New Delhi: FMCG major Dabur India will invest over Rs250 crore in the next one year to set up a greenfield facility for manufacturing a range of consumer goods and to upgrade its existing facilities.
Dabur also has plans to hike prices of its consumer and healthcare products, keeping in mind the intense inflationary pressure.
“We are planning to set up a new manufacturing facility in India entailing a capital expenditure of about Rs150 crore, which would be made in the next fiscal. Besides, we will be undertaking another Rs100 crore of capital expenditure this fiscal at our existing facilities,” Dabur India CEO Sunil Duggal told analysts. He, however, did not divulge details about the greenfield facility planned by the company.
Sources said Dabur could be looking to set up the new facility in one of the hill states, where it can expect tax breaks. This unit is expected to manufacture a range of new personal care products.
Dabur is expected to hike prices in the core FMCG business under its consumer care division by 7% and in the consumer health division by 8-9% to tide over the inflationary trend, Duggal said.
“There would, however, be no hike in price of our food products,” he said. Duggal said the company is also expanding its product portfolio with plans afoot to launch an ayurvedic skin care range.
Dabur India had forayed into the skin care market last year with the launch of rose-based skin care products under the ‘Gulabari´ brand name.