Indian integrator Godrej Agrovet plans to invest $12-13 mln, along with its partner, into its Bangladesh joint venture ACI Godrej Agrovet to expand capacity.
The company is also targeting over 20% growth in its poultry feed business in the next fiscal.
ACI Godrej Agrovet is a 50:50 JV between Godrej Agrovet and ACI of Bangladesh. It makes poultry, fish and cattle- feed besides having hatchery and breeding farm operations.
The company plans to expand its animal feeds capacity from the present 120,000 t to 250,000 t per year in 6-months time.
“We also intend to raise the production of chicks from 1 mln/month to 2 mln/month in 12-18 months time,” said MD B.S. Yadav, adding that funds for fuelling the expansion will be raised through debt, equity, if needed, and internal accruals.
The Godrej group company, which is a leader in India in animal feeds, is betting big on this segment and intends to give a strong thrust to this business in the coming years.
The company is aiming over $40 mln jump in its animal feeds business from approx. $199 mln in 2009 to $238 mln in 2010.