Cadbury India, a unit of US-based snacks company Mondelez International, plans to establish a new chocolate manufacturing facility in Andhra Pradesh, India, with an initial investment of more than INR10bn ($163m).
The new plant will be largest chocolate manufacturing facility in India and Mondelez's largest manufacturing plant in the Asia-Pacific region, according to the company.
The facility will be established in four phases. While the first phase is expected to be completed in mid-2015, the final one is forecast to be completed by 2020. The new facility is expected to create about 1,600 jobs by 2020.
Mondelez International president, India and South Asia Anand Kripalu said this investment will build on the company's success in India till date and ensure long term business sustainability.
"India is one of the priority emerging markets for Mondelez International. As leaders in the chocolate category in India and with aggressive growth plans for other categories, it heralds our commitment and intention for this market," Kripalu added.
The facility will be located in Sri City - a planned integrated business city which features domestic tariff zones, special economic zones, and free trade and warehousing zones on the Andhra Pradesh border.
Cadbury India has entered into an agreement with Sri City to take on lease about 134 acres for the facility.
Currently, Cadbury has five factories in India - in the states of Himachal Pradesh, Maharashtra, Karnataka, Madhya Pradesh and Andhra Pradesh.
In 2010, US-based Kraft Foods acquired Cadbury in January 2010, in order to take advantage of the company's strong presence in emerging markets like India. In October 2012, Kraft split into two separately listed firms - a global snacks business called Mondelez International, and a North American grocery business called Kraft Foods.
