ITC to invest ₹20,000 crore in medium term, eight new facilities already commissioned: Sanjiv Puri

At its annual general meeting, ITC Chairman Sanjiv Puri outlined the group’s multi-dimensional “ITC Next” strategy, which aims to build a future-ready moat across its portfolio in FMCG, agriculture, paperboards, food technology, and sustainable packaging. The strategy is an expansive blueprint for growth, sustainability, and digital transformation, reaffirming its commitment to “nation first” in an era marked by geopolitical turbulence and climate disruptions, in tandem with shifting customer preferences.

Puri termed the current global milieu a ‘critical TURN’, an acronym for turbulence, uncertainty, rapid change and novel strategies, asserting that Indian enterprises must proactively reimagine their future. “Future readiness is not merely about adapting to change. It is about anticipating, innovating, and shaping the future,” he said.

ITC will invest ₹20,000 crore across its verticals in the medium term, with eight new, state-of-the-art facilities already commissioned in FMCG, value-added agriproducts and sustainable packaging. Puri also highlighted the successful demerger of ITC’s hotel business into a separate listed entity, ITC Hotels, as a milestone to unlock value and pursue focused growth.

The FMCG business of the company, which already reaches over 260 million Indian households, launched more than 100 new products last year. Some of the notable developments last year include the expansion of its ‘Good-for-You’ portfolio with the acquisition of 24 Mantra Organic and Yoga Bar, launch of ‘Right Shift’, a clinically formulated brand for consumers aged more than 40, scale-up in frozen foods through the acquisition of Prasuma, offering over 170 frozen SKUs, and entry into natural baby care with the strategic acquisition of Mother Sparsh.

ITC’s ITCMAARS digital platform currently supports 2,050 FPOs and 22 lakh farmers across 11 states, offering precision agri-advisories, inputs, credit access, and market linkages. The company is also scaling up the cultivation of climate-resilient crops, pre-basic potato seed technology, and medicinal/aromatic plants on 4,000 acres. Its climate-smart agriculture (CSA) programme covers 31 lakh acres and aims to reach 40 lakh acres by 2030, while its rainwater harvesting and demand-side efficiency projects now span 18 lakh acres with estimated water savings of 1,400 million KL annually.

ITC has signed an agreement to acquire the Century Pulp and Paper unit to boost capacity in a cost-effective and time-efficient manner. The acquisition is expected to be EPS-accretive in year one and increase EBITDA per ton by 30-40% over the next two years. Additionally, its eco-friendly ‘Filo’, ‘Bioseal’, and ‘Fyba’ packaging products are experiencing accelerated growth, addressing the rising demand for biodegradable alternatives to single-use plastics.

Reiterating ITC’s global ESG leadership, Puri announced the company’s commitment to achieving Net Zero emissions by 2050, with a targeted 85% reduction in emissions despite ongoing growth. ITC has remained carbon-positive, water-positive, and solid-waste recycling-positive for over two decades. Its afforestation and biodiversity initiatives span 13 lakh and 6.4 lakh acres, respectively, contributing to employment generation, carbon dioxide sequestration, and ecosystem regeneration.

Concluding his speech, Puri emphasised the need for a “compassionate capitalism” that fuses economic growth with societal well-being. “Enterprises exist to serve both an economic and social purpose. We are building an institution that is a source of enduring pride for India,” he said.