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Highlights

• HUL will invest up to ₹2,000 crore over two years.
• Expansion targets premium Beauty & Wellbeing and Home Care liquids.
• New facilities aim to operate on 100% renewable energy.

Hindustan Unilever Ltd (NSE:HINDUNILVR) has announced a proposed investment of up to ₹2,000 crore to expand manufacturing capacity across fast-growing premium segments. The investment will be executed over a two-year period across multiple locations in India.

The company stated that the expansion will focus on premium categories within Beauty & Wellbeing, including Skin Care, Hair Care and Personal Care, as well as Home Care liquids. The move aligns with its strategy of concentrating on fewer and larger growth opportunities in demand-driven categories.

Focus on Premium Growth Segments
The proposed capacity addition is aimed at supporting demand in premium Skin Care, Hair Care and Personal Care segments, along with Home Care liquids. These categories have seen increasing consumer traction, prompting the company to scale up its manufacturing footprint.

By expanding production capabilities, HUL seeks to align supply capacity with evolving consumer preferences and category shifts toward premium offerings.

Technology-Led Manufacturing Network
The company indicated that advanced automation and digital technologies will be integrated into the expanded facilities. This approach is expected to improve supply chain efficiency and responsiveness to changing demand patterns.

The initiative is also intended to create a manufacturing network that can support emerging retail channels and high-growth formats, enabling faster market response cycles.

Sustainability Integration in New Facilities
HUL stated that the facilities developed under this investment plan will align with its sustainability agenda. The company has set a target for these units to operate on 100% renewable energy.

This focus reflects an integration of environmental considerations into manufacturing expansion decisions, alongside capacity augmentation.

Share Performance
HUL shares traded at ₹2,324.60 on February 19 at the time of writing, reflecting a marginal gain of 0.047% during the session.

Hindustan Unilever’s ₹2,000 crore investment plan signals a measured expansion in premium Beauty & Wellbeing and Home Care liquid categories. With an emphasis on automation, digital integration and renewable energy usage, the company is aligning manufacturing capacity with demand trends in higher-value segments.Market participants are likely to track execution timelines, capacity ramp-up and category-level performance as the two-year expansion plan progresses.

FAQs

Q1. How much is HUL planning to invest in capacity expansion?
HUL has proposed an investment of up to ₹2,000 crore over two years.

Q2. Which segments will benefit from the new capacity?
The expansion targets premium Beauty & Wellbeing categories and Home Care liquids.

Q3. What sustainability target has HUL set for the new facilities?
The company aims to operate the new facilities on 100% renewable energy.