Sarveshwar Foods shares surge 5% on securing GI tag

Shares of Sarveshwar Foods Ltd surged during the trading session on Tuesday after the company was granted with geographical indication( GI) in Jammu & Kashmir for Basmati Rice by the Government of India. The company informed about the same through an exchange filing on Monday.

Sarveshwar Foods has announced for being granted first 'geographical indication'( GI) tag in Jammu & Kashmir for Basmati Rice by Agricultural & Processed Food Products Export Development Authority (APEDA), an undertaking of Ministry of Commerce & Industry, Government of India, it said in the exchange filing.

"With this, Sarveshwar Foods limited became the first and only company based in Jammu and Kashmir region which has the GI tag for Basmati rice for export purposes," it added. "A product with GI Tag is recognised as a genuine and authentic product by the consumers in the international market."

Following the announcement, shares of Sarveshwar Foods rose over 5 per cent to Rs 6.30 on Tuesday, commanding a total market capitalization of close to Rs 620 crore. The scrip had settled at Rs 5.99 in the previous trading session on Monday. The stock has surged more than 200 per cent from its 52-week lows.

GI tag is awarded after thorough verification of records, quality of the product, their properties, origin, and procurement, processing procedure adopted by Sarveshwar Foods for its Basmati Rice, and henceforth entitles the company to affix GI Tag on its packaging for export, said the filing.

Sarveshwar Foods is an ISO and USFDA certified company, which is engaged in the business of manufacturing, trading, processing, and marketing of branded and unbranded basmati and non-basmati rice in the domestic and international markets.

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