CHENNAI: Amway India, the country’s largest direct selling FMCG company, has plans to enter south for establishing its additional facility, probably after 2015, when the company’s contract manufacturing plant at Baddi in Himachal Pradesh achieves its full production capacity by that time.
Sharing the above information with the visiting journalists from Chennai who had made a trip to Amway’s Baddi plant in Himachal Pradesh recently, Yoginder Singh, Vice President – Legal & Corporate Affairs, Amway India, said the company would be exploring all possibilities of entering south as and when things had fallen in place on the expected lines, paving way for expansion.
“Over 95 per cent of the products sold by Amway India are now manufactured within the country through seven third-party contract manufacturers, including Sarvotham Care in Baddi, which has been manufacturing around 85 per cent of the products,’’ he said.
Recently, Amway has tripled production capacities at its leading vendor facility at Baddi by commissioning four new production lines at an investment of `55 crore. The first phase at Baddi saw an investment of `50 crore when the plant started its commercial production in May 1998. The total investment as on March 2010 stands at `105 crore.
“With over 100 worldclass health and beauty products, all in the form of powders, tablets and capsules, liquids and creams and toothpastes, the company has set a target for `2,500 crore turnover by 2012, on the basis of four parameters - business excellence, consumer experience, distributor experience and new products and brands,’’ Yoginder Singh noted.
“Our lead categories – Nutrition and Wellness and Cosmetics -- contribute 60 per cent to our revenues. Two brands - Nutrilite Protein Powder and Nutrilite Daily - are a `100-crore brand each,’’ he said.
N Vinay Kumar, Vice-President, Technical and Regulatory, Amway India, who took the visiting journalists on a guided tour of Amway’s Baddi plant, said that the company would be launching a variety of new products meant for children as also some other products for healthy ageing early next year.
Rajat Banerji, Regional Corporate Communications Manager, South, Amway India, made a power point presentation on the quality aspects of Amway products.