Kolkata-based FMCG major Emami is planning to set up a manufacturing facility in Africa, expected to be operationalised by 2010, as it looks to strengthen its hold in the continent.
The company, which has been witnessing robust growth in the African continent, mainly in the skin-care range and over-the-counter (OTC) products, is mulling to invest around Rs 90 crore for the greenfield plant.
"We are having a very good response from the African market in the last three years. Our products are doing well there. So we are setting up a manufacturing base in Africa in the next 18 months in order to enhance our business there," Emami Director International Marketing Division Prashant Goenka told PTI.
Though he did not give any details of the exact location and the capacity of the manufacturing facility, Goenka said it would come up in the Common Market For Eastern and Southern Africa (COMESA) belt, which provides duty exemption.
COMESA comprises portions of North Africa, East Africa and Central Africa.
"With this facility, we would be able to access the African market easily. We will benefit from import duty that we are currently paying as well as save our delivery time," Goenka said.
He said the company has earmarked an investment of around Rs 90 crore and expects the facility to be fully operationalised by March 2010. The amount would be spent in construction and installing the ancillary units.
The new facility would manufacture Emami skincare products as well as its OTC products, which are marketed under the brand 'Himani'.
