Khetika, a clean-label food brand from India, has raised US$18 million in a series B funding round led by Narotam Sekhsaria Family Office and Anicut Capital.

Existing investors, including Incofin India Progress Fund, Rajasthan Gum, and Shree Ram India Gums, also participated.

With this round, the Mumbai-based company has raised a total of US$25 million to date.

Founded in 2017, Khetika makes batters, chutneys, millet-based staples, and spices, sourcing ingredients directly from farmers across 14 Indian states through a tech-enabled supply chain.

The company reported 247 crore rupee (US$28.9 million) in revenue for FY25, up from 160 crore rupee (US$18.7 million) the previous year.

🔗 Source: YourStory

🧠 Food for thought

1️⃣ Clean label brands are capturing premium pricing in a rapidly expanding market

Khetika’s ambitious 10X revenue target aligns with broader industry trends showing significant financial advantages for clean label brands.

Companies that reformulate products to meet clean label standards report average revenue gains of 15%, margin improvements of 11%, and price premiums of 18% 1.

The global clean label ingredients market supports this growth trajectory, projected to expand from $57.3 billion in 2025 to $212.4 billion by 2035, representing a 15.5% CAGR 2.

This premium positioning is becoming particularly relevant in India, where the clean label movement has gained significant momentum, with major food companies reformulating products to eliminate artificial ingredients in response to growing consumer demand 3.

Consumer behavior reflects this shift, with research showing 43% of global consumers now actively check product ingredients while shopping, creating a commercial advantage for transparent brands like Khetika 1.

2️⃣ Quick commerce is accelerating health-focused food brand growth in India

While Khetika still derives three-quarters of its revenue from traditional distribution, its identification of quick commerce as its fastest-growing channel reveals a critical market evolution.

Health-focused food brands across India are experiencing significant revenue growth specifically due to the expansion of quick commerce platforms, which enable faster customer acquisition and wider market reach 4.