Friday, June 29, 2012
Coca-Cola to invest $5 bn in India over 8 years.
This investment is higher by $3 billion from the previous announcement made in November 2011 for a period of five years to enhance its operations in India.
"Coca-Cola will invest $5 billion in India between now and 2020. This investment in India is a part of $30 billion globally planned by the company. India aims to be among top five countries in Coca-Cola's markets. It is at present No. 7," chairman and CEO Muhtar Kent said.
The investment, along with its partners, will go on increasing bottling lines, adding new bottling plants, enhancing back-end chain infrastructure as well as marketing by the company, he added.
"We have robust investment plans as we have examined our business here. Why are we increasing it? Because we are absolutely confident this is the right decision considering the vast opportunities in India," he added.
In line with its plan to double revenue globally by 2020, Coca-Cola along with its partners had announced last year investments of $2 billion in India over the next five years to enhance its business operations, including setting up a new plant in the country.
The company has over 50 manufacturing centres across India.
Coca-Cola reported a growth of 20% in volumes for the quarter ended September 30 as compared to the same period last year.
Globally, the company reported volume growth of 5% for the first quarter. Volume growth in the quarter was well-balanced around the world, with solid growth in key developed markets, including North America (+2%), Japan (+3%) and Germany (+3%) as well as strong growth in key emerging markets such as India (+20%), China (+9%) and Brazil (+4%).