Reliance to Invest ₹8,000 Crore in Beverage Expansion: A Strategic Move
Reliance Consumer Products Ltd (RCPL) is set to invest between ₹6,000-₹8,000 crore to expand its beverage manufacturing capacity. This significant investment will fund the addition of nearly 10 to 12 new manufacturing facilities across India, enhancing competitiveness against major players like Coca-Cola and PepsiCo.
RelianceBeverage ExpansionFmcgInvestmentJoint VenturesReal Estate NewsJun 19, 2025
The investment will reportedly fund the addition of nearly 10 to 12 new manufacturing facilities across India. This expansion will include both greenfield plants and co-packing facilities operated with partners. This strategic move is aimed at boosting Reliance's competitiveness against major players like Coca-Cola, PepsiCo, and regional brands.
A significant portion of the new investment will go into joint ventures. For instance, a plant was opened earlier this year in Guwahati in collaboration with Jericho Foods and Beverages LLP. Another plant is reportedly under construction in Bihar. Reliance Consumer Products was launched in 2022 as a wholly owned subsidiary of Reliance Retail. Its portfolio includes a growing number of popular beverages under brands like Campa Cola, Sosyo, Spinner, RasKik, and Independence, as well as packaged foods and personal care products under labels such as Sil, Lotus Chocolate, and Ravalgaon.
The company currently manufactures beverages across 18 plants, all of which are run through joint investments. One of the newer offerings is Spinner, a ₹10 sports drink brand launched with former Sri Lankan cricketer Muttiah Muralitharan. This product is aimed at undercutting established players like Gatorade and Sting.
Reliance Consumer Products targets the lower end of the consumer market with a pricing strategy that undercuts rivals by 20 to 40 per cent. The company aims for full national availability by March 2027, with beverages reaching 70 per cent coverage by March 2026. Despite summer sales being impacted by early monsoon rains, Reliance Consumer Products reported ₹11,500 crore in revenue in 2024-25, with Campa and Independence each crossing ₹1,000 crore in sales.
This significant investment and strategic expansion highlight Reliance's commitment to dominating the Indian FMCG market, particularly in the beverage sector. By leveraging joint ventures and a competitive pricing strategy, Reliance is well-positioned to challenge established players and capture a larger market share.
Frequently Asked Questions
How much is Reliance planning to invest in its beverage expansion?
Reliance is planning to invest between ₹6,000-₹8,000 crore in its beverage expansion over the next 12-15 months.
What is the main goal of this investment?
The main goal of this investment is to enhance Reliance's competitiveness against major players like Coca-Cola and PepsiCo by expanding its manufacturing capacity and increasing market coverage.
What are some of the new brands launched by Reliance Consumer Products?
Some of the new brands launched by Reliance Consumer Products include Spinner, a ₹10 sports drink, and RasKik, among others.
How many new manufacturing facilities is Reliance planning to add?
Reliance is planning to add nearly 10 to 12 new manufacturing facilities across India, including both greenfield plants and co-packing facilities.
What is Reliance's target for national market coverage?
Reliance aims for full national availability of its beverages by March 2027, with 70 per cent coverage by March 2026.
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