Key Highlights
- Vintage Coffee and Beverages commissions additional 4,500 MTPA capacity from March 23, 2026.
- Total installed capacity rises from 6,500 MTPA to 11,000 MTPA after expansion.
- Annual production capacity now includes 6,000 MT spray-dried coffee and 5,000 MT agglomerated coffee.
- New capacity expected to boost output by around 70% annually.
- Greenfield freeze-dried coffee plant near Hyderabad planned with 5,500 MTPA capacity.
- Project funded through internal accruals with no reliance on external debt.
- Company aims to ramp up production at new facility through Q1FY27.
Vintage Coffee and Beverages Limited (VCBL) has announced the commencement of commercial production from its newly added 4,500 metric tons per annum (MTPA) capacity, effective March 23, 2026. The expansion has been completed as part of the company’s brownfield development at its wholly owned subsidiary’s instant coffee manufacturing facility in Telangana.
With this commissioning, the company’s total installed capacity has increased significantly from 6,500 MTPA to 11,000 MTPA. This marks a major milestone in its growth strategy as it strengthens its position in the global instant coffee market.
Production Mix and Capacity Utilisation
Following the expansion, Vintage Coffee’s annual production capacity now comprises 6,000 metric tons of spray-dried coffee and 5,000 metric tons of agglomerated coffee. The company expects the new equipment to operate efficiently and increase production output by approximately 70% on an annual basis.
The commissioning of the facility has been completed ahead of schedule, reflecting operational efficiency and strong execution capabilities.
Expansion Funded Through Internal Accruals
The company stated that the entire expansion project has been funded through internal accruals. This highlights its strong financial discipline, stable cash flows, and focus on sustainable growth without increasing debt levels.
New Freeze-Dried Coffee Facility Planned
In line with its long-term growth strategy, the company has also initiated the development of a greenfield freeze-dried coffee plant near Hyderabad. The proposed facility will be equipped with advanced European technology and is designed with an installed capacity of 5,500 MTPA.
Commercial production at this upcoming facility is expected to begin next year. The project is anticipated to enhance the company’s product portfolio and strengthen its presence in the premium instant coffee segment globally.
Industry Outlook and Demand Trends
The company noted that the coffee industry continues to remain largely unaffected by recent geopolitical tensions in the Middle East, as major coffee-producing regions are not located in that area.
Raw material availability remains stable, supported by strong supply chain management, while customer demand continues to be robust. Vintage Coffee indicated that it is committed to maintaining quality standards and ensuring consistent supply to its global clientele.