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Mother Dairy Targets ₹20,000 Crore Revenue with Launch of 'Pro' Product Range

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Mother Dairy Targets ₹20,000 Crore Revenue with Launch of 'Pro' Product Range
27 Mar 2025
5 min read

News Synopsis

Mother Dairy has set an ambitious target of achieving Rs 20,000 crore in revenue for the financial year 2026 (FY26). The company continues to explore new opportunities in the market by identifying gaps and introducing innovative products. With an aim to expand its footprint beyond the Delhi-NCR region, Mother Dairy is investing significantly in increasing production capacities and diversifying its product portfolio.

Introduction of 'Pro' Range of Protein-Enriched Products

On Wednesday, Mother Dairy launched its latest 'Pro' range of protein-enriched dairy products. The first product in this line is a milk variant containing 30% more protein than regular milk. Within the next three months, the company plans to extend this range to include curd, set curd, and paneer, catering to the growing demand for high-protein dietary options.

Addressing India's Protein Deficiency

Studies indicate that 70-80% of Indians fail to meet their daily protein requirements, despite the availability of protein in various forms. Mother Dairy’s Managing Director, Manish Bandlish, highlighted the importance of these new products, stating that many consumers struggle to increase their protein intake as it often requires adopting new dietary habits. By introducing protein-enhanced dairy products, Mother Dairy aims to make it easier for consumers to meet their daily nutritional needs without altering their regular eating habits.

Initial Market Rollout and Expansion Plans

The company has begun distributing 50,000 liters of its protein-enriched milk in the Delhi-NCR region. As demand increases, Mother Dairy plans to expand distribution to other cities, gradually increasing production volumes. This strategic approach ensures a steady market penetration and sustainable growth.

Competition and Market Trends

The dairy industry is witnessing a surge in protein-enriched product offerings. Rival brand Amul has also launched several high-protein products in the past two years, aiming to capture a larger market share. With the launch of its 'Pro' range, Mother Dairy is positioning itself as a key player in the health-focused dairy segment.

Financial Performance and Investment Plans

For the current financial year (FY25), Mother Dairy aims to achieve a revenue of Rs 17,500 crore, marking a 15% increase from the Rs 15,037 crore recorded in FY24. To support its growth plans, the company is investing Rs 1,400-1,500 crore over the next two years to enhance production capacity and strengthen its presence across India.

Infrastructure Expansion and New Processing Plants

Mother Dairy is expanding its infrastructure by setting up two new fruits and vegetables processing plants under its 'Safal' brand in Gujarat and Andhra Pradesh. Additionally, the company is enhancing production capacities at its existing facilities in Nagpur, Mangolpuri (New Delhi), and Etawah (Uttar Pradesh). These initiatives align with its goal of reducing dependency on the Delhi-NCR market and establishing a strong pan-India presence.

Boosting the Ice Cream Segment

With the summer season approaching, Mother Dairy is optimistic about the growth of its ice cream business. The company aims to increase its ice cream segment revenue from Rs 500 crore to Rs 650-700 crore this year. To cater to Indian consumers' preferences, Mother Dairy is also introducing raita and pudina-based buttermilk, focusing on traditional flavors instead of western alternatives.

No Immediate Plans for Milk Price Hike

Addressing concerns about rising dairy prices, Manish Bandlish assured that Mother Dairy has no plans to increase milk prices, as the current supply remains stable. In contrast, major competitor Amul recently reduced milk prices by Rs 1 per liter, reflecting market dynamics.

About Mother Dairy

Established in 1974 as a wholly owned subsidiary of the National Dairy Development Board (NDDB), Mother Dairy was founded under the 'Operation Flood' initiative—one of the world's largest dairy development programs aimed at making India self-sufficient in milk production. Today, the company is a leading player in the dairy industry, offering a diverse range of milk and milk products, including paneer, ghee, and ice cream, under the 'Mother Dairy' brand.

Apart from dairy products, Mother Dairy operates in the edible oil segment under the 'Dhara' brand and offers fresh fruits, vegetables, frozen vegetables, pulses, and honey under its 'Safal' brand. To meet evolving consumer needs, Safal has also introduced an 'Organic' range that includes fresh produce, pulses, spices, rice, millets, dry fruits, and wheat flour.

Conclusion

With a strong focus on innovation, expansion, and consumer-centric products, Mother Dairy is poised for significant growth in the coming years. The company’s investment in new product lines and infrastructure, along with its strategic revenue goals, will help it maintain its position as a leading dairy brand in India.

TWN In-Focus