Union Minister requested Amul to set up dairy projects in Vidarbha

India: Amul has shown interest in INR4 billion project. If the project is successfully established there would be increase in milk production by four to five times. Farmers will get the much needed relief due to the drought.

Vidarbha which houses 75 per cent of forests of Maharashtra has not been very attractive in the dairy market, compared to west Maharashtra's Kolhapur district which has much better production. Amul is planning to invest about INR25 billion to increase its milk processing capacity to more than 38 million litres per day in the next four years.

 
According to TechSci Research, if the dairy project is setup there would be much needed benefit to the farmers who are facing severe drought in the region. This would also help the company to penetrate into the market and increase its market share in the Indian dairy industry and would give a boost to the organized sector in the dairy Industry.

According to a recent report published by TechSci Research, “India Dairy Products Market Forecast and Opportunities, 2011 – 2021”, the market for dairy products in India is projected to grow at a CAGR of over 7% during 2016 - 2021. In 2015, North India dominated the country’s dairy products market, on account of increasing per capita expenditure, rising youth population, introduction of value added dairy products, changing consumption patterns, and growing penetration of international players. India dairy products market is witnessing a shift towards healthier products such as probiotic drinks, yogurts, etc. Few of the leading players operating in India dairy products market include Gujarat Cooperative Milk Marketing Federation Ltd., National Dairy Development Board, Karnataka Cooperative Milk Producers Federation Ltd., and Tamil Nadu Co-operative Milk Producers' Federation Limited, among others.