Kolkata: Tata Tea Ltd, the world's second-largest branded tea firm, said on Tuesday it expects consolidated turnover to more than double in three years and is eyeing acquisitions to expand abroad.
"We are not just looking at acquisitions but a meaningful one as the logic behind a brand acquisition is to become a global player," Vice Chairman Krishna Kumar told reporters after a meeting of shareholders.
Tata Tea, which owns the Tetley brand, expects consolidated turnover to rise to Rs 70 billion in three years from 31 billion in the year ended March 2006, he said. Kumar said the company was looking to acquire a brand that was larger than Tetley.
The company, which has divested control of most of its plantations in southern India to focus on its branded tea business, aims to expand its presence in Europe and the US, he said.
"Looking at an acquisition in US is logical as we can then go to UK, Europe and even Russia. We are examining 2-3 companies in US for an acquisition."
Global branded tea business accounts for 86 per cent of the consolidated turnover of the Kolkata-based firm, while bulk tea, coffee and investment income account for the remainder.
Tea exports from India, the world's largest producer and consumer of the beverage, rose 20.4 per cent in May from a year earlier.
The government expects India's tea exports to rise to 200 million kg this year from 188 million kg in 2005.
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