HUL to spend Rs 1,000 cr on new manufacturing facility in Assam

New Delhi: FMCG major HUL Monday said it plans to invest about Rs 1,000 crore to set up a new facility at Doom Dooma in Assam, while announcing a change in its management committee after the resignation of ED and VP, Sales & Customer Development, Punit Misra.



The new manufacturing unit will be in the vicinity of the existing factory premises in Doom Dooma. It is expected to be commissioned in early 2017 and will augment the production capacity of personal care products for HUL, the company said in a statement.

"This investment is subject to receipt of requisite approvals and clearances," it added.

At present, Hindustan Unilever Ltd has a manufacturing facility in Doom Dooma Industrial Estate of Upper Assam set up in 2001 and houses three units that produce personal care products (shampoo, skin creams and toothpaste).

"With over 15 years of operating experience in the state and considering the support from the state government and the local community, HUL has decided to set up the new manufacturing unit in Assam," it added.

Assam has been looking at attracting investment into the state by offering favourable policies that encourage and incentivise companies to set up manufacturing units.

It is also intended to encourage suppliers to establish units for packing material supplies, and it is expected that the new unit will lead to the creation of ancillary, logistics and warehousing opportunities within the region, HUL added.

"Given the attractive outlook that the company sees in personal care, the additional capacity will support the growth ambition and enable the business better serve its consumers," the statement said.

HUL has a wide footprint of manufacturing operations with over 30 factories located across India.

On the management committee change, HUL said Misra has decided to leave HUL to pursue an external opportunity.

Subsequently, Srinandan Sundaram, currently Vice President, Skin Care, will take over from Misra as the Executive Director, Sales & Customer Development, and will join the HUL Management Committee. The change will be effective from 1st September, 2016.

HUL CEO & Managing Director Sanjiv Mehta said: "Under Srinandan's leadership, the Hair and Skin Care businesses have seen strong growth fuelled by innovations and brilliant marketing.

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Updated Date: Jul 18, 2016 17:57:17 IST

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