Kolkata based heavy engineering firm, Andrew Yule Corporation Limited (AYCL), is looking at extensive replantation of its tea gardens for the next 12 years.
On the sidelines of the annual general meeting, Kallol Datta, chairman and managing director of AYCL, said, "We are looking at extensive replantation of our tea gardens with an investment of Rs 60 crore."
As a part of its revival strategy, the company has to spin off its electrical and heavy engineering into separate companies while the tea business will be retained under its own banner.
The company has 15 tea gardens in West Bengal and Assam that are engaged in cultivation, manufacture and processing of tea. Since return from exports are good, the company is expecting to clock in Rs 3 crore, from export of tea, this year and is currently planning to concentrate more on exports.
Andrew Yule exported tea mainly through third parties who in turn sold it to foreign buyers. Initially Andrew Yule had launched packet tea, but could not do well, and so it withdrew from the market, but re-entry was imminent, said Datta.
The company would roll out Yule Tea Gold in the premium segment and Yule Tea Red in the popular segment this festive season. It would be sold only in 50-odd tier 2 and tier 3 cities, with focus on north and west India, added Datta. Regional campaigning would be rolled out before introducing the brands.
