Rungta Tea has reported a striking 92 percent distributor retention rate as it completes 24 years of operations. The company, which began its journey in Bihar and later shifted headquarters to Delhi in 2004–05, calls this one of the rarest feats in India’s fast-moving consumer goods landscape. The retention rate reflects the brand’s long-term relationships across North and East India, where most distributors have remained with the company since its early years.
The manufacturer attributes this stability to its internal philosophy centred on quality and transparent operations. Founder and managing director Girjesh Rungta said the company’s approach has always prioritised long-term bonds with partners rather than transactional engagements. He noted that his own early experience of working within distributor operations shaped the company’s model of addressing challenges before they escalate.
Rungta Tea now plans to scale rapidly over the next two years. According to Rungta, the company aims to match the growth achieved in the past 24 years within this shorter period, driven by strong infrastructure and capacity built for larger future volumes.
Expansion Momentum
The company reports that its current manufacturing operations in Siliguri continue to function under close family oversight, particularly around quality control. Around two thousand tea samples are tested regularly, out of which only 15 to 20 are approved for its premium blends. The company maintains that this strict selection process helps preserve product consistency as it prepares for entry into new markets.
Rungta Tea’s retail presence, largely associated with its flagship Real Gold brand, now spans Bihar, Jharkhand, Uttar Pradesh, Uttarakhand, Rajasthan and Delhi NCR. Rajasthan has emerged as a key market for its premium lines, showing considerable traction in recent quarters. The company believes its focus on authentic blends and controlled sourcing has played a strong role in its acceptance across new territories.
Rungta emphasised that operational systems, including a zero-cash policy and full transparency in transactions, have significantly contributed to distributor confidence. He stated that predictable practices and clarity in business processes have been central to achieving sustained partner loyalty over the decades.
Market Presence Strengthens
Industry observers note that the company’s long-term model of distribution may serve as a differentiator as competition intensifies in regional FMCG markets. With infrastructure designed to support companies multiple times its current scale, Rungta Tea positions itself for accelerated expansion without needing immediate capacity additions.
The company continues to expand its portfolio under brands such as Real Gold, Real Gold Classic, Real Gold Select, Real Taste, Real Taste (elaichi tea), Real Taste (masala chai), Roz and Dhamaka. It aims to deepen its presence in existing states while preparing for entry into newer regions where demand for packaged tea is rising.
Brand Background
Founded in 2001, Rungta Tea produces and distributes blended tea across North and East India, with quality processes kept under direct family supervision. Over two decades, the company has gradually diversified into select FMCG categories while maintaining a focus on tea as its core product. Its operations today reflect a balance of tradition-driven quality and planned expansion as it prepares for a faster growth cycle.
