Lahori Zeera Targets ₹1,300 Crore by FY27 on Capacity Expansion Push

Homegrown beverage brand Lahori Zeera is targeting revenue of ₹1,200–1,300 crore by FY27 as it accelerates manufacturing expansion and broadens its geographic footprint, particularly in southern India, co-founder Nikhil Doda said.

The Archian Foods-owned company closed FY26 with revenues of approximately ₹770–780 crore, with growth constrained primarily by production capacity rather than demand.

“We were targeting ₹800 crore, but this is what we could manufacture,” Doda said, highlighting supply-side constraints.

To address this, the company is expanding its production network with five new third-party bottling units in Bihar, Bengaluru, Muzaffarnagar, Agra and Bhopal, in addition to existing facilities in Lucknow, Mohali, and Vapi. Its Lucknow plant, the largest, is currently operating at around 70% capacity and is expected to expand further next summer.

Doda said co-bottling remains central to the company’s scaling strategy, noting that manufacturing scale is critical in the beverage industry.

Distribution remains heavily skewed toward general trade, which accounts for 97–98% of volumes across 8–10 lakh retail outlets. However, Lahori Zeera is expanding into modern trade, institutional sales, and quick commerce, which are expected to contribute 8–9% of revenue in the coming fiscal year.

Quick commerce channels are growing rapidly and are projected to expand three- to four-fold year-on-year.

Regionally, the brand has a strong presence in northern India, including Punjab, Haryana, Delhi, and Himachal Pradesh, while more than half of its volumes now come from outside the north. The next phase of expansion is focused on southern India, supported by a new co-packing facility in Bengaluru, targeting markets including Hyderabad, Bengaluru and parts of Andhra Pradesh and Telangana.

The company is also diversifying its portfolio with larger pack formats, which now contribute 16–17% of revenue. It is preparing to launch a non-carbonated beverage, Lahori Aamras, initially in northern India before expanding nationally.

Input cost pressures remain a challenge, particularly PET resin, which accounts for 40–45% of raw material costs and has been affected by crude-linked volatility. The company implemented a modest price increase in April but absorbed part of the cost to maintain competitiveness.

Archian Foods has also invested in technology, deploying SAP-based ERP systems and IoT-enabled manufacturing monitoring across plants. The company employs over 3,500 people and has added about 400 employees in recent months.

Looking ahead, Lahori Zeera has set an internal revenue target of ₹2,000 crore and is exploring international expansion, including a potential co-bottling facility in the UAE to serve Indian diaspora demand in GCC markets.