New Delhi, Oct. 12 -- Packaged foods company Britannia Industries will increase its investment in Tamil Nadu to Rs.550 crore from the earlier planned Rs.300 crore to set up a plant in the region. The company, in a statement on Monday, said it has signed a Memorandum of Understanding (MoU) with the state government in this regard.

The company plans to expand capacity in the state given a surge in packaged food consumption in India. "Britannia announced that it has enhanced its investment plans from Rs.300 crore to Rs.550 crore over a period of 7 years in Tamil Nadu," the company said in a statement. The proposed plant, with a land requirement of 85 acres, will manufacture a variety of snacking products.

The investment will help Britannia...