Nestlé India has announced a strategic expansion of its manufacturing footprint at the Sanand factory in Gujarat. The company plans to add a new Maggi Noodles production line, requiring an investment of ₹90 crore. This initiative, scheduled for completion in the 2026-27 financial year, aims to boost the facility’s output by 20,500 tons per annum to effectively meet growing consumer demand.
Strategic Manufacturing Expansion
As part of its ongoing capital expenditure strategy, Nestlé India is set to enhance the production capabilities of its Sanand factory. The company aims to add a new production line specifically dedicated to its iconic Maggi Noodles brand. This project serves as a key pillar in the company’s efforts to bolster capacity across both greenfield and brownfield sites to ensure a robust supply chain to support rising market needs.
Project Investment and Capacity Details
The expansion project involves an estimated capital investment of ₹90 crore, which will be financed entirely through the company’s internal accruals. The addition of this new line is expected to provide an incremental capacity of 20,500 tons per annum. Currently, the Sanand factory operates with an existing capacity of approximately 141,600 tons per annum, with a healthy capacity utilization rate of 80%.
Timeline for Execution
The company has confirmed that the capacity addition is slated for the 2026-27 financial year. While the Sanand site is the current focus for this expansion, Nestlé India continues to maintain high operational standards across its network of manufacturing facilities to ensure consistent availability of its product portfolio nationwide.
Source: BSE