Rs 3,00,00,00,000 capex project: This agri-business company to set up integrated palm oil complex in Telangana
The company plans to increase cultivation to 1,20,000 hectares by 2027.
Godrej Agrovet Limited’s (GAVL) Oil Palm business today announced that the company will be setting up an Integrated Palm Oil Complex in the state of Telangana. To be set up in the Khammam district, it will consist of a state the of art Crude Palm Oil mill along with the provision of setting up a refinery in the near future. The company will also establish a nursery with a capacity of up to 7 lakh saplings per year in addition to the seed production and research unit.
At the complex, GAVL will be setting up the first-ever seed garden in India. This seed garden can provide seeds for the planting of 90,000 acres of area and shall help Telangana state achieve targets for oil palm plantation.
GAVL will be investing Rs 300 crore over the next 3-4 years in setting up the integrated palm oil complex. Additionally, through its Samadhan Centres – a one-stop solution for oil palm farmers, the company would also provide advisory services on best practices / modern technologies, farm inputs (such as fertilizers, drip irrigation, pesticides, seeds, and harvesting tools) and services under one roof.
The company’s partnership with the State Bank of India would also support Oil Palm Plantation farmers during the gestation period. With 65,000 hectares of palm oil under cultivation across the country, GAVL plans to increase cultivation to 1.2 lakh hectares by 2027.
Godrej Agrovet Limited is a diversified, research and development (R&D) focused agri-business company, dedicated to improving the productivity of Indian farmers by innovating products and services that sustainably increase crop and livestock yields. The company has a market cap of over Rs 9,000 and has been maintaining a healthy dividend payout of 51.6 per cent.
On Friday, shares of GAVL ended the trading session in green, up 1.28 per cent to Rs 480.15 per share with an intraday high of Rs 481.30 and an intraday low of Rs 475.60.
The stock is up by 7 per cent in 3 months and over 20 per cent in 6 months. Investors should keep an eye on this Mid-Cap stock.
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