Nestle India, the renowned FMCG major known for producing popular brands like Maggi noodles, KitKat chocolate, and Nescafe, is geared up for significant investments in local manufacturing. The company’s Chairman and Managing Director, Suresh Narayanan, revealed that Nestle India has robust commitments, with plans to invest ₹4,200 crore by 2025, which includes the establishment of its 10th plant in Odisha, India.
Nestle India’s Vision for the Future
With a positive outlook on the Indian market and anticipating strong demand in the coming years, Nestle India has been proactively investing in its manufacturing capacity. Mr. Narayanan highlighted that ₹2,100 crore has already been invested in capital expenditures until the first half of 2023. These investments have been primarily focused on enhancing manufacturing capacity in the food space, chocolate and confectionary segments, as well as nutrition and other related areas.
Expanding Capacities with Strategic Investments
The journey of expansion doesn’t end here for Nestle India. Another ₹4,200 crore is earmarked for investment between 2023 and 2025, with a significant chunk going towards establishing a new factory in Odisha, requiring ₹900 crore. The CEO of Nestle SA, Mark Schneider, also affirmed the company’s commitment to invest ₹5,000 crore in India by 2025.
A Rich History of Investment
Nestle India’s dedication to the Indian market can be traced back to its inception, having invested approximately ₹7,000 crore in the past 60 years in the country. This reflects the company’s belief in India’s potential and its commitment to long-term growth.
Cutting-Edge Technology and Management Support
The Swiss parent firm, Nestle SA, has been a vital source of support for Nestle India’s expansion plans. Nestle SA has been providing technological advancements, streamlined processes, and management capabilities, empowering Nestle India to flourish in the market.
Diverse Expansion Plans
Suresh Narayanan shared details about the forthcoming investments, stating that the funds will be allocated to various areas, including the new factory in Odisha and the expansion of facilities for the coffee and beverages business. Moreover, phases III & IV of expansion are planned at the Sanand (Gujarat) plant, which will introduce confectionery lines besides noodles. Additionally, there are expansion plans for the Moga (Punjab) and Ponda (Goa) factories, focusing on bolstering the chocolate production unit.
Nestle India’s Commitment to Diversity and Inclusion
As a company that values diversity and inclusion, Nestle India is actively working towards increasing the representation of female employees. Presently, one-fifth of its field force and over 50 per cent of its board strength are women. The Sanand factory already sets an inspiring example, with over 50 per cent of its workforce being women. The upcoming Odisha plant will also emphasize a diverse and inclusive workforce.
Nestle India’s Expanding Footprint
Nestle India operates nine factories, employing around 6,000 individuals. Its presence in India places the country among the top ten global markets for Nestle SA, the esteemed Swiss multinational food and beverages conglomerate.