Panchamrut Dairy to foray into edible oil biz

After planning a foray into garlic, onion and ginger powder manufacturing, Godhra-based The Panchmahals District Cooperative Milk Producers' Union Ltd., or Panchamrut Dairy, will get into manufacturing of edible oil. The dairy will market corn oil under brand name 'Amul'.

The dairy will invest in the region of Rs 20-25 crore for setting up the manufacturing and processing plant. Panchamrut has already appointed a consultant for the project. The production is likely to be started within next two years.

"At present, we are in talks with Gujarat Cooperative Milk Marketing Federation Ltd. (GCMMF) to market the corn oil under the brand name of Amul. All things are expected to be frutified within next one year," said Bhupendrasinh Solanki, chairman, Panchamrut dairy.

"The poor farmers will get good prices for their production. We aim to improve their economic condition in association with the government. The successful cooperative model can be replicated into edible oil segment also," he added.

At present, Chikhodra-based Anand Regional Co-operative Oilseeds Growers’ Union Limited (ARCOGUL) is manufacturing edible cotton seed oil under the brand name of 'Anand'. The Panchamrut dairy's maize oil project will be more or less in line with the 'Anand' model.

"The Panchmahal and Dahod districts produce 80 percent of Gujarat’s total maize production. While contribution of tribals is high in the maize prodcution, such development can deliver them huge benefits. We are expecting 65,000 MT of maize production this year," said Milind Torvane, collector, the Panchmahals district.

Apart from this, Panchamrut Dairy is planning to set up another milk processing and milk-based product manufacturing plant, 'Panchamrut-3', for which the union plans to invest Rs 35-40 crores.