The maker of Horlicks and Boost health food drinks, GlaxoSmithKline Consumer HealthCare Ltd, is planning to set up manufacturing facility in southern AP. It has short listed the locations at Nellore and Chittoor for the plant with an investment of Rs 1,000 crore to produce Horlicks and Boost branded products.
GSK is waiting for the AP government to pursue the special category status promised to it under the AP Reorganisation Act 2014 for clarity over tax incentive, before taking a decision. The main reasons for the GSK to finalize on the southern AP region is due the availability of low-priced land, proximity to farm produce consumed as raw material for health food drinks and access to four more southern stated.
The AP government bureaucrat, who confirmed the GSK team’s visits to a few locations in the southern AP region, said, “A few large MNCs, including Coca-Cola are also looking at setting up their large facilities but are waiting for clarity over tax incentives through special category status.”