Mumbai:Packaged tea firm Wagh Bakri is targeting 15 per cent growth in revenue at Rs 1,150 crore this fiscal, a top company official said.

“Our turnover is Rs 1,000 crore and we are looking at at least 15 per cent growth this year,” Wagh Bakri Tea Group Executive Director Parag Desai told PTI here.

With a better monsoon forecast for this year, the company aims to have a good fiscal after a lean period of 2-3 years.

“Due to the downturn in economy and lack of rainfall, last 2-3 years have been worrisome because our expenses have gone up and the growth roll out has not happened,” he said.

Present in nine states, the privately held company sells 40 million kgs of tea annually, with tier II and III cities accounting for almost 90 per cent of sales.

It plans to introduce 10 new flavours in the next two years.

The company also plans to set up a new manufacturing unit and expand its tea lounges but Desai said the investments are subject to the GST being rolled out.

“We have a big plan lined up, provided the next three-four years the monsoon is good, and more importantly the GST bill is passed in Parliament.

“All our investments will be based on these two things. If GST happens, we can pick and choose based on the logistics and the best possible place (to set up the new facility).

“Right now, all our manufacturing happens in Gujarat. We may have to move out of Gujarat and we are looking forward to it, provided GST rolls out,” he said.

It has four manufacturing units in Gujarat with a capacity of 40 million kgs of tea per annum.

The new facility will entail an investment around Rs 75 crore — capital cost of Rs 50 crore to set up the unit and an additional Rs 20-25 crore for plant and machinery.

Per capita consumption of tea in India is estimated to be around 800 gms per year.

The company’s online business has been doubling each year and Desai believes it could contribute to 5-7 per cent of revenues in the next five years.

The company offers brands like Wagh Bakri Tea, Good Morning, Mili and Navchetan which are also sold in US, Canada, Middle East, Europe, Australia, New Zealand, Fiji, Malaysia, Singapore, among others.

Exports contribute 3-5 per cent of sales for the company.

PTI