Hindustan Unilever to invest Rs 1,000 crore for new facility in Assam

Hindustan Unilever Ltd (HUL) has proposed to invest Rs 1,000 crore for setting up a new manufacturing unit in Assam.

"It is also intended to encourage suppliers to establish units for making material supplies and it is expected that the new unit will lead to the creation of ancillary, logistics and warehousing opportunities within the region," the company said. 

India's fast moving consumer goods manufacturer HUL has planned to set up this new unit in the vicinity of its existing factory premises in Doom Dooma town in Assam, cited the company in a filing to the BSE on Monday. 

HUL expects to commission this new unit by early 2017 and the unit will increase the production capacity of its personal care products segment.  

The Government of Assam has been looking at attracting investment into the state by offering favourable policies that encourage and incentivise companies to set up manufacturing units, it said in a statement. 

"With over 15 years of operating experience in the state, and considering the support from the state government and the local community, HUL has decided to set up the new manufacturing unit in Assam," cited HUL. 

This proposal is consistent with HUL's commitment to 'Make in India' and a reflection of its priority to invest for sustained growth, it added. 

On Monday, the stock of Hindustan Unilever closed down 2.04% or Rs 19.15 at Rs 920.45 on the Bombay Stock Exchange(BSE).