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Reliance Plans ₹8,000 Crore Expansion to Boost Beverage Manufacturing Nationwide

Reliance Plans ₹8,000 Crore Expansion to Boost Beverage Manufacturing Nationwide

Reliance Plans ₹8,000 Crore Expansion to Boost Beverage Manufacturing Nationwide

Reliance Consumer Products to launch up to 12 new plants in a major expansion drive, aiming to disrupt India’s beverage market with affordable alternatives.

Reliance Bets Big on Beverages with ₹8,000 Crore Investment

Reliance Consumer Products Ltd (RCPL), the fast-moving consumer goods division of Reliance Retail Ventures, is preparing to invest between ₹6,000 crore and ₹8,000 crore over the next 12 to 15 months. This large-scale investment signals Reliance’s strongest push yet into the beverages segment and is expected to significantly enhance its production capabilities across India.

This aggressive expansion strategy comes as the company seeks to challenge dominant global players like Coca-Cola and PepsiCo, along with several local competitors. The planned investment will primarily be used to set up 10 to 12 new beverage manufacturing facilities nationwide, including both greenfield projects and co-packing plants developed through strategic partnerships.

Expansion to Add 12 New Manufacturing Units

Reliance’s upcoming investment will be its largest capital allocation in the consumer products space to date. The expansion blueprint includes the establishment of a mix of wholly owned greenfield plants and jointly operated co-packing units. This will allow RCPL to enhance its footprint in key regional markets and streamline product availability across the country.

As part of its partnership strategy, the company has already operationalized a manufacturing facility in Guwahati in collaboration with Jericho Foods and Beverages LLP. Another plant is reportedly under development in Bihar, further underlining the company’s commitment to building a robust production network.

At present, RCPL produces its beverage lineup across 18 facilities, each established and run in collaboration with strategic partners through joint venture arrangements. This model has enabled cost efficiency and faster scale-up, helping the company distribute its products more competitively.

Growing Beverage Portfolio Targets Mass Market

Launched in 2022, RCPL has rapidly grown into a formidable player in India’s FMCG landscape. Its beverage portfolio includes recognizable brands like Campa Cola, Sosyo, Spinner, RasKik, and Independence. These offerings are positioned strategically to appeal to value-conscious Indian consumers, with pricing that undercuts rivals by 20% to 40%.

A standout among its recent launches is Spinner, a sports drink priced at ₹10 and backed by former Sri Lankan cricketer Muttiah Muralitharan. The brand has been designed to compete directly with premium-priced drinks like Gatorade and Sting, while offering a cost-effective alternative to the youth and fitness market.

Reliance is leveraging a bold cost-leadership approach as a key driver to deepen its reach across diverse consumer segments and expand its market footprint. The company has set its sights on achieving nationwide distribution by March 2027, with the beverage portfolio expected to reach 70% market coverage by the end of FY2025–26.

Strong Revenue Performance Despite Seasonal Challenges

RCPL has already started reaping the rewards of its growing presence in the FMCG sector. For the fiscal year 2024–25, the company recorded ₹11,500 crore in total revenue. Within this, flagship beverage brands Campa and Independence each crossed ₹1,000 crore in annual sales.

However, despite this performance, the company faced headwinds due to unexpected early monsoon rains, which affected peak summer demand for beverages. Even so, the strong year-on-year growth reflects consumer acceptance of its affordable, mass-market product range.

Beyond beverages, the company’s product line extends into packaged foods and personal care items, including brands such as Sil, Lotus Chocolate, and Ravalgaon. This diversification positions RCPL as a broad-based FMCG player, allowing it to tap into multiple consumption categories with localized appeal.

Joint Ventures Drive Faster Market Expansion

RCPL’s reliance on joint ventures as a manufacturing model has been instrumental in accelerating its expansion. Rather than building all production facilities from the ground up, the company has focused on leveraging partnerships with regional players to co-manufacture and distribute its products.

This approach not only lowers capital expenditure but also speeds up time-to-market—critical in India’s dynamic and competitive FMCG environment. With plans to replicate this model in upcoming plants, RCPL is poised to scale efficiently and respond to evolving consumer trends with agility.

Targeting Market Disruption Through Affordable Innovation

Reliance’s capital deployment approach signals a definitive ambition to disrupt and redefine the landscape of India’s beverage sector. By offering budget-friendly alternatives to legacy brands, RCPL is positioning itself to win over consumers across Tier II, III, and rural markets. Its pricing, product localization, and distribution goals align with the broader ambitions of Reliance Retail to dominate every corner of India’s consumption economy.

While RCPL is still building its brand recognition, the speed at which it is expanding its footprint and product lines suggests a calculated bid to disrupt entrenched market leaders. With affordability and availability as core pillars, the company is set to redefine how mass-market beverages are consumed in India.

Final Thoughts

Reliance Consumer Products’ planned investment of up to ₹8,000 crore signals a bold and ambitious move to capture a significant share of India’s beverage market. Through a mix of joint ventures, aggressive pricing, and regional expansion, RCPL is targeting widespread market access and production scalability.

Its growing beverage portfolio—led by brands like Campa Cola and Spinner—underscores Reliance’s commitment to building a diverse, competitive, and affordable consumer goods empire. As the company continues to roll out new facilities and strengthen its logistics, its goal of achieving full national availability by 2027 appears well within reach.

If Reliance executes on this plan effectively, the Indian FMCG sector may witness a major shift in the competitive landscape, with RCPL emerging as a dominant force in beverages and beyond.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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