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Nestlé India expands Gujarat plant with Rs 225 crore investment
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Saturday, 21 March, 2026, 08 : 00 AM [IST]
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Our Bureau, Mumbai
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In a strategic move to meet the rising domestic demand for chocolate and confectioneries, Nestlé India has announced a significant expansion of its manufacturing capabilities. The company has inaugurated a new high-speed production line dedicated to its popular brand, MUNCH, at its state-of-the-art factory in Sanand, Gujarat.
The expansion involves a fresh investment of ?225 crore, further solidifying Nestlé’s commitment to the ‘Make in India’ initiative. This new production line is equipped with advanced automated technology designed to enhance manufacturing efficiency while maintaining the high-quality standards associated with the brand.
The Sanand facility, which began operations in 2021, has quickly become a pivotal hub for Nestlé’s production in Western India. With this latest capital infusion, the plant’s total investment footprint has grown substantially, contributing to the local economy through both direct and indirect employment opportunities.
"The Indian confectionery market is witnessing robust growth, driven by evolving consumer preferences and increased penetration in rural markets," a Nestlé India spokesperson stated during the inauguration. "This investment in the MUNCH production line ensures we stay ahead of demand while leveraging the industrial-friendly ecosystem of Gujarat."
Consistent with Nestlé’s global sustainability goals, the new production line incorporates energy-efficient machinery and waste-reduction protocols. The Sanand factory already utilizes a significant percentage of renewable energy, and the expansion is designed to maintain a low carbon footprint even as output scales up.
The confectionery segment has been a primary growth driver for Nestlé India, with brands like MUNCH and KITKAT seeing double-digit growth in recent quarters. By localised production and increasing capacity in a strategic logistics hub like Gujarat, Nestlé aims to streamline its supply chain and ensure faster speed-to-market across the country.
This expansion marks another milestone in Nestlé India’s long-term plan to invest approximately Rs 5,000 crore in the country by 2025 to augment manufacturing capacities and research.
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