Mother Dairy to invest Rs 750 crore for two new milk, fruits processing units

Mother Dairy expansion plans: Mother Dairy has announced plans to invest Rs 650 crore in setting up two new plants for milk processing and fruits and vegetables processing, aiming to meet the growing consumer demand. Additionally, the leading milk supplier in Delhi-NCR will allocate Rs 100 crore to enhance capacities at its existing facilities.Manish Bandlish, Managing Director of Mother Dairy Fruits and Vegetables Pvt Ltd, stated, "In our commitment to expand distribution and reach consumers, we have allocated a capital expenditure (capex) of over Rs 750 crore to enhance our dairy and fruits &amp; vegetables processing capacities across strategic locations."Mother Dairy is set to establish a dairy plant in Nagpur, Maharashtra, with an investment of approximately Rs 525 crore. The greenfield facility will boast a processing capacity of 6 lakh litres of milk per day, expandable to 10 lakh litres daily, catering to markets in central and southern regions.Bandlish further revealed plans to commission a new fruit processing plant in Karnataka under the Safal brand, with an investment exceeding Rs 125 crore. These ventures are projected to be operational within two years.In addition to these new facilities, Mother Dairy intends to reinforce capacities at its existing sites, with an investment of about Rs 100 crore. Presently, the company operates nine company-owned dairy processing plants with a total capacity exceeding 50 lakh litres of milk per day. It also uses third-party facilities for processing.For the horticulture segment, Mother Dairy operates four proprietary plants, while it collaborates with 15 associated plants for edible oil manufacturing.Despite facing challenges such as subdued summer demand and deflation in the edible oil sector, Mother Dairy anticipates a moderate growth rate of 7-8 per cent in volume terms for the fiscal year 2023-24, with a turnover of around Rs 14,500 crore in the previous fiscal.Established in 1974, Mother Dairy is now a wholly-owned subsidiary of the National Dairy Development Board (NDDB). It was initiated under the 'Operation Flood' program, aimed at transforming India into a milk-sufficient nation.Known for its 'Mother Dairy' brand, the company manufactures, markets, and sells a wide range of milk and milk products, including cultured products, ice creams, paneer, and ghee. It also offers edible oils under the 'Dhara' brand and various other products under the 'Safal' brand, including fresh fruits &amp; vegetables, frozen vegetables &amp; snacks, unpolished pulses, and pulps &amp; concentrates. In Delhi-NCR, it operates numerous milk booths and Safal retail outlets.(With PTI inputs)

Advertisement

Mother Dairy to invest Rs 750 crore for two new milk, fruits processing units

In addition to these new facilities, Mother Dairy intends to reinforce capacities at its existing sites, with an investment of about Rs 100 crore.

Advertisement