Tilaknagar Industries has announced that its wholly owned subsidiary, Prag Distillery, has received approval from the Andhra Pradesh government to begin production at its expanded manufacturing facility with immediate effect.
Following the expansion, Prag Distillery’s bottling capacity will increase six-fold, rising from 6 lakh cases per annum to 36 lakh cases annually. Last year, Tilaknagar Industries’ board approved an investment of ₹59 crore for the expansion project, including nearly ₹34 crore allocated towards licence fees and interest payments. The company has now completed the capital expenditure and related infrastructure development at the facility.
According to Tilaknagar Industries, the expanded capacity at Prag Distillery will be capable of meeting nearly 50 per cent of the company’s volume requirements in Andhra Pradesh, which remains a key market for the Indian-Made Foreign Liquor (IMFL) industry.
Commenting on the development, Ameya Deshpande said the capacity expansion would strengthen the company’s owned manufacturing footprint and ensure stable supplies for its flagship brands in Andhra Pradesh, which he described as one of the fastest-growing states for the IMFL sector.
News by Rahul Yelligetti.