Gopal Snacks Ltd, a packaged snacks manufacturer, has recommissioned its Rajkot manufacturing facility at main plant and discontinued operations at its Gondal plant as part of efforts to consolidate production and streamline its manufacturing footprint.
The Rajkot facility, which was impacted by a fire incident in December 2024 and reported a loss of ₹47 crore, had remained non-operational thereafter.
The company has now completed reinstatement of the manufacturing facility and resumed operations after obtaining necessary approvals from relevant government authorities.
Expanded production capacity
The Rajkot facility will operate with an installed capacity of 1,05,233 tonnes per annum and manufacture a diversified portfolio comprising Gathiya, Namkeen, snack pellets and extruded snacks.
According to the company, reinstatement work relating to the corporate office and other support facility buildings affected in the fire is currently in progress and will not impact operational requirements at the Rajkot plant.
The company said recommissioning of the Rajkot facility and discontinuation of the Gondal unit would improve operational efficiencies and profitability.
Cost savings expected
Gopal Snacks expects lower power costs as the Rajkot facility will operate on a boiler-based system compared with the Gondal plant.
In addition, the company anticipates reduction in transportation expenses due to improved proximity to dealers in the Saurashtra region, along with lower labour and manufacturing-related costs as the facility is located near ancillary plants.
Other ancillary facilities manufacturing papad, spices and besan were not impacted by the fire incident and continued to operate normally.
The development aligns with the company’s strategy to scale up operations to meet growing consumer demand.
Expanding snacks business
Gopal Snacks currently operates six manufacturing facilities across India supported by in-house cold storage infrastructure.
The company exports its products to several international markets including Canada, the UAE, the UK and the US.