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Company Profile

Continental Coffee, another name for CCL Products (India) Ltd., is one of the major forces in the world coffee market. The company was founded in 1994 and focuses on producing and exporting a variety of instant coffee products. CCL Products, which has its headquarters in Hyderabad, India, runs a cutting-edge facility in India and over 100 other nations. Since expanding into consumer products in 2016, the company has quickly grown to become India’s one of the fastest-growing coffee brands. Their diverse portfolio includes South Indian Filter Coffee, Instant Coffee, Finest Pure Instant Coffee, Premix Coffee, and Ready-to-Drink Cold Coffee. In addition to having a strong footprint in India, CCL Products India Ltd has also established a presence in UK, offering a range of Instant Coffee, Roast & Ground Coffee, and Coffee Bags.

Plantation Industry in India

•    India has the second-largest arable land resources in the world. With around 20 agri-climatic regions, all the 15 major climates in the world exist in India. The country also has 46 of the 60 soil types in the world. India is the largest producer of spices, pulses, milk, tea, cashew, and jute, and the second largest producer of wheat, rice, fruits and vegetables, sugarcane, cotton, and oilseeds. Further, India is the second in the global production of fruits and vegetables and is one of the largest producers of mango and banana
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•  More investment in agricultural infrastructure, including cold storage, warehousing, and irrigation facilities, is anticipated to improve the momentum of India’s agriculture sector over the coming years. Additionally, Indian farmers will probably see an increase in production due to the increased use of genetically modified crops. Due to the increased minimum support price and the coordinated efforts of scientists to obtain early maturing pulse types, India is anticipated to become self-sufficient in pulses in the upcoming years.

•  A wide range of trees and shrubs are grown extensively in India as plantation crops, mostly for their commercial value. Among these crops are cashew, coconut, tea, coffee, and rubber. With states like Karnataka, Kerala, Assam, and Tamil Nadu being important cultivation regions, India is a major producer of several of these plantation crops.

•  Coffee Production Estimate (2024–2025): Approximately 6.3 million 60-kg bags, a slight increase from the previous year’s 6.2 million bags; Tea Production Estimate (2024–2025): Approximately 1,250 million kg, maintaining the previous year’s levels; Coconut Production Estimate (2024–2025): Approximately 22 billion nuts, consistent with the previous year’s production; Sugarcane Production Estimate (2024–2025): Approximately 439.93 million tonnes, a decline from the previous year’s 453.15 million tonnes and India’s natural rubber (NR) production for the fiscal year 2024–2025 is projected to reach approximately 8.75 lakh tonnes (875,000 tonnes), marking a modest increase from the 8.57 lakh tonnes produced in FY 2023–24.

•  Plantation crops continue to have significant export potential. To increase exports, the government is concentrating on improving value-added products. Climate unpredictability and changing agricultural methods are predicted to pose ongoing issues for India’s plantation business. Nonetheless, the industry hopes to strengthen resilience and maintain growth in the upcoming year with more government assistance, an emphasis on value addition, and diversification tactics. A snapshot of the export details is shown in a right column chart.

•   A number of measures, including those related to tea, coffee, rubber, and spices, have been adopted in the Union Budget 2025–2026 with the goal of reviving India’s plantation industry. Increased allocation and support, export promotion, funding boosts, and sustainability initiatives are some of the measures. The National Mission on High Yielding Seeds, the Kisan Credit Card Scheme, and the PM Dhan Dhanya Krishi Yojana are other assistance initiatives.

Company Perspective and Review

Strong and growing equity base, heavy capital investment suggests long-term confidence, revenue expansion likely with higher asset utilization and controlled long-term debt — suggests fiscal prudence. The company executed an aggressive capex, which boosted topline.

But cost pressures, debt servicing, and possibly price compe-tition or inflationary input costs eroded margins. FY25 becomes critical: the business must prove it can sustain growth while restoring profitability. Continuous dividend declared. Can be a Moderate Buy.