Amway India Enterprises Pvt Ltd is expecting its first own manufacturing facility in India, coming up in the Sipcot Industrial Estate, Nilakottai, to help it meet the demand of region's market. The company is investing around Rs 420 crore, to manufacture its various products including nutritional tablets and cosmetics.
The company, which today signed a memorandum of understanding (MoU) to invest around Rs 300 crore in its proposed facility in Tamil Nadu. However, it would invest around Rs 420 crore in the facility and plans are to commence commercail operations in the plant before the first quarter of 2015, said Anshu Budhraja, director and chief financial officer, Amway India.
“Last year we posted a sales turnover of Rs 2,130 crore in India and of this, close to 22 per cent is from Tamil Nadu. The facility would help us to cater to the requirements of the regional market,” he said.
The project has a mega project status as per the MoU signed with the state government and has various financial benefits. The company would increase its headcount signficantly with setting up of the manufacturing facility.
The heatlh and beauty products has high demand in India and the company has its proprietary, patented products to cater the segment, he added.
It currently has around 5,50,000 active customers in India. It has around 45 per cent market share in the total directo selling market of $1 billion in India, he added.