INDIA - Mother Dairy's turnover grew by 9 per cent in the last fiscal to about Rs 7,850 crore helped by better sales in value-added dairy products and edible oils businesses.
Mother Dairy, a wholly-owned subsidiary of the National Dairy Development Board (NDDB), had posted a turnover of Rs 7,186 crore in 2015-16.
"Our turnover has increased by over 9 per cent to about Rs 7,850 crore (US$121.67 million) during 2016-17 fiscal. In value-added dairy products and edible oils, our growth was nearly 20 per cent," Mother Dairy Managing Director S Nagarajan told PTI.
According to Business Standard, the company sells value-added dairy products like ice cream, curd, paneer (cottage cheese) and ghee.
However, Mr Nagarajan said the company's sales in fruits and vegetables segment remained muted.
About 75-80 per cent of the company's sales come from dairy business, he said. The edible oil business contributes about Rs 1,000 crore (US$155 million), while fruits and vegetables add about Rs 600-700 crore.
Mother Dairy plans to launch new flavours of ice-cream soon as it targets higher growth this fiscal.
The company is a major supplier of milk in the national capital region with sales of about 30,000,00 litres per day through 800 milk booths. In other cities like Mumbai, Hyderabad, Kolkata and UP, it sells another 500000 litres per day.
It sells fresh as well as frozen fruits and vegetables under 'Safal' brand, while edible oils under 'Dhara' brand.
The company also has 400 Safal outlets in Delhi-NCR. Safal outlets are being operated on the franchise model, where the company provides basic infrastructure.
Mother Dairy has recently established a 25,000 tonnes per year integrated food and vegetable processing plant in Ranchi with an estimated investment of Rs 75 crore (US$1.16 million).
Last month, the company announced up to Rs 3 per litre increase in milk prices in Delhi-NCR and other cities, citing significant rise in procurement rates.
Mother Dairy had last increased the prices of poly pack in July 2016 and that of token milk in May 2014.
TheCattleSite News Desk