In a major step towards the transformation of the Indian beverages market that is upbeat on its growth radar, Reliance Consumer Products Ltd (RCPL), the FMCG of Reliance Retail, has started to invest up to 8000 crore in the next 12-15 months to add beverages manufacturing capacity. Based on industry sources, the investment is expected to help it set up 10-12 new greenfields and co-packing plants in the country, something that will be RCPL's largest capital outlay in history.
This aggressive expansion strategy signals Reliance’s intent to challenge global giants Coca-Cola and PepsiCo, while also targeting price-sensitive regional players with a portfolio that includes Campa Cola, Sosyo, Sun Crush, Spinner, and RasKik.
"The capex is being done on a combined investment of Rs 6,000-8,000 crore by Reliance and some of its partners," a company executive said.
The Guwahati facility launched earlier this year, along with an upcoming plant in Bihar, will cater to regional demands. In total, RCPL currently manufactures beverages in 18 plants, all through co-investments. Notably, the Spinner sports drink, created in collaboration with former cricketer Muttiah Muralitharan, is competitively priced at ₹10 for a 250ml bottle.
Despite limited market availability, RCPL plans national rollout of its brands by FY27, targeting 70% market presence by next year. The strategy of the company is to target 600 million consumers of the mass market and to provide the local retailers with good trade margins.
As the beverage market in India is estimated to reach 1.47 lakh crore in 2030, the growth of RCPL signifies the fact that Reliance wants to emerge as the leader regarding FMCG products in the Indian market.
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