has introduced several fibre-based alternatives to single-use plastics, including moulded fibre products, compostable barrier-coated boards, recyclable food-grade packaging materials and antimicrobial coatings for hygiene-sensitive applications.
Its wholly owned subsidiary, ITC Fibre Innovations Ltd, has established a manufacturing facility in Madhya Pradesh to produce moulded fibre products using natural materials such as wood, bamboo and bagasse for industries including food service, pharmaceuticals, cosmetics and electronics.
Innovation and AI at the core
Supporting these initiatives is the ITC Life Sciences & Technology Centre (LSTC), which serves as the company’s R&D hub with centres focused on biosciences, agri sciences, sustainable packaging, health and wellness, beauty and hygiene, and crop sciences.
On the digital front, ITC’s “Mission DigiArc” is driving AI and machine learning adoption across business functions to enable smarter supply chains, data-driven decision-making, agile product development and enhanced consumer engagement.
With investments spanning consumer brands, agriculture, manufacturing, sustainability and digital technologies, ITC is positioning itself to build new growth engines while reinforcing its leadership across its diversified business portfolio.