Investment will be in newsprint expansion, multi-speciality hospital and edible oils marketing.
Kolkata-based Emami Group of Companies with interests in FMCG, newsprint, bio-diesel, edible oils, healthcare and real estate, has lined up an investment of Rs 660 crore in the Orissa market in the next couple of years.
The investment will be made on three different business verticals- a multi-speciality hospital, expansion of its existing newsprint plant at Balasore and marketing of edible oils in the state.
Manish Goenka, director, Emami Group of Companies “Presently, we have a newsprint production capacity of 150,000 tonnes per annum at our existing plant at Balasore and we will invest around Rs 500 crore in adding capacity of 130,000 tonnes. The capacity expansion plan is expected to be achieved within two years.”
Emami Group which has proposed to set up a 300-bed multi-speciality hospital in Bhubaneswar has already kicked off construction work on the project. The group is investing Rs 150 crore on this venture under the banner AMRI Hospital which is scheduled to be operational within 18 months.
Orissa is the second state after West Bengal where Emami is setting up its AMRI Hospital. The bed strength of AMRI Hospital, which is 700 at present, will be scaled up to 2000 over the next 18 months and this expansion will involve an investment of Rs 700 crore.
Also Read
Three more AMRI hospitals will come up in Kolkata in the next 18 months, said Goenka.
Emami Group on Wednesday, launched its brand of edible oils- 'Healthy and Tasty' in the city.
Speaking on the occasion, Aditya V Agarwal, director, Emami Group of Companies, said, “There is a huge opportunity in the packaged edible oils market in the country the size of which is estimated at Rs 10,000 crore and is growing at the rate of 8-10 per cent per annum. We will be investing Rs 1600 crore on the edible oils business in the next five years out of which Rs 600 crore will be on setting up two new refineries, Rs 70 crore on expansion of the Haldia refinery and Rs 100 crore on brand building.”
Emami clocked a turnover of Rs 850 crore in the edible oils business in 2009-10 and expects to increase it to Rs 1400 crore in 2010-11.
The Orissa market will contribute Rs 300 crore to Emami's edible oils business within a year of launch. The business turnover from the state is set to go up to Rs 1500 crore in five years.
In the edible oils business, Emami will have a network of 45 distributors and around 7000 retailers in the state. Orissa is the third state after West Bengal and Karnataka where the Emami Group has launched its edible oils.
The company plans to invest Rs 10 crore on the edible oils segment in the Orissa market over the next three years and has targeted to capture 12 per cent market share over the next two years.