If you also drink Tata tea, then you should be prepared to take an expensive sip in the coming months. In fact, Tata Tea will increase prices across its entire portfolio of brands in the coming months. A senior official gave this information on Wednesday. The official said the company intends to expand its profit margins, which have been hit due to rising input prices, according to Bhasha News.
Tata Consumer Products expects growth
According to the news, the company’s executive chairman and managing director Sunil A D’Souza said that parent company Tata Consumer Products expects overall volume growth, which will be affected by factors such as floods in urban areas, slowdown in the rural economy and general slowdown. growing. The company, which reported 1 percent growth in profits in the July-September quarter despite an 11 percent rise in revenue, believes tea prices have risen more than 25 percent this year due to interruptions in supply.
28% market share in tea retail market
Tata Tea has around 28 per cent market share in the country’s tea retail market and competes with Hindustan Unilever in the category. Elaborating on the rise in tea prices, D’Souza said that the overall production of tea has decreased by 20 per cent and in addition, exports have increased. Additionally, the Tea Board has decided to stop picking tea leaves at the end of November instead of mid-December, which will have a greater impact on supply.
Tea export between January and July
The country’s tea exports rose 23.79 per cent year-on-year to Rs 14.45 crore between January and July this year. According to the Tea Board, exports in the same period of calendar year 2023 were Rs 11.67 crore. However, export realization declined to Rs 256.37 per kg from Rs 264.96 per kg annually in the first seven months of 2024.
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