India and tea, years old combinations, which are essential for everyone. In this context, class, time, season, and location don’t matter. Indians are always ready for a cup of chai. Tea is the 2nd most consumed beverage globally, but in India alone, 1 billion kilograms of tea was consumed in 2022; making it the world’s largest tea consumer. Here, Wagh Bakri Tea holds a special mention as it is the 3rd most loved tea brand in India. Let us explore the journey of Wagh Bakri Tea from South Africa to India.
Who Founded Wagh Bakri Tea?
The brand was founded by Narandas Desai in 1892. He owned a tea farm in South Africa but moved to India due to racial prejudice. After returning to India, he launched his first tea business in Ahmedabad, India.
How it All Started?
It all started back in 1892 when Narandas Desai, a Gujarati entreprenuer, set up his tea business in 500 acres of tea estate in Durban, South Africa. It was the time when, like India, Africa was also under colonial rule and Shri Narandas had to face racial discrimination.
The racism and political unrest during his rising success made it uncomfortable for him, and eventually, he left Africa and returned to India. However, during his stay in South Africa, Shri Narandas was close to his idol Mahatma Gandhi and his tea business and personal life was highly influenced by Gandhi ji.
Eventually, in 1915, due to Apartheid, Desai had to flee South Africa and returned to India with a letter from Mahatma Gandhi, describing his skills and honesty in the tea business.
The Valuable Certificate and the 1st Time Use of the Brand Name
The Certificate turned out to be a token of help and eased Desai’s migration back to India. Later on, Shri Desai took a loan to establish his Gujarat Tea Depot in 1919 and the first store was set up in Ahmedabad selling loose tea.
In 1934, Shri Desai started selling the tea under the name Wagh Bakri (it was the 1st time he used the brand name).
The Unique Logo
We all noticed the logo of Wagh Bakri Tea, yes, the one where a goat and a tiger are drinking tea from the same cup. Actually, the logo represents the name, which is, Wagh means tiger and Bakri means goat. The tiger represents the upper class, and goat represents the lower class, and both drinking tea from the same cup represents equality. Ultimately, with this logo, the Gujarat Tea Depot launched the Wagh Bakri brand in 1934.
Introducing Packaged Tea
Until 1980, Wagh Bakri Tea sold loose tea in wholesale and retail but with growing competition in the market, the brand started selling packaged tea under the name Gujarat Tea Processors and Packers Limited.
Expanding Across the World and Introducing New Varieties
No doubt the brand was a huge success in India, and soon the company decided to expand its products abroad. This aim was achieved between 2003 and 2009 when the company started selling the products in other states.
In 1992, the brand launched its products overseas and today, you can find your favorite Wagh Bakri tea in more than 60 countries. Today, Wagh Bakri Tea sells its products across India as well.
To cater to different sectors, the company developed different varieties of products. In 1944, Good Morning Tea, a super-premium segment tea, was brought to the market. Other products like Premix coffee, iced tea, green tea, and lemon tea were also added to the list.
Promotions: Around 10% of the revenue is spent on advertising, TV and print campaigns for all the products.
Wagh Bakri Tea: India’s 3rd Largest Tea Company
With continued success and involvement of family’s new generations in improving the company’s sales, Wagh Bakri achieved the title of 3rd largest tea company in India, after Tata and Hindustan Unilever Limited (HUL).
In 2009, the brand’s market share was just 3%, between 2012-2016 it reached 29% and 27%, respectively, but by 2020, it increased to 10%. In Gujarat, its market share is around 50%.
A Notable Leader from the 4th Generation
Parag Desai was born in 1974 into a family with a rich history in the tea business. He was the 4th generation of the Desai family who managed the world-popular businesses of the Wagh Bakri Tea Group.
Parag’s passion for the beverage developed at a very young age. After completing his MBA degree from Long Island University, US, and gaining valuable skills in management and marketing, he joined his family business in the 1990s. At that time, the revenue was less than Rs 100 crore.
During his college days, he would spend his weekends working as a sales representative of the group. With his hard work, guidance, and dedication, he took the company’s annual revenue to over Rs 2000 crore. Desai oversaw the company’s marketing, sales division, and export marketing.
Personal Life
Parag Desai was the son of Rasesh Desai, who was the managing director of the Wagh Bakri Tea Group. Under the leadership of Parag’s Father, the brand expanded its reach and became a household name globally. Parag took the legacy, and through his visionary leadership, he succeeded in doubling the annual revenue of the company.
He had over 30 years of entrepreneurial experience, and for his significant contributions to the group, he received an award from the Ahmedabad Management Association.
The Tragic Death
Parag was known for his expertise in tea tasting. Tragically, he passed away on 22 October 2023 after suffering injuries from a stray dog’s attack outside his residence, which led to a brain hemorrhage. He will be remembered by many for playing a key role in the growth of the Wagh Bakri Tea Group.
The success of the company is due to its focus on quality and innovation. The group has always been committed to providing high-quality tea products to their customers. Today, the brand is one of the leading packaged tea companies in India.
The Wagh Bakri Tea’s Legacy
The Wagh Bakri Tea Group is operating in 24 Indian states: Gujarat, Rajasthan, Delhi, Madhya Pradesh, Chhattisgarh, Goa, Uttar Pradesh, Jammu and Kashmir, Tamil Nadu, West Bengal, Maharashtra, Telangana, Karnataka, and western Uttar Pradesh. The brand also exports its products to around 60 countries.
Global Recognition and Awards
Wagh Bakri Tea Group, due to their dedication and innovative taste, won various awards and recognition.
- Pride of India Brands by Exchange 4 Media (one of the top marketing magazines).
- Place of honour in TRA’s Brand Trust Report 2022.
- Mentioned in the 14th edition of Philip Kotler’s book ‘Marketing Management’.
- Best Tea Lounge Award at the Times Food & NightLife Awards 2022.