Creambell Not Shutting Down, Says RC Corp Rejecting Reports of Ice Cream Brand's Closure Amid COVID-19 Crisis

Mumbai, May 19: Devyani Food Industries Ltd (DFIL), a subsidiary of RC Group which sells ice-cream under the Creambell franchise rejected reports claiming that its icecream business was shutting down. According to an Economic Times report, DFIL stated that the company has decided to close one of the smaller units at Baddi while strengthening the other larger manufacturing plants.

The company denied that reports claiming that the entire icecream business is getting shut are, therefore, completely false and misleading.  The statement issued by the company is in response to reports claiming that due to the adverse market conditions amid the coronavirus outbreak, Creambell icecream plants are being shut down. WeWork India to Lay Off Around 100 Employees Amid Coronavirus Crisis.

The company informed that due to the lockdown, the businesses have been affected. The decision to shut one plant was because it was not financially viable to run the plant. Creambell has manufacturing plants in Goa, Agra, Asansol and several retail outlets. Creambell forayed into the icecream business in 2003 and competes with big players like HUL's Kwality Wall's and Amul.

The country is in the middle of the fourth phase of the nationwide lockdown to curb the spread of coronavirus. The total number of cases have crossed the 1 lakh mark today and the death toll has mounted 3,163 on Tuesday. Maharashtra continues to be one of the worst-hit states in India amid the coronavirus pandemic. Several companies have resorted to layoffs, salary deduction and furlough as they struggle to deal with the crisis.

(The above story first appeared on LatestLY on May 19, 2020 10:21 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).