Tamil Nadu-based Croft Beverages raises $125,000 in a mix of debt and equity

Croft Beverages, a farmer-centric sustainable tea startup, has raised $125,000 in a pre-seed funding round through a combination of equity and debt. The investment round was led by notable angel investors from the tea, sustainability, IT, and biotech industries.

What does Croft Beverages do?

Croft Beverages was founded by Harish Kannan with the purpose of creating a sustainable model to improve the small tea growers’ livelihoods.

The startup said it has a mission to create a tea with a conscience that is traceable to its roots, transparent in trade and transformative for farmers.

It aims to create a network of 100 + mini “farmers’ owned factories” and empower more than 3000 small farmers in the Nilgiris region by 2030.

Purpose of fundraising

According to the press release, Croft Beverages will use the raised capital scale a unique category of sustainable and traceable Nilgiris Tea by creating a network of 100+ mini farmers’ owned factories before 2030.

Through its strategic initiatives like 100% “farm to cup” traceability, the startup claims to have formed key partnerships with some of the country’s leading brands under its “direct from origin” model.  

It is now working on setting up the next three farmer-owned factories in 2025.

“With our tea, every sip tells a story. At Croft, farmers aren’t just growers- they are owners, running their own mini-factories. From their fields to your cup, we bring tea that’s honest, traceable and fair. For brands and buyers, it’s unmatched transparency; for farmers It’s prosperity. Together we’re brewing a tea revolution, one sip at a time,” said Harish Kannan, Founder of Croft Beverages (IIMB alumnus and ex-Business head at Olam Coffee).