Hul eyes premium category growth with Rs 2,000 crore production boost

MUMBAI: Hindustan Unilever Limited (Hul) has announced a significant investment of Rs 2,000 crore to expand its manufacturing capacity over the next two years. The capital will be used to bolster production in fast-growing premium sectors, specifically within beauty, wellbeing, and home care liquids.

This move aligns with the company’s strategy to place larger bets on high-demand areas. By focusing on premium skin care, hair care, and liquid detergents, Hul aims to strengthen its position in markets where consumer preferences are shifting toward more specialised products.

The expansion will take place across multiple locations and will integrate advanced technology into the production process:

• Efficiency: Hul will use automation and digital tools to create a more agile supply chain, allowing for a quicker response to changing consumer trends.
• Sustainability: In line with the company’s environmental goals, the new facilities are designed to operate on 100 per cent renewable energy.
• Future-proofing: The investment aims to build a manufacturing network capable of supporting emerging digital sales channels and new product formats.

Hul chief executive officer and managing director Priya Nair, stated that the investment reflects a commitment to scaling brands and creating new categories for the future. She noted that the initiative underscores the company’s focus on building a resilient, technology-enabled supply chain that delivers better value to its customers.

By expanding its capacity in these specific segments, Hul is positioning itself to lead the next phase of growth in the Indian consumer goods market.