Goodricke Group Diversifies from Tea to Premium Dairy Products

Goodricke Group, a major player in India's tea industry and part of Camellia Plc, is expanding into the premium dairy sector. Faced with stagnant tea prices and rising labor costs, the company is repurposing 70 hectares of its Lakhipara tea estate in West Bengal for dairy production. This initiative will focus initially on value-added products such as A2 ghee and paneer, with e-commerce launches planned for May 2026.

The dairy operations will begin with a herd of 150 cows, aiming to increase to 180 by the end of 2026 and reach 500 over the next five years. Goodricke is prioritizing high-margin products over liquid milk to avoid the need for extensive cold-chain infrastructure.

The move comes as the Indian dairy market experiences a shift towards premium products, with milk production growth at 3.5% trailing a demand growth of 6%. This strategic pivot helps Goodricke mitigate the cyclical volatility of the tea market, which comprises 70% of its revenue.

Goodricke's entry into the dairy sector also reflects a trend of 'corporate farming,' where large landholders maintain control over the production process. This shift could serve as a model for other plantation companies in regions like Assam and West Bengal.