Pajson Agro India Ltd. (BSE SME)

IPO Details

Key Performance Indicators (KPI)

Company Financial (In ₹Crore)

About Company

Incorporated in 2021, Pajson Agro India is engaged in processing raw cashew nuts into cashew kernels, supplying them to both domestic and international markets. The company sells its products in bulk as well as in retail packs under its white-label dry fruits brand Royal Mewa. In addition to cashew kernels, it also sells by-products such as cashew husk and shells, which are used in industrial and agricultural applications.

Sales & Distribution Model:
The company operates through four sales verticals:

1. Wholesale Mandis (local agricultural markets)
2. Institutional Sales (retail chains, food brands, etc.)
3. Exports
4. B2C retail under the Royal Mewa brand

Pajson Agro currently has a presence in 18 states and 3 Union Territories across India.

Manufacturing Infrastructure:
The company operates a cashew processing facility located in Visakhapatnam, Anakapalli, Andhra Pradesh, spread over 295,990.20 sq. ft. with an annual processing capacity of 18,000 MT. The facility includes dedicated shelling, peeling, cleaning, grading, and sorting units, along with an in-house packaging unit to support retail and bulk supply operations.

Strength

In-House Packaging Capability: The company operates an in-house packaging unit in Delhi, equipped to handle all post-processing requirements for its B2C brand “Royal Mewa,” ensuring efficiency, consistency, and quality control.

Experienced Promoters with Strong Industry Network: The company is led by promoters with over 35 years of combined experience in agricultural commodities, sourcing, and distribution. Their industry relationships and market insights enable effective resource management and business expansion.

Diversified Customer Base: The company serves wholesale mandis, institutional buyers, and retail consumers through its “Royal Mewa” brand, providing revenue stability and reducing market risk. Entry into kernel exports has further expanded its customer reach internationally.

Weakness

Limited Operating History: The company began operations in 2021, making it difficult to assess long-term performance, stability, and future growth prospects.

High Geographic Revenue Concentration: A significant share of revenue comes from a few regions—Delhi, Andhra Pradesh, and Rajasthan. Any negative developments in these areas may adversely impact overall revenue and financial results.

Dependence on a Single Operating Region for Processing: All existing and proposed processing facilities are located in Andhra Pradesh. Any disruption—such as equipment failure, power issues, natural disasters, or operational shutdowns—could severely affect production, cash flows, and future expansion plans.