In order to meet the demand for instant tea, Ahmedabad-based Gujarat Tea Processors and Packers Ltd (GTPPL) which sells tea under the “Wagh Bakri” brand is setting up a ₹100 crore greenfield unit in the State which will boost its annual instant-tea output by five times.

Sanjay Singal, who took over as Chief Executive Officer of GTPPL in August 2025, said the new unit near Dakor will enhance the supply of instant tea and raw material storage. “We are setting up this unit to meet our growing demand, especially in a new category like instant tea. The unit will become operational in the third quarter of 2025, and a large chunk of our investment in the new plant will be to set up a temperature-controlled system for storing raw materials. Additionally, we will have an Automated Storage and Renewal System (ASRS) and an instant tea line for blending,” said Singal told media persons on Tuesday.

GTPPL which has three units in Dholka (near Ahmedabad) sells 60 million kilograms (mkg) of tea every year. “In other words, we are increasing the capacity by five times. We currently have a capacity to manufacture 3,000-4,000 packets of instant tea per day. This will go up to 20,000 packets per day,” he said. The new unit will boost the storage capacity by 50 per cent. The company will be able to store about 15-18 lakh chests, with each chest weighing 14 kg of tea.

Imports some quantity

“Our volume growth has been more than the industry average and so we had to procure more tea this year,” the official said, adding that the company that sells Wagh Bakri brand of tea procures most of its tea from North and South India. The company imports a small quantity of tea from Kenya and Sri Lanka. “We do not see the raw material prices going up further next year and so we do not expect to increase our prices going forward,” Singal said.

“Wagh Bakri brand has an 80 per cent market share in a city like Ahmedabad, but nationally our market share is about 9 per cent. So, there is a lot of headroom for growth,” he said. The company’s revenue which currently stands over ₹2,000 crore has been growing around 10-12 per cent year-on-year. The company also operates about 55 Tea Lounges in the country.