Coca Cola to set up 5 units in Nellore

Nellore: Leading beverages company Coca-Cola is setting up its unit at Indian Farmers Fertiliser Cooperative Limited (IFFCO) Kisan Special Economic Zone to launch fruit-based non-alcoholic beverages plant at Racharlapadu under Kodavalur mandal, which will be the biggest greenfield unit in Asia.

The multinational would invest Rs 1,200 crore on the project. The company had already entered into an agreement with the SEZ promoters to establish the unit and this would be its first major unit. It may be recalled that the company has been facing pressure from the State government over not utilising the 2,777 acre land allotted to it nearly two decades ago.

The Union government had also proposed to take back some portion of the land to use it for other purposes. IFFCO had acquired the land in Kodavalur mandal in 1996 to start a gas-based urea manufacturing plant by paying around Rs 3 crore as compensation to farmers.

But, the company had failed to promote units in the site and the district administration had written a letter to the SEZ to take back the land in 2015.

Meanwhile, the Coca-Cola came forward to set up its unit in the SEZ, offering solace to IFFCO. The beverages company would setup five units in the 150 acres allotted for them and the capacity is 570 bottles per minute from each unit.

District Collector M Janaki said the project would commence soon. “The company is getting ready to lay foundation stone for the project in a month or two.

After investors summit in Visakhapatnam, many companies are expressing interest to set up their units in the district, considering the infrastructure,” she said.

Further, Coca-Cola lags behind Thums Up and Sprite aerated drinks as well as rival Pepsi brand in the country. This prompted the Atlanta-based beverage giant to consider setting up a unit in South India. The company has 58 bottling plants in India and has four plants in Hyderabad.