Bikaner’s traditional papad industry is increasingly expanding into organised retail, e-commerce, quick-commerce and modern foodservice channels. Against this backdrop, Papadmalji Agro Foods Limited is preparing to enter the SME IPO market with an issue size of ₹20.18 crore, with the company looking to strengthen manufacturing capacity, improve efficiency and expand its market presence.
In an exclusive conversation with Jai Agarwal, Chairman and Managing Director, Papadmalji Agro Foods Limited, spoke about the company’s journey, the evolution of the organised papad market, its expansion plans, automation, women artisans and its strategy for modern trade and new-age commerce.
From traditional Bikaneri papad to an organised business
For Jai Agarwal, the papad business is closely connected with his roots in Bikaner. He has witnessed the category evolve from a largely traditional and local business into a broader market serving hotels, restaurants and catering (HoReCa), B2C, modern trade, e-commerce and quick-commerce.
“I have seen the papad and bhujia business growing up in Bikaner. Every street and every corner used to make papad and bhujia. The category has grown significantly over the last 20 years and expanded across HoReCa, B2C, e-commerce, quick-commerce and modern trade,” Jai Agarwal said.
Jai Agarwal started his business journey in 2003 and later travelled across India to understand changing consumer and market dynamics. In 2016, the company began developing a more advanced manufacturing facility and introduced Jhakaas, its khichiya brand. The business subsequently attracted private equity investment.
With the company now focused on expansion, the IPO marks another important step in its growth journey.
IPO to support expansion and efficiency
According to Jai Agarwal, the IPO proceeds will support expansion of the company’s khichiya portfolio and the introduction of additional products such as urad papad and khichiya papad across HoReCa, modern trade and e-commerce.
“The IPO will support us in many ways. We are looking at expanding our khichiya line under the Jhakaas brand and adding products for which we see acceptance across HoReCa, modern trade and e-commerce,” Jai Agarwal said.
The company also expects debt reduction, better inventory management and improved hedging to support profitability. Its multi-product portfolio, covering handmade and machine-made papads, khichiya and moongodi, is also positioned as an advantage in organised retail.
“For modern trade and new-age commerce, we are a complete solution because we offer multiple products. A retailer can place one order covering different product categories, which makes procurement and management easier,” Jai Agarwal explained.
New facility to increase rice papad capacity
A key part of the company’s expansion is its new manufacturing facility in Bikaner. The facility is expected to strengthen the rice papad portfolio and address production constraints during peak seasonal demand.
Rice papad has significant demand during weddings and in the HoReCa segment, while rainy-season conditions can create drying and production challenges for smaller units. The new facility is expected to increase rice papad production capacity by around 20–30% and create opportunities in products such as aplam, vrat papads and sabudana papads.
The facility will also consolidate production processes currently spread across multiple locations, improving operational control and efficiency.
The planned 250 kW rooftop solar power system is expected to further support cost efficiency.
“Rajasthan is a sun-rich state. As we install solar across our new capacity and existing machinery, it will have a positive impact on profitability and help us compete in newer channels,” Jai Agarwal said.
Balancing tradition with technology
While the company is investing in automation, it continues to retain traditional methods for its handmade products. Its Vishal brand focuses on handmade papads, catering to consumers seeking traditional and premium products.
At the same time, Papadmalji has introduced automatic dough-mixing, improved production containers and automated packaging to enhance consistency, hygiene and efficiency.
The company has also automated its khichiya production under Jhakaas, transforming what was traditionally a small-scale handmade process into a more scalable manufacturing operation.
Women remain central to handmade production
Women artisans continue to play an important role in the company’s handmade papad business. Papad dough is distributed to women in Bikaner and nearby villages, who undertake rolling and drying from their homes before returning the finished products.
According to Jai Agarwal, an artisan can roll around 7–8 kg of papads a day and earn approximately ₹12,000–₹15,000 per month through the activity.
“The whole handmade category is largely women-oriented. In Bikaner and nearby villages, this is an important source of earning for women,” Jai Agarwal said.
Modern trade and quick-commerce in focus
Papadmalji currently serves more than 8,000 retail outlets, with its modern trade presence concentrated largely in North India. The company plans to add states progressively alongside its manufacturing expansion.
Its presence in e-commerce and quick-commerce is currently limited, but Jai Agarwal expects these channels to expand significantly as additional capacity becomes available. The company is also in discussions with platforms where it does not currently have a presence.
Building a Strong Own-Brand Portfolio
As Papadmalji enters its next phase of growth, strengthening its own brands remains a key part of the company’s strategy. The company is primarily focusing on Vishal, Jhakaas and Rozana, with each brand catering to different product segments and consumer needs.
Vishal focuses on handmade papads, while Jhakaas has built a presence in khichiya and value-oriented products, including the HoReCa and wedding catering segments. Rozana, meanwhile, represents the company’s newer-age offering with its range of machine-made papads.
“We are majorly focused on three brands — Vishal, Jhakaas and Rozana. Vishal is a handmade product, Jhakaas is focused on value buying in terms of khichiya and has a strong presence in HoReCa and marriage catering, while Rozana is our new-age brand,” Jai Agarwal said.
The company also continues to serve select long-standing private-label relationships, while its broader strategy remains centred on strengthening its own brand portfolio across modern trade, HoReCa, e-commerce and quick-commerce channels. With FY26 revenue at ₹33.53 crore and PAT at ₹5.21 crore, Papadmalji is now looking to build scale through higher manufacturing capacity, improved operational efficiency and wider market reach.
