Andhra Pradesh | HCCBL plans to invest Rs 1,127 crore in a new Vizianagaram unit and the expansion of its Srikalahasti facility.
Hindustan Coca-Cola Beverages Limited is preparing to invest Rs 1,127 crore in Andhra Pradesh, providing a major boost to the state’s beverage manufacturing and food-processing sectors. The proposed investment will be divided between a new manufacturing facility in Vizianagaram and the expansion of the company’s existing plant at Srikalahasti.
The Andhra Pradesh State Investment Promotion Committee has approved the proposal, according to reports. Of the total investment, Rs 842 crore will be used to establish the Vizianagaram unit, while Rs 285 crore will be spent on expanding operations at Srikalahasti. The projects are expected to strengthen Coca-Cola’s manufacturing capacity and distribution network across southern and eastern India.
HCCBL’s proposed Vizianagaram facility will be developed as a major beverage-manufacturing centre in North Andhra Pradesh. The first phase is expected to have three bottling lines with the capacity to produce up to 18 million cases annually.
The facility will manufacture several categories of beverages, including carbonated soft drinks, juices and tetra-pack products. This diversified production plan could help the company serve customers across Andhra Pradesh and neighbouring markets while reducing supply-chain distances.
The project’s second phase is expected to add two more bottling lines. These lines would contribute an additional annual production capacity of approximately 12 million cases, taking the planned combined capacity to nearly 30 million cases a year after both phases become operational.
HCCBL will invest another Rs 285 crore in its existing Srikalahasti facility. The expansion plan includes one packaged drinking-water line and two new lines for carbonated soft drinks.
Products expected to be manufactured at the expanded facility include Coca-Cola, Thums Up, Sprite, Fanta, Limca and Kinley. The additional capacity could strengthen the company’s supply network across southern India and help it respond to growing demand for packaged beverages and drinking water.
The Srikalahasti expansion also allows the company to build on its existing infrastructure instead of developing an entirely new unit. Its location in the southern part of Andhra Pradesh offers access to important markets and transport connections across South India.
The division of the investment between Vizianagaram and Srikalahasti is significant for Andhra Pradesh because it distributes manufacturing activity across two different regions. The new Vizianagaram facility is expected to support industrial development in North Andhra, while the Srikalahasti expansion will add capacity in the southern region.
The projects could also generate opportunities for local suppliers, logistics companies, transport operators, packaging businesses and other firms connected to the beverage-manufacturing ecosystem. Employment details and the construction schedule have not yet been officially disclosed.
Once operational, the facilities may improve regional sourcing and distribution while supporting the development of allied industries. The investment could also encourage additional private-sector projects in areas beyond Andhra Pradesh’s established industrial centres.
The investment comes as the Chandrababu Naidu-led government seeks to attract major manufacturing and food-processing projects through Industrial Development Policy 4.0 and Food Processing Policy 4.0 for 2024–29.
These policies focus on improving the ease of doing business, accelerating project approvals, developing industrial infrastructure and creating employment. They also seek to increase value addition in the food-processing sector and establish integrated manufacturing ecosystems.
HCCBL’s proposed investment fits into the state’s broader effort to diversify its economy and attract large private-sector projects. The government’s next challenge will be to facilitate land, utilities and infrastructure while ensuring that the approved projects move into construction and commercial production without delays.