ITC's Agri-Business Revenue up by 25% in FY25

Kolkata, July 8 – ITC Limited has reported a strong performance in its agri-business segment for the fiscal year 2024-25 (FY25), driven by a strategic emphasis on expanding its value-added product portfolio and strengthening its presence in global markets.

Agri-Business Revenue Surges 25% to ₹19,753 Crore

According to its annual report for FY25, ITC’s agriculture division recorded a remarkable 25% year-on-year increase in revenue, reaching ₹19,753 crore. The business now manages over 3.5 million tonnes of annual throughput across 22 Indian states, highlighting its extensive reach and operational scale.

Strategic Focus on Value-Added Products

The diversified conglomerate has underscored its ongoing efforts to expand across multiple agricultural value chains. This includes a strong focus on spices, coffee, frozen marine products, and processed food. ITC has reaffirmed its position as a preferred supply chain partner for critical spices such as chilli, cumin, turmeric, and coriander, leveraging its strong farm linkages and sourcing expertise to provide traceable and identity-preserved commodities. The company’s state-of-the-art spices processing facility in Guntur, Andhra Pradesh, has been instrumental in enabling its expansion into ‘food safe’ export markets.

Scaling Organic and Integrated Crop Management

ITC continues to scale its organic and integrated crop management (ICM) initiatives, broadening organic cultivation across several states to meet rising domestic and international demand for sustainably produced agri-goods. This aligns with its commitment to responsible sourcing and rigorous international quality standards. The company’s climate-smart agriculture programs, including no-till cultivation and crop residue management, also aim to enhance soil health and reduce greenhouse gas emissions.

Global Expansion in Frozen Marine and Coffee Segments

ITC remains one of India’s leading exporters of value-added frozen marine products. Despite a challenging environment in the shrimp segment, marked by volatile farm gate prices and logistical constraints, the company successfully expanded its market presence in Greece, Israel, and Malaysia. ITC is one of the top three exporters of frozen shrimps from India to the EU market, underpinned by its focus on sustainably sourced shrimps through programmes like the Aquaculture Stewardship Council (ASC).

In the coffee sector, global prices surged due to reduced output from major producers like Brazil and Vietnam. However, Indian coffee exports experienced robust growth, and ITC effectively capitalised on strategic sourcing from key domestic coffee-growing regions, including Karnataka, Kerala, and Tamil Nadu. The company’s focus on premium grades of Arabica, Certified Coffees, Speciality, and Monsooned Coffee has driven its strong performance in this segment.

Share Price Performance

As of 3:15 PM on July 8, the shares of ITC Limited were trading at ₹417.15, up by 0.24% or ₹1.00. It remains to be seen at what price the shares close as they near the end of today’s market session.

Future Outlook

With a strong foundation in sourcing, value-addition capabilities, and established export channels, ITC’s agri-business is well-positioned for sustained growth. The company’s continued focus on diversification, sustainability, and international expansion marks a pivotal phase in its agri-transformation strategy. These efforts are expected to enhance its competitiveness and profitability in the evolving global agricultural landscape.

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