"Our investment in the joint venture is of $60 million, which includes investment on equity and other capital investment," Richard Lenny, chairman, president and CEO Hershey said.

Hershey has acquired 40 per cent stake of GBFL held by IL&FS, which now stands exited from the company, and shares from other sources.

Godrej would hold a 43 per cent stake in the company, renamed as Godrej Hershey Foods and Beverages, while the remaining six per cent is being held by company's mentor director A Mahendran.

"It will be a powerful partnership. We are confident of carving out strong business for us in the country. The large portfolio of Hershey's will enable quick forward movement," Adi B Godrej, chairman and MD, Godrej Consumer Products Ltd.

"We are using 60-70 per cent of the production capacity of both the existing plants. We are in exploration stage. After we identify Hershey's products for Indian markets, we may use the existing plants for local manufacturing," Godrej said.

The company, which has two manufacturing plants in Bhopal and Chittoor in Andhra Pradesh, is opening a third Eclairs manufacturing plant in Himachal Pradesh.

The JV would invest Rs 55 crore (Rs 550 million) in the coming year out of which Rs 25 crore (Rs 250 million) would be used for setting up the Eclairs manufacturing plant in Himachal Pradesh.

"The plant would be commissioned in another three months and Rs 20-30 crore (Rs 200-300 million) is the advertising budget for next one year," Mahendran said.

The company would continue to operate in juices and soya milk and will add host of new products from the Hershey's stable, he said.

Hershey's products are likely to hit the Indian markets by March next year and the JV is looking at 30 per cent growth in the company's turnover from the current Rs 415 crore (Rs 4.15 billion).

"The company will see 30 per cent growth in one year after the Hershey's chocolates come in," Mahendran said. In the long term, "we would like to manufacture chocolates in India. Initial option can be of partial imports of raw materials," Hershey Company Vice-President Ted J Jastrzebski said.

Hershey's would also hold share in Nutrine, GBFL's 100 per cent subsidiary which it acquired last month. "Hershey will continue to own its share in the parent company, as well as in Nutrine, its subsidiary," Godrej said.

The Godrej group is further looking at acquisitions of consumer product companies in the country and overseas markets like China and Indonesia, he said.