Wagh Bakri’s Rs 100 Crore Dakor Plant to Boost Instant Tea Production

ENA Sectors 2025-01-08 14:54:58 Ahmedabad, Jan 8 (KNN) Despite a challenging year marked by unfavorable climate conditions and the premature closure of tea gardens, Indias tea industry stalwart, the Wagh Bakri Tea Group, has continued to thrive. With annual value growth of 10-12 per cent, the company is steadily expanding its footprint across the country, CEO Sanjay Singal shared during a recent media interaction. Were growing faster than the industry average, Singal remarked. With annual sales reaching 60 million kilograms, were proud to rank as Indias third-largest tea manufacturer with a 9 per cent market share, as reported by AC Nielsen. To bolster its position, Wagh Bakri is investing over Rs 100 crore in a new manufacturing unit in Dakor, Gujarat, set to open by Q3 of 2025. Equipped with cutting-edge technology, including a temperature-controlled raw material storage system and an automated tea-blending production line, the facility is expected to quadruple the companys daily instant tea-blending output. Instant tea mixes are particularly popular among urban consumers seeking convenience, Singal noted, adding that the new plants enhanced storage capacity of 12-15 lakh chests will allow for increased procurement from vendors in both Northern and Southern India. Expansion plans also include deepening market penetration in Southern and Eastern India, where the company faces stiff competition from industry giants such as Tata and Godrej. Additionally, Wagh Bakri plans to open 8-10 new tea lounges annually, building on its existing network of 55 lounges across 11 cities. While the company remains focused on its domestic market, exports to over 60 countries account for 12-15 per cent of its total sales. Indias tea production fell to 1,112 million kilograms between January and October 2024, a decline of 66 million kilograms from the previous year. This drop has caused a rise in prices, though Singal predicts stabilization in the near future. As Wagh Bakri continues to grow, it underscores the resilience of a brand navigating both challenges and opportunities in a dynamic industry landscape. (KNN Bureau) 40558 https://knnindia.co.in/news/newsdetails/sectors/wagh-bakris-rs-100-crore-dakor-plant-to-boost-instant-tea-production 2025-01-08 14:54:58 knnindia.co.in Wagh Bakri’s Rs 100 Crore Dakor Plant to Boost Instant Tea Production