ITC to invest Rs 20,000 crore in new manufacturing units in medium term: Chairman Sanjiv Puri

Diversified conglomerate ITC Ltd is said to invest Rs 20,000 crore in the medium term to expand its manufacturing footprint across sectors, Chairman Sanjiv Puri said on Friday.

As part of its growth strategy, the company has already set up eight new manufacturing facilities across FMCG, Sustainable Packaging and export-oriented Value-Added Agricultural Products in recent years, he added.

Puri said the company will prioritise its 'Bharat First' strategy-focusing on deepening its domestic presence, before making a significant overseas impact. He added that new brand launches are aimed at driving value accretion.

Future readiness is not merely about adapting to change, it is about anticipating, innovating and proactively shaping the future, Puri said.

65% of the company's revenue is from non-cigarette business.

ITC signed an agreement for acquisition of Century Pulp and Paper to scale up its paperboards business.

The proposed acquisition will substantially enhance capacity in a more cost-efficient fashion relative to a 1.4x higher investment and four-year gestation period required for a greenfield project of similar scale, the chairman added.

The Paperboards, Paper & Packaging Segment of the company witnessed a challenging operating environment, with low-priced Chinese and Indonesian supplies in global markets including India, soft domestic demand conditions, leading to subdued realisations.

ITC's portfolio of over 25 world-class Indian brands represents an annual consumer spend of over 34,000 crores and reach over 260 million households in India, the company said in a report.