Nestlé India Planning to invest Rs 4,200 crore by 2025 to Increase capacity
Ten News Network
New Delhi, 29th July 2023: Nestlé India, the country’s top food and beverage company, has announced a Rs 4,200 crore investment plan to improve its production base through 2025.
Nestlé India’s Chairman and Managing Director, Suresh Narayanan, “Between 2020 and the first half of 2023 we have invested Rs 2,130 crore to augment our manufacturing capabilities. About a third of it went into the food space. Another third has gone into the chocolates and confection. And the balance has gone into nutrition and beverages and other categories. Now, another Rs 4,200 crore will spent from 2023 to 2025, including setting up of a new plant in Odisha against Rs 900 crore.”
He added, “So, what we are investing between 2020 and 2025 is nearly equal to our investments over the previous 60 years. This indicates where India stands (for Nestlé) and the company’s (recent) performance.”
Nestlé India’s plans to build a new facility, it notified its investors last week that the tenth plant in India will be built in Odisha’s Khurda area, near the state capital Bhubaneswar.
The State Level Single Window Clearance Authority has already approved the company. The facility in Odisha will mostly manufacture Maggi items. Nestlé India invested nearly Rs 700 crore in its ninth factory in Sanand, Gujarat, last year to increase local manufacturing of its popular Maggi instant noodles.
Apart from the new Odisha plant, a significant portion of the new investments will go towards expanding capacity at the Gujarat plant with new production lines for noodles and confectionaries, expanding its Moga factory, and ramping up chocolate manufacturing capacity at its Ponda (Goa) facility.
He said, “There two types of capex, primarily. One is for compliance and the other is for capacity expansion. Ours is more of capacity expansion.”
Nestlé does not have a manufacturing plant in the eastern region of the country, thus Odisha was a necessity. All nine of its existing factories are located in North, West, and South India.
