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Novonesis bets ₹6,660 crore on Maharashtra to build emerging-markets enzyme hub


Krishna Mohan Puvvada, Regional President - Middle East, India and Africa

Krishna Mohan Puvvada, Regional President – Middle East, India and Africa
| Photo Credit:
Vishwanath Kulkarni G 9500

Novonesis is making Maharashtra the centre of its emerging-markets supply chain with a more than ₹6,660-crore, or €600-million, expansion that will nearly quadruple its Patalganga facility and create a manufacturing hub serving India, South Asia, the Middle East and Africa.

The investment comes as Novonesis sharply steps up capital expenditure globally. Net investments excluding acquisitions rose 81 per cent to €215.7 million in the first half, while full-year capex is expected at 12-14 per cent of sales. Although spending on Patalganga will be phased through 2030, the €600-million commitment is roughly comparable with an entire year of the company’s current global capital-expenditure programme, underscoring the scale of its India bet. Novonesis describes it as one of the world’s most advanced enzyme-production facilities and says the investment will increase capacity while making its global supply network more flexible and resilient.

The choice of India reflects a shift in where Novonesis sees its next leg of growth. The company said India, wider South Asia, the Middle East and Africa represent a growing part of its business and are expected to expand faster than developed markets in coming years.

“As demand for bio-solutions continues to grow across industries and regions, expanding our global production capacity is a priority,” said Anders Lund, Chief Operating Officer of Novonesis. Patalganga will increase scale and efficiency while bringing production closer to customers in key growth markets, he said.

INDIA BUSINESS SCALES UP

Industry estimates based on the latest corporate filings place revenue at Novozymes South Asia, the group’s principal Indian enzymes business, at ₹1,250-1,500 crore in FY25 after net sales increased about 27 per cent. That compares with estimated revenue of ₹343 crore in FY13, suggesting the business has grown roughly fourfold in 12 years. The estimates exclude other Novonesis Indian entities and don’t represent consolidated India turnover.

The physical expansion is equally substantial. Maharashtra environmental-clearance records show Patalganga’s built-up area is set to increase from 34,947 square metres to 128,186 square metres, adding approximately one million square feet. The company’s original investment in the facility, announced in 2016, was about ₹300 crore.

The additional capacity is being built as some of Novonesis’ major businesses expand rapidly. Globally, food-and-beverage sales grew 11 per cent in the first half of 2026, household care expanded 8 per cent, while agriculture, energy and technology grew 6 per cent.

Energy recorded double-digit growth, helped partly by increasing ethanol capacity in Asia-Pacific, biodiesel penetration and customer expansion in second-generation ethanol. Food-and-beverage demand was driven by areas including high-protein dairy, cheese, baking and beverages.

“This investment will not only support our long-term growth ambitions but also position us strongly to advance India’s growing bioeconomy,” said Krishna Mohan Puvvada, Regional President, Middle East, India & Africa at Novonesis.

GLOBAL CAPACITY PUSH

Patalganga is part of a wider manufacturing expansion as Novonesis brings production closer to major customers. It has also expanded facilities in Thailand, China, Brazil and the US.

The expansion comes as the company steps up capital expenditure. Net investments excluding acquisitions rose 81 per cent to €215.7 million in the first half, while full-year capital expenditure is expected to reach 12-14 per cent of sales. The €600-million Patalganga investment will be phased through 2030.

India provides a growing domestic market as well. The country has achieved 20 per cent ethanol blending, while greater production of compressed biogas and growth in food processing and industrial biotechnology are widening the potential market for enzymes and other bio-solutions.

The significance of Patalganga, however, extends beyond domestic demand. The ₹6,660-crore expansion puts India deeper into Novonesis’ global manufacturing network, using Maharashtra as a production base for faster-growing markets stretching from South Asia to the Middle East and Africa.

Published on September 2, 2026



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