Andrew Yule and Company shares jumped nearly 20% to a day high of ₹30.50 on Monday, after a government push to promote its tea brand.

The rally started after the Ministry of Heavy Industries sent out a communication asking all central ministries and departments to serve Yule Tea at official meetings, conferences, canteens and government functions.

That’s a fairly unusual kind of announcement for a listed company, and the market reacted almost instantly.

Andrew Yule is a state run company, and Yule Tea is its own brand, produced from tea estates the company owns in Assam and West Bengal.

It’s actually one of the oldest tea producers in the country, making Darjeeling, Dooars and Assam tea across orthodox, CTC, green tea and flavoured varieties.

The company already supplies tea to Parliament through the Tea Board, and its products are sold online as well.

What triggered this particular notification was a recommendation from the Department related Parliamentary Standing Committee on Industry, which had suggested that different ministries coordinate to promote and adopt Yule Tea more widely.

The ministry’s note also mentioned something worth flagging though. It said Andrew Yule has been facing financial stress for a while now, and that stronger institutional support and wider use of its products could help the company work toward operational and financial stability.

The stock has actually been climbing for two sessions in a row now, and Monday’s move builds on that momentum. That said, some of the early gains got pared back as the day went on, with investors booking profits after the sharp initial spike.

As of 14:45 pm on BSE, Andrew Yule and Company shares were trading at ₹29.79, up 16.87% for the day.

The future of investing is here! Tradz by EquityPandit leverages advanced AI technology to provide you with powerful market predictions and actionable stock scans. Download the app today and 10x your trading & investing journey!