Tea major B&A has ventured into the retail segment with the launch of its ‘Gatoonga’ brand of black tea.
According to Somnath Chatterjee, Managing Director of B&A, the new brand was unveiled in Assam on Saturday, aiming to capture the home state market before expanding nationwide,
“The company’s retail foray has begun with the ‘Gatoonga’ brand by tapping the Assam market and it will gradually expand across India based on a demand-driven growth strategy,” Chatterjee said.
This move marks a significant milestone for B&A Ltd, a listed flagship company of the Rs 300-crore Barooahs & Associates Group, which descends from Barasali Tea Company, founded in 1915. The introduction of the retail segment adds a fifth vertical to the company’s existing operations in tea manufacturing and processing, packaging, tea tourism, and broking.
Dhruba Jyoti Dowerah, Deputy Managing Director, B&A highlighted the strategic importance of the new retail branding initiative. “The company’s parent group had four verticals previously, and the retail branding is the fifth one,” Dowerah stated.
B&A currently operates 11 tea estates in upper Assam, producing 5.5 million kilograms of black tea last year. The company has ambitious plans for its new retail venture, supported by Rs 50-crore capital expenditure plan aimed at pan-India growth. As part of this strategy, the company recently acquired Moheema tea estate in Golaghat district, marking its first acquisition in over six decades.
“For the first time in sixty years, the B&A Group has prepared a roadmap for a pan-India growth strategy with new acquisitions and diversification into the branded retail tea market. The company will invest around Rs 50 crore in the next seven years as part of its growth and expansion strategy,” Chatterjee added.
