Haleon to set up 1st manufacturing unit in India, South Asia, invest Rs 2k cr

NEW DELHI: Haleon, formerly GSK Consumer Healthcare, will invest about Rs 2,000 crore (£175 million) to establish its first manufacturing facility in India and South Asia, as the UK firm doubles down on high-growth markets. The move follows the company’s recent investment in China, highlighting the increasing role of emerging markets, which account for about 35% of its business but contribute more than half of its growth.India, one of Haleon’s fastest-growing markets and the world’s second-largest oral health market, is expected to become one of the company’s top three or four markets globally over the next few years, global CEO Brian McNamara told TOI, citing sustained double-digit growth and significant headroom for expansion.India is a top-10 market for Haleon globally, though it currently ranks closer to the lower end of that ranking, with the US and China being its largest markets. Reflecting the market’s rising strategic importance, Haleon's global board is visiting India for the first time this week.The greenfield facility at Pithampur (Madhya Pradesh) is expected to come up over the next two to three years. It will help expand local production, enhance supply resilience and support future growth. At present, the company, which makes Sensodyne, Crocin and Eno, relies on third-party contract manufacturers.India has become one of Haleon’s priority growth markets since Sensodyne was launched here over a decade ago. With the country’s oral care market valued at £1.8 billion and Haleon’s share at over 70%, the company believes local manufacturing is critical to supporting its next phase of growth, McNamara said.“Oral care will continue to be Haleon's biggest focus, followed by wellness brands (Eno and Centrum) and its OTC portfolio (Crocin, Otrivin). Over the next three to four years, these represent a multi-billion-pound market opportunity, where we can capture significant share and deliver a strong double-digit CAGR,’’ Kedar Lele, president, Haleon India subcontinent, said.