Rage Coffee, the FMCG startup backed by Virat Kohli, has recently inaugurated its new manufacturing unit in IMT, Manesar, the company announced on Tuesday.
The facility occupies an impressive area of 30,000 square feet, distributed across three floors. It is equipped with packaging storage, production, and warehousing capabilities. By establishing this facility, the company’s objective is to expand its production capacity by a factor of eight compared to its current output.
Bharat Sethi, the Founder and CEO of Rage Coffee, chose not to disclose the specifics of the investment, but confirmed that the facility is fully operational. He further stated that there are no plans for additional investment in the facility.
“The factory is in place and all investments have already been done. There is no fresh capital allocation or investment to be made. We started building this unit in October 2021 and slowly found the right partners to build it.”
In reference to the surge in demand observed by the FMCG company, Sethi stated that the coffee startup is currently experiencing a threefold increase in both demand and production, in comparison to FY23.
He credited the rise in demand to the wide reach and effective distribution of Rage Coffee, along with its strong brand appeal. Presently, the company sells its products in 32 cities and has intentions to expand its market presence to an additional 10 cities within this year.
Regarding the distribution channels, Sethi mentioned that Rage Coffee is experiencing positive growth across all significant channels. However, the brand’s substantial growth, both in terms of revenue and profitability, is primarily driven by general trade and modern trade.