Indo-German JV Benecore bets ₹200 crore on making diaper, sanitary napkin material in India

Benecore, a joint venture between Indian and German companies, is investing ₹200 crore to set up a manufacturing facility in Bhopal. The plant will produce absorbent core material used in diapers and sanitary napkins. This move aims to reduce reliance on imports, specifically from China, and cater to the growing domestic demand for hygiene products.

For investors, this development signals a strategic push towards import substitution in the FMCG supply chain. By establishing local production, Benecore targets a key component of the hygiene sector, which is seeing steady growth in India. The project also highlights the increasing focus on domestic manufacturing capabilities.

Investors should monitor the plant's operational timeline and the company's ability to secure long-term supply contracts with major FMCG brands. The success of this venture could encourage further investments in similar specialized manufacturing within the country.