Amway India plans Rs 400-cr new manufacturing facility
Company registers 48.40 per cent growth for six months.
With an aim to meet the market demand, Amway India Enterprises Pvt Ltd- a major direct selling FMCG company in the country, is planning to set up a new manufacturing facility in the country at a total investment of Rs 400 crores.
The proposed facility is likely to be located either in South India or Western India.
“This new proposed facility will cater to South and Western regions of the country. We are in the process of identifying the land and it will be finalised by the end of 2011. We are already in talks with some state governments and held talks with Maharashtra and Orissa governments for the purpose. A total investment in this proposed facility will be around Rs 400 crores,” the sources close to the development told Business Standard.
Amway India manufactures its products through seven third-party contract manufacturers in the country, with Baddi-based Sarvotham Care being Amway India’s largest vendor (contract manufacturer).
Around 85 per cent Amway products sold in India are manufactured by third party vendors.
In the first six months of the calendar financial year 2011, the company’s sales turn over increased by 48.64 per cent to Rs 1,100 crores, against Rs 740 crores during the same corresponding period previous year.
The company has just launched the Nutrilite Kids of products. Products in the Kids range include Nutrilite Kids Chewable Calcium Magnesium, Nutrilite Kids Chewable Vitamin C, Nutrilite Kids Chewable Iron, Nutrilite Kids Chewable Concentrated Fruit & Vegetable, Nutrilite Kids drink mix in mixed fruit flavour. Presently, the company offers around 127 products in five categories - Personal Care, Home Care, Nutrition & Wellness, Cosmetics and Gift catalogue. Nutrition & Wellness products contribute 50 per cent of Amway India’s total turn over.