The Hindu Business Line : Dabur Foods to invest Rs 12 cr in Rajasthan packaging facility

The new facility will help the company cater to the northern and western markets of the country, which together account for 40 per cent of DFL's sales.

"The new plant is DFL's first foray into packaging in India. The plant will increase our capacity to package 40,000 kilolitres of juice and nectar in the first year, enabling us to cater to increasing demand. The economies of scale will make production more efficient and bring in revenues to the tune of Rs 20 crore from Newai, including Rs 5 crore through branded exports," said Mr Amit Burman, CEO.

Rajasthan is centrally located (for catering to the northern and western regions) and has a well-established transport network, essential for a food product. Besides, raw material and power are available at competitive costs.

Mr Burman said that the investment will help the company gain a competitive edge by being able to efficiently supply large quantities of juice to consumers and improve profitability.

Packaging of DFL's `Coolers' — a traditional fruit-based beverage — will be centralised at Newai. Speaking on the occasion, General Manager (Sales and Marketing) Mr Sanjay Sharma, said, "The location of the Newai plant will minimise our costs on freight and raw materials. With the centralised packaging for `Coolers' at the new plant, we are now gearing up to introduce more Indian variants and already have musk melon and lemon-barley in the pipeline."

The company plans to introduce `Coolers' in a new flip-top pack that gives a distinct identity to the brand and in two sizes, 200 ml and one litre.

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