CCL Products (India) Ltd, recognized as the largest coffee exporter in India, is embarking on a significant transformation as it seeks to expand beyond its core coffee business into a broader food and beverage fast-moving consumer goods (FMCG) company. The firm, which sells its coffees in India under brands such as Continental and Malgudi through a distribution network of approximately 150,000 outlets, is diversifying its product offerings to include items like tea and snacks.
Recently, CCL launched South Indian snacks under the Malgudi brand, which originally focused on filter coffee. The brand extension includes traditional snacks such as chegodis, muruku, and ribbon pakodis, with plans to introduce banana chips soon. Currently, the focus is on South India, where the brand has a strong presence, but nationwide expansion is anticipated, according to CEO Praveen Jaipuriar.
In a related effort, CCL has begun experimenting with iced tea this summer under its premix brand ‘This,’ specifically targeting the North Indian market, where coffee consumption tends to be seasonal. By leveraging its existing capabilities, particularly in the institutional vending supply chain that also includes tea, the company aims to develop niche retail offerings.
CCL’s coffee vending business has grown into a substantial segment, generating ₹30-40 crore by supplying machines and premixes to various institutions including offices, hospitals, educational facilities, and even venues for the Indian Premier League (IPL).
The company’s drive for diversification is underscored by a pragmatic recognition that deeper penetration into India’s retail landscape necessitates increased throughput per outlet. “Coffee alone cannot sustain the economics of distribution when entering smaller shops,” Jaipuriar stated. He emphasized that to expand its presence from 150,000 to potentially 250,000 or 300,000 outlets, the company must introduce more categories that complement coffee and fortify its business model.
CCL has also begun exploring the café model, with trials initiated in Hyderabad last year. “We haven’t found a clear niche there yet. We’re still experimenting to identify what model could succeed, as that’s a challenging sector,” Jaipuriar noted. In the immediate term, CCL aims to grow its core coffee business while also cultivating new FMCG categories poised for development in the next 2-3 years. Currently, non-coffee revenues constitute less than 1% of the company’s income, but CCL anticipates that these initiatives will evolve into significant revenue streams as the scale increases.
In its financial report for the first half of the current fiscal year, CCL announced a 19% increase in net profits to ₹173 crore, with revenues surging 44.5% to ₹2,186 crore. The domestic market contributed approximately ₹310 crore in revenues during this period, of which ₹210 crore was derived from the branded business. CCL also manufactures coffee for bulk and private labels within the B2B segment.
Published on December 12, 2025.
