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Diversification seems to be the name of the game for the Emami Group, whose core business of FMCG contributed almost 50% of its turnover a few years ago. The Emami Group has lined up investments of almost Rs 3,500 crore over the next three years for its paper, hospitals, retail, real estate and, more recently, cement and bio-diesel businesses. It expects 70% of its turnover to come from this segment alone. It is also mulling an entry into the power sector in the future.

While expanding its FMCG business, the group feels that the turnover from industries like paper or cement comes much faster compared with FMCG business, which is around Rs 500 crore. This segment will see investments of around Rs 125 crore in the current year.

“We plan to set up a second bio-diesel plant in Haldia in West Bengal after the first one is commissioned by November-December this year. The current one is a one-lakh tonne capacity plant being built on 25 acres. At present we, have already lined up almost 30,000 acres of jatropha plantation through contract farming in Orissa, Madhya Pradesh and Chhattisgarh,” Aditya Agarwal, director, Emami Group told DNA Money.

The group is investing another Rs 2,000 crore for its newly proposed cement plant in Chhattisgarh over the next three years. At present, Emami’s turnover from its hospital, retail and writing instruments business is around Rs 275-300 crore. A bulk of its turnover of around Rs 500 crore comes from its real estate business.