MUMBAI: Godrej Agrovet Ltd (GAVL) plans to pump in USD 12-13-million, along with its partner, into its Bangladesh joint venture, ACI Godrej Agrovet, to expand capacity.
"We plan to inject funds of around USD 12-13-million along with our partner in FY 10 into the company to expand capacity," Godrej Agrovet's Managing Director, B S Yadav, said here.
ACI Godrej Agrovet is a 50:50 joint venture between Godrej Agrovet and ACI Limited of Bangladesh and manufactures poultry, fish, shrimp and cattle-feed besides having hatchery and breeding farm operations.
The company plans to expand its animal feeds capacity from the present 1.2-lakh tpa to 2.5-lakh tpa. This is expected to be done in about 6-months time.
"We also intend to raise the production of chicks from 1-million per month to 2-million per month," Yadav said, adding the time-frame for this is between 12-18-months.
Funds for fuelling the expansion will be raised through debt, equity, if needed, and internal accruals, he said.
The Godrej group company which is a leader in India in animal feeds, is betting big on this segment and intends to give a strong thrust to this business in the coming years.
The company is targeting a more than Rs 200-crore jump in its animal feeds business from Rs 960-crore in FY 09 to around Rs 1,150-crore in FY 10.