Nestle to start confectionary unit in Sanand around Diwali - source
Informist, Friday, Sep 13, 2024
--Source: Nestle to start confectionary unit in Sanand around Diwali
--Source: New machinery being installed at Nestle's Sanand plant
--Source: Nestle plans to make, export KitKat from new Sanand unit
By Sunil Raghu
AHMEDABAD - Packaged foods major Nestle India Ltd is expected to start operations at its confectionery-making facility in Sanand, Gujarat, around Diwali, a person with knowledge of the status of the project told Informist, on condition of not being named. "Currently, the machinery is being installed at the facility. After this, some work related to food-grade polyurethane coating of the floor will be carried out," he added.
Nestle India wanted to export KitKat from its Sanand plant and capitalise on the festive season in India and upcoming Christmas season in the markets abroad, this person said.
The company had operationalised its Sanand plant in late 2021. This helped ramp up its Maggi making capacity in India. "The company has since expanded this unit further, and it is now one of the biggest Maggi making units in the world. The expanded unit was operationalised a couple of months ago," the person cited above said.
The latest annual report of Nestle India shows that the company delivered over 6 bln servings of the instant noodle brand Maggi and 4.2 bln fingers of chocolate wafer brand KitKat to its consumers in 2023-24 (Apr-Mar). India is the largest and second-largest market worldwide for the two brands, respectively, the company said.
The annual report also suggested that prepared dishes and cooking aids, which include Maggi, contributed 30.4% to the company's sales in 2023-24, while confectionery, which includes KitKat, Munch, and Milky Bar, contributed 16.5%, and powdered and liquid beverages, which include Nescafe, contributed 12.4%.
Nestle India did not reply to an email sent by Informist. Nestle India has nine plants in India, and several media reports suggest that the company is either investing or has plans to invest nearly 42 bln rupees till 2025 to expand its capacities in India.
At 1305 IST, shares of Nestle India traded at 2,539.80 rupees on the National Stock Exchange, up 0.5%. End
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
