By 1 2 1 News Reporter
Chandigarh 12th June:- Madhu Jayanti International Limited (Jay Tea), today announced their foray in the B2C category in India with the launch of 'TE-A-ME', a premium range of tea bags, comprising of 17 variants of black, green and spiced teas and fruit and flower infusions - the widest range of tea bags in India. The company is amongst the top five exporters of value-added teas from India, shipping across 42 consuming countries.
With a turnover of INR 350 Cr and a five-year CAGR of 25%, Madhu Jayanti operates its business under two models viz. company-owned brands (contributing INR 200 Cr) and private labelling (contributing INR 150 cr). It has brewed success with 7 company owned brands across West Africa, Russia and India. Its winning edge come from its expertise to source and blend for distinct taste palettes across different geographies. The width of its sourcing spans from plantations across India, Kenya, Malawi, Uganda, Sri Lanka, Turkey, South Africa, Zimbabwe, Mozambique, Vietnam, Papua and New Guinea. A portion of its turnover is attributed to its private label supplies to over 80 major international retailers. In 2009, the boom in the private label tea category re-evinced Madhu Jayanti's interest in the Indian market. Today it is a major supplier to clients such Café Coffee Day, Fresh & Honest (Lavazza), Costa Coffee, Aditya Birla Retail Limited (MORE), and HyperCity Retail. Madhu Jayanti's India market foray is timed to ride the consumer shift to tea-bags. Arriving at a time when the tea-bag consumption has been witnessing a growth of 30-35% in Indian market, the company is eyeing a 15% market share over 3 years. The tea bag market in India, currently pegged at INR 200 Cr, is projected to grow to INR 1000 Cr in the next 5-7 years. Renewed focus on health, convenience and an innate desire to experiment with new flavours is driving the growth of the tea bag segment in India. With the largest production capacity in India and the domain expertise to deliver on the new trends in consumer demands, Madhu Jayanti's 'TE-A-ME' is looking to sell 15 Cr in its first year of operation.
On the occasion of the announcement, Harish Shah, Managing Director, Madhu Jayanti International Limited said, that our journey started in the post independence era, with the mission to serve a good cup of tea in the 50s'. Back then we owned and operated 2 tea estates. Since then we have moved forward in the value-chain, focusing on packaging and value addition on tea. We began exporting our products (largely tea bags) in 1980's and soon began focusing on a branded packet tea business in India. Based on our legacy of superior taste & consistent quality, our regional brands Lalpan (Karnataka) and Sarawasti (Maharashtra) continue to clock INR 100 Cr per annum. We now plan to replicate the success in the tea bag market in India.
Sumit Shah, Executive Director, Madhu Jayanti International Limited said, that with health and convenience as triggers for a lifestyle shift, the tea-bag market is expected to grow into robust INR 1000 crore category in the next 5-7 years. The signs become stronger when our pilot brand in the green tea category captured 11% in 2011, according to a Euromonitor survey. We expect that with the launch of the TE-A-ME in India, we will be able to replicate our success in East Russia, where we have a 33% market share with our own brands.
With more than 165 opulent blends from the finest tea estates of India and functional accessories to offer, Chai Chun is undoubtedly one of the top tea brands in India.
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