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Food Business

Nestlé India boosts Maggi production with ₹105 crore investment in Gujarat’s Sanand factory

Nestlé India invests ₹105 crore to set up a new Maggi noodles production line at its Sanand plant in Gujarat, boosting capacity by 20,300 tonnes annually from FY26 to meet rising demand.

Y
Yash Singh
3 Jul 2025

Nestlé India has announced a significant expansion at its Sanand facility by installing a new production line for its flagship Maggi noodles. Backed by an investment of ₹105 crore, the move aims to meet rising consumer demand and strengthen the company’s manufacturing footprint in the country.

The new production line is projected to add around 20,300 tonnes per annum to the plant’s existing capacity starting FY26. Currently, the Sanand factory manufactures approximately 1,00,700 tonnes annually, operating at about 77% capacity utilisation.

This latest expansion is part of Nestlé India’s broader capital expenditure strategy spanning from 2020 to 2025, which includes both greenfield and brownfield projects across multiple product categories. The investment for the new line will be financed through internal accruals, underlining the company's robust financial health.

According to the company’s regulatory filing, this development aligns with its long-term growth strategy to proactively address evolving consumer preferences and market trends. Nestlé India’s leadership has stressed the importance of continuous innovation, purpose-driven branding, and adapting to changing consumer behaviours marked by a demand for variety and greater focus on nutritional impact.

The Sanand factory is among several Nestlé facilities producing Maggi noodles across India and remains central to its supply chain network.

This announcement also comes close on the heels of Nestlé India’s landmark decision to issue its first-ever bonus shares in the ratio of 1:1, subject to shareholder approval, underscoring confidence in sustained business momentum.

Through strategic capacity expansions and innovation-led initiatives, Nestlé India continues to reinforce its position in the dynamic Indian food and beverage market.

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Nestlé India boosts Maggi production with ₹105 crore investment in Gujarat’s Sanand factory