Dudhsagar Dairy to invest Rs 225 crore for expansion

The Dudhsagar Dairy will enhance capacity of its boiler, butter manufacturing, milk pasteurization and milk processing facility. The dairy plans to fund the whole expansion process, which is calls its vision 2020, in a phased manner. The dairy, which had procured 23.24 lakh litre of milk on January 14, 2008, aims to achieve the daily milk procurement level of 65 lakh litre of milk per day.

Recently, the dairy set up a packaging plant in its existing premises to manufacture mini pouches for butter. Apart from this, it started manufacturing of mini-pack of milk powder, which are used in airlines and hotel industry.

"To tap the growing demand of the milk market, Dudhsagar Dairy to invest around Rs. 225 crores in a phased manner by the year 2020. Under the investment, the capacities of refrigeration, boiler and milk processing will be jacked up. Besides, enhancing the milk pasteurization capacity is also on cards.

At present, our milk procurement is going up at 5-8 per cent per annum and we aim to achieve the daily milk procurement of 65 lakh litre of milk by 2020. Currently, we are focusing on the Delhi market," said Vipul Chaudhary, Chairman, Dudhsagar Dairy.

The Dudhsagar Dairy is likely to post Rs. 1,800-1,900 crore turnover in the fiscal 2007-08 from Rs. 1,482 crore for fiscal 2006-07. The dairy will declare its performance in its ensuing AGM, to be held in the days to come.