Dabur picks Tamil Nadu for its first unit in South India

Chennai: Homegrown FMCG MNC, Dabur Ltd, will set up its first manufacturing facility in South India, in Tamil Nadu. It has committed to an investment of Rs 400 crore over five years in this unit, with Rs 135 crore being pitched in the first phase.

On Thursday, Mohit Malhotra, CEO, Dabur India Limited, signed a memorandum of understanding with V Vishnu, Managing Director & CEO, Guidance Tamil Nadu, in the presence of the Chief Minister M K Stalin at the state Secretariat, in Chennai, for this.

The factory will come up at an area of 33.16 acres at a Food Park in Tindivanam, 110 km from Chennai, operated by the State Industries Promotion Corporation of Tamil Nadu (SIPCOT). It will produce a diverse range of products from the Dabur portfolio, including Dabur Red Toothpaste, Odonil and honey.

Dabur said the state-of-the-art multi-category manufacturing facility in Tindivanam will be among the company’s most-modern and environment-friendly facilities. This announcement comes eight months after the company’s board approved a proposal to take its manufacturing to South India by launching its 14th domestic manufacturing unit.

Rahul Awasthi, Global Head of Operations, Dabur India Limited, said, “The facility will also enhance our sourcing of agricultural produce from local farmers in Tamil Nadu.” Appreciating this, the state industries minister T R B Rajaa observed, “The new factory of Dabur will open up new opportunities for farmers in the nearby Cauvery Delta region to sell their agro produce to be processed in this facility.” 

“The company has been allotted 33.16 acres of land. We hope Dabur building its manufacturing unit will spur further investments into the Food Park in Tindivanam located in the northern part of the state, where at least three major footwear projects have come up,” a government source told DH.