Creamline Dairy Products Ltd., (CDPL), a subsidiary of Godrej Agrovet Ltd., is planning to invest ₹80 crore this fiscal on various initiatives, said a top executive.
“This year, we are committed to invest ₹80 crore. This is apart from the ₹400 crore already announced by our founder,” said Raj Kanwar, chief executive officer, Creamline Dairy Products.
“About ₹35 crore will be spent on setting up a new dairy [in Visakhapatnam], ₹35 crore on developing value added products and the remaining amount for improving and scaling up capacity,” he added.
CDPL, which owns the Jersey brand of milk products, has nine operating plants in southern states and Maharashtra with a capacity of 12 lakh litres per day.
The tenth plant at Visakhapatnam will be commissioned soon.
The project cost would be met through internal accruals and bank borrowings.
Mr. Kanwar said that at least 15 plants were required in the South. During FY19, the company expected to post revenue of ₹1,300 crore, against ₹1,157 crore reported for the comparable year earlier period.
Tamil Nadu would account for ₹350 crore and Karnataka ₹150 crore, he said.
New product for T.N.
To strengthen its share in the Tamil Nadu market, Mr. Kanwar announced the roll-out of Jersey Thickshakes, a value-added product, in three flavours.
