Shares of Sarveshwar Foods Ltd witnessed a remarkable surge during Tuesday’s trading session following the Government of India’s approval of a geographical indication (GI) for their Basmati Rice in Jammu & Kashmir. The company promptly shared this significant achievement through an exchange filing on Monday.
Sarveshwar Foods proudly announced securing the first-ever ‘geographical indication’ (GI) tag for Basmati Rice in Jammu & Kashmir, as sanctioned by the Agricultural & Processed Food Products Export Development Authority (APEDA), an entity under the Ministry of Commerce & Industry, Government of India. This groundbreaking development positions Sarveshwar Foods as the sole company in the Jammu and Kashmir region with the GI tag for Basmati rice, exclusively designated for export purposes.
According to the company statement, a product adorned with the GI tag enjoys a distinct reputation as a genuine and authentic commodity in the international market. This recognition often translates to heightened consumer trust and preference.
In response to the announcement, Sarveshwar Foods’ shares experienced a notable surge of over 5%, reaching Rs 6.30 on Tuesday, contributing to a substantial market capitalization of nearly Rs 620 crore. Notably, the stock’s value had settled at Rs 5.99 during the previous trading session on Monday, marking a significant ascent of more than 200% from its 52-week lows.
The coveted GI tag is granted following a rigorous assessment of various factors, including records verification, product quality, origin, and the procurement and processing procedures adopted by Sarveshwar Foods for its Basmati Rice. This recognition now empowers the company to affix the esteemed GI tag on its packaging for export, as outlined in the filing.
Sarveshwar Foods, boasting ISO and USFDA certifications, operates as a multifaceted entity involved in the manufacturing, trading, processing, and marketing of both branded and unbranded basmati and non-basmati rice in both domestic and international markets.
