Lotte Wellfood to invest Rs 200 crore in Haryana

  • IANS
  • Stock Market News
Lotte Wellfood to invest Rs 200 crore in Haryana
Credit: © Reuters.

Chennai, Jan 31 (IANS) South Korean confectionery major Lotte Wellfood will be investing about Rs 200 crore in Haryana to make Lotte Pepero for the global market.The company’s subsidiary Havmor ice cream which is a 100% and one of the leading ice cream brands in western India has committed to a capital investment of Rs 436 crore in a new state of the art upcoming production facility in Maharashtra.

The Lotte Pepero facility, to be operational by mid-2025, will be strategically located alongside their existing state-of-the-art factory in Haryana, which is currently dedicated to the production of Lotte Choco Pie, the company said.

This marks Lotte Wellfood's first exclusive line set up outside of Korea for Lotte Pepero.

The new facility, while catering to global export demands, will also support in bringing Original and Crunky Pepero products to the Indian market.

Lotte Wellfood plans to focus on establishing Lotte Pepero as a premium brand in the local market, following the success of Lotte Choco Pie.

The company will initially target the premium market represented by large retail formats and e-commerce channels, expanding to smaller traditional channels in the future.

Commenting on the occasion, Lee Chang-yeop, the CEO of Lotte Wellfood, said: “We plan to actively expand our investments in the Indian market, which holds substantial growth potential. Following Lotte Choco Pie success in India, introducing Lotte Pepero will enhance Lotte’s brand strength and expand sales in the Indian market. We are also actively pursuing initiatives to create locally tailored Lotte Pepero products that resonate with the regional food culture and cater to the climate-specific dining preferences.”

He further added: “This investment aims to strengthen the position of Lotte brands in India, a country with a confectionery market worth approximately Rs 27,000 crore. Lotte India's sales performance reached Rs 654 crore in 2023, and we are targeting more than 20% growth in 2024."

Meanwhile, Havmor ice cream’s new plant in Talegaon in Maharashtra is expected to begin production from the second quarter of this year.

--IANS

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