Godrej Consumer Products has ÍouÍtlinedÍ its strÍaÍtegy toÍ reduce its global manufacturing footprint Íby 4Í0% by FY26, as parÍt of efforts to increase local prodÍucÍtion Íin India aÍnd achieve cosÍt savinÍgÍs Íto enÍhance profÍitability.
InÍvestments in Indian Manufacturing FacilitieÍs:
CurrentlyÍ, the mÍanufacturer of Cinthol and Good Knight opeÍratesÍ 36 plants, with 14 locatÍedÍ in India. Last fiÍscaÍl Íyear, it also invested INR 1,000 crÍoÍre Íin establÍishing twoÍ newÍ manufacturing sites Íwithin the country.
“We arÍe currently reÍviewÍing our manÍufaÍcÍturing footÍprint,” SudÍhir Sitapati, MD at ÍGCPL highlightÍed in the company’sÍ lÍatest annual repÍort. “ÍWe’re exploÍring the posÍsibÍilitÍy of shifting productiÍon froÍm internationÍal locations to India, aimÍiÍng Íto facilitaÍteÍ exports.”
CoÍntinueÍ EÍxploring:Í Godrej Consumer Products rÍecords Ídouble-digit volume growth ÍiÍn Q1
Strategic PrioritiÍesÍ for VoÍlume ÍGrowtÍh:
GCPL emphaÍsized Íits stÍrategiÍc priority ofÍ achieving double-digit voluÍme growth in crucial Ímarkets such aÍs India and InÍdonesiÍa tÍoÍ fÍuel its ambitiÍons for sustainable expansion. DespiÍte obstÍacles such as reducÍed consumption levels in India, theÍ company aÍchieved an orÍgaÍnÍic undÍerlyÍing volÍume growtÍh of about 7%, in line with Íits target of high single-Ídigit growtÍh for the fiscal yeaÍr. AdditiÍonally, GCPL reportedÍ a reductÍion inÍ overallÍ manageÍrialÍ poÍsitionÍs bÍy ÍconÍsoliÍdaÍtingÍ Íroles into larger, more impactful positioÍnsÍ and implementÍing advanced Ítools.
“The sustaiÍned volÍume growth reÍflects our abiliÍtÍy to aÍdapt toÍ mÍarÍket dynamics and capitalize on gÍrowth Íprospects. WeÍ are Íprogressing Íwell in our effoÍrts ÍtoÍ streamline costs anÍd reiÍnvestÍ them Íin driving Íprofitable and sustainable volume growth,”Í SitaÍpÍati commentÍedÍ. “WiÍth a steadfast commitment to achievingÍ annual volumeÍ growth targets oÍf 9-10Í% inÍ India over the coming yeÍars, we aim to estabÍlish a ÍstrÍong pathÍ for ÍfÍuture expansion anÍd leÍadership in the market.”Í SiÍtapati also noÍted that Íthe company Íhas rÍeduÍcedÍ its oÍveraÍll stocÍkÍ keeÍping uniÍts (SKUs) by approxÍimately 30%.
Last year, ÍGodrejÍ acquired Raymond’s conÍsumer care businesÍs throÍugÍh a slÍump sale for INR 2,825 Ícrore, which encompÍassed the transfer of iÍntÍellectuaÍl property Írights for Íits brÍands.
