Knauf, the German building materials company, plans to invest 350 million euros, or nearly Rs 3,720 crore, in India and build four additional plants, its Global General Partner Murat Akyildiz told NDTV. The proposed expansion would add to the company’s existing manufacturing footprint of two plants in the country.
Akyildiz said Knauf had discussed its first new plant project with Union Commerce Minister Piyush Goyal and had received assurances of government support. He did not disclose the location, investment schedule or commissioning timeline for the proposed facilities.
Knauf manufactures gypsum-based plasterboards and modern insulation systems and operates in more than 90 countries. The planned investment would deepen its local production capacity for construction materials, with the company saying it wants to serve the Indian market through domestic manufacturing rather than imports.
“We already have two plants in India. Now, our plan is to build four more plants in India, and we want to invest another 350 million euros,” Akyildiz said. “We are bullish. We have strong trust in the country and the government, and we are ready to invest.”
The company linked the proposed expansion to India’s economic growth, policy stability and efforts to attract international investment. Akyildiz said India’s large population had always represented market potential, while greater stability and openness to business had strengthened the country’s appeal to global companies.
For India’s construction sector, the announcement is significant because plasterboards and insulation systems are used in modern building and interior applications. However, the supplied announcement does not specify the production capacity of the proposed plants, the jobs expected to be created, their locations or whether the facilities will cater to particular regional markets.
Akyildiz said Knauf wanted to manufacture locally, create employment and retain more economic value in India. “We don’t want to import these things. We want to produce in India with Indian hands and make sure we’re creating value in the country,” he said.
The company also said its approach aligned with the government’s Make in India and Vocal for Local initiatives. The proposed investment follows discussions at the Berlin Global Dialogue, where Akyildiz said he heard Indian government representatives outline the country’s economic ambitions and development trajectory.
Knauf’s planned addition of four plants would expand its presence beyond its current two facilities. The company has not yet announced the sites, construction milestones, approvals or operational dates for the new plants, leaving those details as the next steps for the proposed investment.
