New Delhi: Consumer packaged goods company Dabur India Ltd will set up a new manufacturing facility in Tamil Nadu with an initial investment of ₹135 crores. The company plans to expand it to ₹400 crore over the next five years.
This is Dabur’s first manufacturing unit in South India and will help expand capacity across brands like Red Toothpaste, Odonil and Honey.
The company on Thursday signed a memorandum of understanding with the state government for the plant.
Last year, Dabur had started construction of its largest manufacturing plant in India in Madhya Pradesh, with an estimated investment of ₹550 crore. The unit will manufacture a range of food products, ayurvedic medicines and health supplements, the maker of Vatika hair oil and Real Juice said.
Dabur operates 14 manufacturing plants in India and derives much of its business from North Indian markets.
The capacity expansion comes as consumer goods manufacturers increasingly extend their reach in response to rising demand for branded products.
Dabur’s investment will enable the company to better meet the growing demand for its products in South India and strengthen its market presence in the region, said Chief Executive Officer Mohit Malhotra.
The major consumer goods company reported an 8% growth in its consolidated net profit. ₹500 crore in the June quarter. Revenues rose 7% to ₹3,349 crores. In fiscal year 24reported income of ₹12,404 crores, with a net profit of ₹1,843 crores.
Dabur sells products across personal care and home care categories, along with food and beverages and healthcare products. Its brands include Meswak toothpaste, Dabur honey, Amla hair oil and natural fruit drinks.
“We have decided to set up a manufacturing unit in Tamil Nadu as part of our strategy to be closer to our consumers,” said Rahul Awasthi, Global Head – Operations, Dabur India. “This will also enhance our sourcing of agricultural products from local farmers in Tamil Nadu,” he added.
Dabur India shares were trading at ₹645.00 on the National Stock Exchange on Thursday, 1.7% more than the previous close in a largely positive market.
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.