Britannia to invest Rs 200 crore

KOLKATA: Britannia Industries Limited (BIL) is investing close to Rs 200 crore in setting up four greenfield manufacturing units to ramp up capacity and meet its topline growth in the bakery business.

“We are growing at over 20% in bakery business. We are setting up new factories to cater to growing demand. The first of these factories will come up in Bihar. It is due to be commissioned within a few weeks. Within the next few months we will also commission new company-owned units in Orissa and Karnataka within months and another one in the western region,” Vinita Bali, managing director, BIL said after the company’s 92nd AGM. “We are making investments of Rs 50-60 crore in each of these factories,” she added.

In Q1 of 2011-12, BIL’s consolidated net profit rose 39% to Rs 39 crore even as its consolidated revenue rose 21% to Rs 1,208 crore. BIL has bought out its partners in each of its operating business in dairy products, breads and in two companies -- Strategic Food International Company (SFIC), and Al Sallan Food Industries in the Middle East. Following the move, these are now 100% subsidiaries of Britannia Industries.

In dairy, BIL’s partner was Fonterra, while it bought over the stake of Khimji Ramdas group in its Middle East companies. However, BIL’s business in Africa is being affected by the economic and political uncertainity in countries like Libya, she said.