Nestlé India invests ₹85 crore in a new Maggi Noodles line at its Sanand plant, adding 20,600 tonnes of capacity to meet rising consumer demand.
In a direct response to the unwavering consumer love for its iconic brand Nestlé India has commissioned a new production line for Maggi Noodles at its facility in Sanand, Gujarat. The ₹85 crore investment is part of the company’s strategic plan to expand its manufacturing footprint and ensure it can consistently meet nationwide demand.
The new line will add a significant 20,600 tonnes per annum to the plant’s existing output. The Sanand factory a critical hub for Nestlé’s operations is currently running at 80% capacity, producing approximately 121,000 tonnes annually. This expansion will efficiently utilize the plant’s built-up capacity and enhance its overall output.
A Strategic Move for Supply Chain Resilience
This brownfield expansion—where new capacity is added to an existing facility—is a key component of Nestlé’s broader capital expenditure program outlined for the 2020-2025 period. By choosing to invest in its current infrastructure, Nestlé can accelerate capacity addition without the longer timelines associated with building a new plant from the ground up (greenfield project).
The primary goals of this investment are twofold:
- Meet Growing Demand: To efficiently serve the consistently high and growing consumer demand for Maggi Noodles across India.
- Strengthen Supply Chain: To build greater resilience into its distribution network, ensuring product availability and reducing logistical vulnerabilities.
Financed Through Internal Accruals
Highlighting the company’s strong financial health, the entire ₹85 crore investment for this project will be funded through internal accruals, meaning it will not require any external debt or financing. The project is scheduled for completion in the 2025-26 financial year (FY26).
This expansion underscores Maggi’s central role in Nestlé India’s portfolio and the company’s long-term commitment to strengthening its manufacturing capabilities within the country. It is a clear signal of confidence in both the brand’s enduring popularity and the growth potential of the Indian fast-moving consumer goods (FMCG) market