Indian fruit juice producer Manpasand Beverages is set to more than double its production capacity in the coming 12-18 months with the construction of four new production plants.
The company has acquired land and begun construction on three new plants, and is currently in the process of finalising a location for a fourth plant in the east of the country.
The four new plants will have a combined production capacity of 200,000 cases per day, which will add to Manpasand’s current output of 170,000 cases a day.
Manpasand Beverages chairman and managing director Dhirendra Singh said: “The fruit juice market across India has a huge potential for growth and is still considerably untapped. To take advantage of this huge demand, we have embarked on an aggressive expansion journey to more than double our production capacity within the next two years.
To meet the continual demand for our existing brands Mango Sip and Fruits Up, and to introduce more new brands in futures, we are setting up four new manufacturing units to cover the key markets of India. With the INR 5 billion ($73.3 million) raised through a [qualified institutional placement] issue recently we are well placed to fully fund these four new plants. Also, as we are close to debt-free, we can resort to debt funding as and when required in future.”
Since June 2015, Manpasand has embarked on expansion through strategic alliances in both the on-trade and off-trade. The company’s brands are available at Metro Cash & Carry, Havmor, Baskin-Robbins, Spar, and other major retail chains throughout India.
Dhirendra Singh continued: “Manpasand has a strong reach in the semi-urban markets of northern and western parts of India, and with the proposed plants, our aim is to tap markets in the south, east and northeastern parts of India too in future. As a proud Indian company, we believe in ‘Make in India’ and through these plants we are just reiterating our commitment to this initiative of the government. Once operational, these plants will not only add to our capacities and revenues, but will also generate employment for a few hundred persons in these locations.”
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