Nestle to invest Rs 900 cr in India, may up prices
Nestle India is ramping up production facilities and investing in new technologies to roll out value added products as it faces rising raw material prices and robust demand for its products.business Updated: Feb 14, 2011 22:00 IST
Nestle India is ramping up production facilities and investing in new technologies to roll out value added products as it faces rising raw material prices and robust demand for its products. The company would invest around Rs 900 crore over the next few months to set up a new production facility at Nanjagud, Karnataka apart from enhancing production at its other factories.
“We are setting up a new production facility for noodles and other Maggi brands at Nanjangud in Karnataka at an estimated investment of Rs 350 crore,” Antonio Helio Waszyk, chairman and managing director Nestle India told HT.
The company is also doubling up its capacity at its Samalkha facility in Haryana that would entail an investment of R550 crore, apart from additional investments at its factories in Ponda, Bicholim and Moga.
“India is high on the agenda for Nestle Worldwide in terms of investment plans,” he said. Nestle is a Switzerland-based food products company, however, Nestle India is listed on the Indian bourses and its market capitalisation is around R32,730 crore.
“We are constantly striving to invest in newer technologies to create more value in our products as consumers are willing to pay extra for a genuinely quality product,” said Waszyk.
Nestle India could also go for a staggered price hike to beat the inflationary trends. “During last year the focus for us was on innovations and pricing was not on my priority list. But this year I need to move it (pricing) up on my priority list,” he said.