YY aims to capture 4 percent share in the global market

It is said that 3 billion packets of YY noodles produced in more than 30 flavors are produced annually both domestically and abroad. The company claims that YY occupies 65 percent of the domestic market of ”Instant Noodles” and 30 percent in India. YY, which started its European journey with the establishment of a plant in Serbia in 2016, is moving forward with the goal of occupying a 4 percent share in the world market.

Poush 28, 2081

Raju Chaudhary

YY aims to capture 4 percent share in the global market

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In the arms of the Himalayas, in the valleys of the TeraiYY sits, in everyone's mind,Your YY, my YY, all of us YY.There are probably few people who have not heard the famous TV jingle above. As mentioned in it, YY Noodles is no longer limited to any one area. From the plains to the mountains, it has reached everywhere. Its taste is on the tongue of all Nepalis.

YY is also connected with the life and culture of common people. YY has become Nepali's snack culture. Not that there were no other noodles in the market before YY. It was in the past, it is now. According to its producer Chaudhary Group, YY is preferred by the general public because it is relatively cheap and sweet.

YY is the preferred brand in snacks even in terms of cost . Available in different flavors, YY can be eaten raw or cooked. You can eat anywhere from uphill to downhill. For the same reason, consumers are connected to YY . Not only in Nepal, YY is also expanding its footprint in the global market. From domestic to foreign consumers, it is gaining its influence . YY, which ranks first in Nepal in 'Instant Noodles', has become the second in India and has spread to the world . Now it is producing and marketing in the European market with strong competition.

YY aims to capture 4 percent share in the global market YY, which started production in 1984, is one of the most sold noodles in Nepal. After YY came, other brands of noodles also came . But they could not compete with YY . Now YY has begun to capture not only the domestic market but also the foreign market. YY has made Vinod Chaudhary, Chairman of Chaudhary Group, a dollar billionaire.

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Chairman of Chaudhary Group, Chaudhary used to travel abroad. Four decades ago during a trip, he saw cartoon noodles at Tribhuvan International Airport. At that time, noodles were imported from Thailand. After seeing the arrival of cartoon noodles, he thought of producing them in Nepal. Chaudhary then went to Thailand to study more about noodles. Discussed opening a factory in Nepal with the YY noodle company there.

'Nepalese people spread all over the world have played a very important role in establishing it, where the Nepalese have already established what they call YY . It is very happy to see the strong presence of YY in markets like America and Europe. YY is Nepal's brand in the global market'- Vinod Chaudhary, Chairman, Chaudhary Group

  A technical study team from Thailand came to Nepal with the proposal to open a YY factory in Nepal. A study was conducted on the noodle market in Nepal. And, the team suggested Chaudhary not to open a noodle factory saying that the 'margin' would be low. It was concluded that the market in Nepal is low and there is no 'margin' when the factory produces 30,000 packets per day. But Chaudhary had already decided to open a noodle factory. He decided to establish a noodle factory by taking risks according to long-term thinking. Then he asked to set up a factory with YY Company in Thailand .

YY aims to capture 4 percent share in the global market At Chaudhary's request, an expert came from Thailand and set up the factory. The investment was 100 percent Chaudhary's. After setting up the factory, preparations for noodle production were made . From 1984, the journey of commercial production of noodles began . Chowdhury, who was advised not to open a factory because there is no margin for producing 30,000 packets a day, now produces and sells 3 billion packets a year in Nepal and abroad. Out of 3 billion packets, about 1 billion packets are produced in Nepal. It is said that work is being done to produce 2 billion more packets.

YY's market is no longer only in the country. It has spread as an international brand all over the world . The production of Nepal, which is in the list of less developed countries, has made it possible to have a strong presence in the world market. Choudhary, the president of Choudhary Group, which was established by YY, said this. "I have spent almost half a century of my life and managed to make YY a global brand." And, the Nepalis spread all over the world have played a very important role in establishing it," says President Chaudhary. It is very happy to see the strong presence of YY in markets like America and Europe.'

When YY started production in 1984, there were no other noodles in the market. At that time, only white noodles were sold in the market. Gandaki Noodles used to produce rara noodles . Chowdhury Group introduced YY as Nepal's first brown ready-to-eat noodle . During the 41st year, the noodle industry began to grow . The competition started to increase .

Kayan Noodles Company has come and gone but YY continues . The company claims that quality, price and customer satisfaction are the only reasons for that. Price also plays a major role. Common people have been getting YY for decades . Now the company produces noodles in more than 30 flavors . It costs 20 to 25 rupees . Both vegetarian and non-vegetarian options are available. Talking about the market, the company claims that YY occupies about 65 percent of the market. It is the company's understanding that healthy competition in the market will make the brand and quality more conscious.

'In the context of Nepal, it is considered as a product of YY Chaudhary Group, but in the world market outside Nepal, YY is a brand of Nepal . It is an identity that makes Nepal known to the world," says President Choudhary, "and it is a product that even Nepalese scattered around the world can be proud of." In the case of foreign countries, there is a law accordingly. It is said that it is natural that there are sometimes normal errors during production, so the product found to be defective will be returned immediately .

YY's production journey

Nepal's first brown noodle production unit was established in 1984 at Bhainsepati in Lalitpur. In the production started from a small plant, 30,000 packets of YY were produced daily. About 300 people got employment. Then in 1993, Nepal's first state-of-the-art industrial village was established. YY production started with the latest technology .

YY aims to capture 4 percent share in the global market At present, YY is produced through 9 factories in 4 locations in Nepal including 4 factory lines in Nawalparasi, 1 in Bardia, 2 in Sunsari and one factory line in Bhainsepati in Lalitpur . In Nepal only 4 thousand people have got employment in YY . According to the company, one house and one job have been given in the area covered by the industrial area in Rajhar. About 42 percent of workers in Rajhar are women . The situation in other factories is also the same. Women are given first priority in the factory . The production of YY aggressively expanded in Nepal was not limited only here . In 2006, the first plant of CG Foods India Pvt Ltd was established in Sikkim, India. This move started YY's international journey . After that, plants were established in other states of India, Bangladesh, Serbia, Kazakhstan, Egypt.

expanded to different provinces of India till 2015. YY started production by setting up factories in Uttarakhand in 2008, Chhe Village in Assam in 2009, Andhra Pradesh in 2014 and Vihar in 2015. The company has also established a plant in Silchar, Assam, India in 2013. YY is also competing fiercely with Maggi in India . YY's share in the Indian market is 30 percent. By 2028, YY's share in the Indian market is planned to reach 35 percent.

Chaudhary Group also established a plant in 2015 at Basgarhi in Bardia, Nepal. Since 2016, YY's journey has also turned towards Europe. In 2016, a plant was established in Servia and YY production started . In 2018, factories were opened in Bangladesh and Kazakhstan and in 2019 in Roop Nagar, Rajasthan, India. In 2020, YY's factory was also opened in the African country of Egypt. According to the company, YY has "covered" everything except North America. Chaudhary Group has said that there is a plan to expand in North America as well.

"When it comes to YY's global expansion, our focus is now on opening a plant in North America," President Chaudhary said, "Even though YY has a presence in the world market, there is a gap in North America, so now our focus is on opening a plant there." For that, our team is doing homework to set up a plant in America or Mexico.'

YY Noodles used to be exported from Nepal as there was no factory set up in other countries including India. But Chaudhary Group had to face many obstacles during export. During the Maoist conflict, noodles prepared for export were on the streets for months. After that, Chaudhary Group has said that it has thought of establishing a factory of YY at the place of demand. The disruption in exports opened the door to the world market of YY Noodles . Wherever YY has reached, it has been led by the Nepalese. The rest of the workers are kept in the same country.

Lately, the company that produces YY noodles is preparing to issue its shares to the general public. Nirwan Chaudhary, the managing director of Chaudhary Group, said that they are preparing to issue primary shares in Nepal and India 9 months ago. We are planning to release the IPO of your favorite noodles. We are very happy and excited to share this with all of you,” Chowdhury wrote on social media X .

YY has created Mission 2028 . YY aims to capture a 4 percent share in the global noodle market . For this, CG Foods is planning to produce 5 billion packets of noodles annually. There is a plan to establish YY noodle factories in 9 countries with market potential . The company claims that the sales of YY in the world market are increasing at an annual rate of 20 percent. The company claims that YY, which is available in 40 countries around the world, generates an annual revenue of 200 million US dollars.

Raju

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