Britannia Launches Greenfield Plant in Assam and Invests EUR21m

Indian producer Britannia Industries has launched its largest Greenfield manufacturing facility in the Guwahati, India, at an investment of Rs1.7bn (approx.EUR21m).

The state-of-the-art plant is spread over 22 acres and has an annual production capacity of 60,000 tones. Catering to Britannia’s vision of being a complete food company, the unit will soon be adding manufacturing lines of new product categories in the snacking space, according to its announcement.

Britannia Industries managing director Varun Berry said: “We are very excited about this launch as it helps augment our vision to be a total foods company and strengthen our position as a market leader in the packaged foods industry.” The idea is to make Assam a gateway to South-Asian and South East Asian markets, he added.

Berry also announced plans to hire a total 1,000 people at the unit.

This is the third Britannia plant to be set up in Assam to serve the growing biscuit market in the northeast. The region currently generates revenue of Rs6bn (EUR75m) for the Rs100bn (EUR1.25bn) company.

It is also planning to invest in a finished goods distribution center at an investment of Rs200m (EUR2.5m) in the state, which will also cater to the entire northeastern market.

To strengthen its global footprint, the company launched its first export-oriented manufacturing facility at Mundra in May this year. The food firm is also coming up with a Rs10bn integrated food park in Ranjangaon near Pune, likely to become operational by August, according to Britannia. The first line of the plant will start producing cakes, followed by biscuits, croissants and dairy products.

In February this year, Britannia Industries announced its plans to launch around 50 new products under its existing categories as well as to introduce new ones by the end of the next fiscal, as part of efforts to be a “total food company”, a top company official said.

In view of its growth strategy, Britannia will launch dairy products by end of 2019 and croissants through its joint venture with Greek cakes and confectionery manufacturer Chipita by October-November of 2018.

In addition, the company plans to continue with its strategy of adding new countries on its list and scouting for new markets in Africa, while foraying into Bangladesh and Myanmar.