Founded in 1993 by Mr. Prakash Das, Bengali Brew Ltd. (BBL) operates as an unlisted public company out of Siliguri, West Bengal. Mr. Das initiated…

Founded in 1993 by Mr. Prakash Das, Bengali Brew Ltd. (BBL) operates as an unlisted public company out of Siliguri, West Bengal. Mr. Das initiated BBL, recognizing both the growing market for premium coffee and tea across India and the strategic benefits of Siliguri's location within a prominent tea-growing region. The Early Years and Vision Mr. Prakash Das envisioned a company that would not only supply premium beverages but also elevate the daily coffee and tea experience for Indian consumers. He recognized the rich heritage of tea cultivation in West Bengal, particularly in and around Siliguri, which has a long history dating back centuries. While coffee was less prevalent in the region's historical agricultural landscape, Mr. Das saw an opportunity to introduce and popularize high-quality coffee products alongside the well-established tea market. BBL was established with a clear and inspiring vision, To be the most cherished and widely recognized purveyor of exceptional coffee and tea experiences, enriching lives across India and beyond. This vision guided the company from its earliest days, emphasizing quality, customer satisfaction, and a commitment to expand beyond regional boundaries. Foundational Principles and Growth The company's Mission was defined as, to meticulously source the finest coffee beans and tea leaves globally, craft premium quality products through innovative processes, and deliver unparalleled taste and satisfaction to our customers, while fostering sustainable practices and expanding our reach. From its foundation, BBL placed immense pride in its state-of-the-art processing and packaging facility. Mr. Das ensured that the company meticulously selected the finest coffee beans and tea leaves from around the world, prioritizing quality and freshness above all else. This rigorous production process, adhering to stringent quality control measures, was a cornerstone of BBL's initial success, quickly earning customer trust and loyalty. This unwavering commitment to quality enabled BBL to establish itself as a leading brand in the competitive Indian coffee and tea industry. Understanding evolving customer preferences, BBL, under Mr. Das's guidance, developed a comprehensive range of coffee and tea products from the outset. This portfolio included classic instant coffee blends, aromatic loose leaf teas, and a delightful selection of flavored varieties, catering to diverse palates and brewing preferences. The emphasis on continuous innovation and expansion of offerings allowed BBL to keep pace with current trends and consumer demands. BBL pursued national expansion by building strong distribution ties with top retailers and exploring global trade partnerships. The media (Annexure 1) has widely covered this strategic growth. Its long-standing sourcing expertise ensured high-quality products at competitive costs, reinforcing its market position. However, Mr. Das was also acutely aware of buyer bargaining power. Despite BBL's reputation for exceptional taste and diverse products, he recognized that buyers wield influence, especially with alternative suppliers. Therefore, BBL consistently balanced its pricing strategies and value propositions to maintain customer loyalty while safeguarding profitability. By continuously monitoring and adapting to changes in supplier and buyer dynamics, BBL aimed to optimize its supply chain relationships and enhance its competitive edge. In the competitive coffee and tea industry, Bengali Brew Ltd. (BBL) faced significant rivalry from both local and international players from its very beginning. Mr. Das understood that with numerous competitors vying for market share, the intensity of competition would be palpable. Established brands and emerging players constantly strive to differentiate themselves through product innovation, pricing strategies, and marketing initiatives. BBL's strong brand reputation, diverse product range, and commitment to quality, all built upon its foundational principles, positioned it well amidst this competitive environment. The awareness of potential price wars and aggressive marketing tactics ensured that BBL leveraged its strengths, such as its advanced processing facility and customer-centric approach, to continuously enhance its offerings and brand value, staying attuned to market trends, consumer preferences, and competitor actions to proactively adapt its strategies and sustain its competitive advantage. On July 1st, 2024, BBL imported a consignment of coffee beans from Brazil, through establishing contact with such coffee bean supplier situated in Brazil and negotiating the purchase agreement, including price, quality specifications, and delivery terms. Both parties prepared necessary documents, such as a commercial invoice, packing list, bill of lading (ocean freight), and certificate of origin. BBL has a customs broker, Mr. Hardik Kali, to handle the clearance process in India, ensuring compliance with import regulations and duties. The bill of entry for warehousing of goods was presented on 5th July, 2024 and the goods were duly warehoused. The goods were subject to duty @ 50% ad valorem. In the meanwhile, on 1st August, 2024, an exemption notification was issued reducing the effecting customs duty @ 30%, ad valorem. Mr. Hardik on behalf of BBL filed bill of entry for home consumption on 1st September, 2024 claiming duty @ 30% ad valorem. However, Customs Department charged duty @ 50% ad valorem being the rate on the date of clearance into the warehouse. Also the proper officer raised some queries on the accuracy of the declared value. Further, the cost of insurance was not ascertainable from the documents submitted before the customs authorities by Mr. Hardik on behalf of BBL relevant for determining the CIF price of the imported goods which is obtained by making certain additions to the value of imported goods as prescribed. BBL is an Ind AS compliant company. It has a paid-up capital of 5 crores and turnover of 400 crores. It presents financial results for three years (i.e., one for current year and two comparative years) internally for the purpose of management information every year in addition to the general-purpose financial statements. The aforesaid financial results are presented without furnishing the related notes because these are not required by the management for internal purposes. During the current year, management thought why not they should present third year statement of profit and loss also in the general-purpose financial statements. It will save time and will be available easily whenever management needs this in future. BBL is required to file its financial statements through XBRL which enables producers and consumers of financial data to switch resources away from costly manual processes, typically involving time-consuming comparison, assembly and re-entry of data, making the data readable, with the help of two documents: Taxonomy & Instance Document. The management of BBL on analysis of such additional information, inter-alia, observed that there were variances which arise because of inaccurate or faulty standards, not in control of management, and they should not be held responsible for it. Further on analysis of such third year statement of profit and loss pertaining to F.Y. 2022-23, it was observed that BBL had issued debentures in the previous year 2022-23, which were to be matured at the end of 5 years. The debenture holder was given an option of one time upfront payment of 50 per debenture on account of interest which was to be immediately paid by the company. As per the option exercised by the debenture holders, company paid interest upfront to them in the first year itself and the same was claimed as deduction in the return of the company. However, the company's accounts treated this interest as deferred expenditure, to be written off over the debentures' five-year term. During the assessment for the previous year 2022-23, the Assessing Officer (AO) concurred with this accounting treatment, allowing only one-fifth of the upfront interest paid as a deduction. This order was issued on May 20, 2024. DRC & Co., are the Auditors of BBL, for the year ended on 31st March, 2025. The Audit Report for that year was signed by the Auditors on 4th May, 2025. The Annual General Meeting was decided to be held during the month of August 2025. On 6th May, 2025, the Company had received a communication from the Central Government that an amount of 300 crore kept pending on account of incentives pertaining to Financial Year 2024-25 had been approved and the amount would be paid to the Company before the end of May 2025. To a query to Chief Financial officer of the Company, Mr. Sarabjeet Singh, by the management, it was informed that this amount had not been recognised in the Audited Financial Statements in view of the same not being released before the close of the Financial Year and due to uncertainty of receipt. Now, having received the amount, the management wished to include this amount in the Financial Statements of the Company for the Financial Year ended on 31st March, 2025. On 8th May, 2025, the management amended the accounts, approved the same and requested the auditor to consider this event and issue a fresh Audit Report on the Financial Statements for the year ended on 31st March, 2025. Additionally, the auditor had also identified a potential non-compliance with GST regulations concerning sitting fees paid to a director. The information provided herein has been gathered based on the minutes of the board meeting, as documented in the attached Annexure II. Annexure I The Biz Outlook BBL EXPANDS NATIONAL FOOTPRINT AND EYES GLOBAL MARKET WITH STRATEGIC PARTNERSHIPS AND PREMIUM Kolkata, May 11, 2024: With a strategic vision for national expansion, BBL actively started growing its distribution network early on. Forging partnerships with leading retailers and supermarkets was crucial in making their products accessible to a wider customer base nation-wide. Furthermore, Mr. Prak-ash Das, Chairman, always looked towards strategic collaborations and international trade opportunities to broaden BBL's market reach and solidify its position as a prominent player in the global coffee and tea market. BBL's ability to source the finest coffee beans and tea leaves globally, a strength cultivated since its foundation, granted it leverage in negotiating favourable terms with suppliers. This meticulous selection process further strengthened its bargaining position, enabling cost savings and consistent product quality. As BBL continues to scale new heights, its commitment to quality, innovation, and strategic growth remains at the heart of its journey. ~ Dr. Jyoti Batra, Editor Annexure: II EXTRACT OF MINUTES OF THE BOARD OF DIRECTORS' MEETING OF BENGALI BREW LTD. (BBL) Date: 15th January 2025 Time: 2:00 pm Venue: Siliguri ITEM NO. [X]: INDEPENDENT DIRECTOR REMUNERATION The Board noted that Mr. Ravish Soni, an Independent Director, was to be paid sitting fees of 34,000/- for meetings held in December, 2024. This payment adheres to the Companies Act, 2013, and company policy. RESOLVED THAT the Independent Director sitting fees, as noted, be approved. Mr. Prakash Das Chairman, Bengali Brew Ltd.