Greenlam Industries Ltd. has received approval from the Government of Andhra Pradesh to set up a wood laminate and particle board manufacturing facility in Naidupeta with an investment of ₹1,147 crore.The proposed plant is expected to be the largest wood laminate manufacturing facility in South India. Once operational, it will produce 7 million sheets of high-pressure laminate and 2.9 lakh cubic meters of wood-based particle board annually.
The state government has approved tailor-made incentives for the project under Clause 8.3 of the Andhra Pradesh Industrial Development Policy (IDP) 2024–29. These include a 35% capital subsidy, a 2.25% annual turnover incentive, a ₹1 per unit power tariff subsidy, and exemptions or reimbursements on state duties. The total estimated value of the incentives is over ₹329 crore—more than 30% of the total project cost.
Greenlam plans to install a German-made Continuous Press System from Dieffenbacher GmbH. This will be the only plant in South India to use this specific technology, which the company says will adhere to global manufacturing, safety, and environmental standards.The investment comes amid growing demand in India’s engineered wood and home décor segments. According to market estimates, India’s home décor market was valued at $33.45 billion in 2023 and is projected to grow to $40.98 billion by 2028 at a CAGR of 4.14%.
The state government has approved tailor-made incentives for the project under Clause 8.3 of the Andhra Pradesh Industrial Development Policy (IDP) 2024–29. These include a 35% capital subsidy, a 2.25% annual turnover incentive, a ₹1 per unit power tariff subsidy, and exemptions or reimbursements on state duties. The total estimated value of the incentives is over ₹329 crore—more than 30% of the total project cost.
Greenlam plans to install a German-made Continuous Press System from Dieffenbacher GmbH. This will be the only plant in South India to use this specific technology, which the company says will adhere to global manufacturing, safety, and environmental standards.The investment comes amid growing demand in India’s engineered wood and home décor segments. According to market estimates, India’s home décor market was valued at $33.45 billion in 2023 and is projected to grow to $40.98 billion by 2028 at a CAGR of 4.14%.
In June, the company’s MD & CEO Saurabh Mittal told CNBC-TV18 that Greenlam is targeting an 18–20% topline growth in FY26, despite a challenging FY25 that saw margin pressure and a sharp drop in net profit. In FY25, Greenlam reported a revenue growth of 11.4%, below its initial guidance, with Q4 revenues up 9.2% year-on-year at ₹681.7 crore.
Shares of Greenlam Industries closed 1.73% lower at ₹241 on the NSE today, July 22. The stock has fallen as much as 19% this year so far.
(Edited by : Vipal Durge)
