Rice Miller KRBL, which produces and sell Basmati rice under the brand ‘India Gate’, will invest up to Rs 3,000 in the next three years on expansion and working capital requirement.
“We are expecting a turnover of Rs 1,650-1,800 crore in the current fiscal and going forward, we are looking at taking our turnover to Rs 3,500 crore in the next three years,” KRBL Chairman and Managing Director Anil K Mittal said.
To achieve a turnover of up to Rs 3,500 crore over the next three years, the company would need an investment of Rs 3,000 crore for expansions as well as working capital, Mittal said while declining to give details.
Asked how the company is planning to raise funds, he said the company has cash reserves of around Rs 600 crore, while the rest would be borrowed from bankers.
Mittal said the company has around 8 per cent share of total Basmati exports from the country and has exported the rice worth Rs 700 crore last fiscal.
It has also entered into contract farming in Punjab, Haryana and western Uttar Pradesh and currently has around 1,00,000 acres under it.
“The contract farming operations of the company enable it to acquire quality raw material at fixed price and also mitigate risks in commodity market,” he added.