Mother Dairy eyes 33% growth

Mother Dairy Foods Ltd (MDFL), a subsidiary of the National Dairy Development Board (NDDB) is eyeing over 33 per cent growth in its fast moving consumer goods (FMCG) business by the end of the current financial year, making it a Rs 2,000 crore food company.

The company has launched cheese for the Delhi and National Capital Region (NCR) and is planning to introduce in other key markets shortly, aiming to capture over 20 per cent of the market share in the next three years, while the cheese market in India is dominated by players such as Amul and Britannia and Dabon International among others.

"We have a great product at an affordable price. The launch of Mother Dairy cheese is part of our continued endeavor to build a national cooperative brand, by introducing innovative products into the market using pure, surplus milk from the co-operatives, combined with world class production techniques. Mother Dairy is positioned on its great taste and can bring food alive with its great taste and health. Mother Dairy cheese is made with cow's milk and hence is soft and can be used easily over a variety of dishes. Also it is made with calcium rich milk and is a great source of calcium, that is required by growing children."

Paul Thachil, chief executive officer (CEO), MDFL. The size of the national cheese market is estimated to be 6,000 metric tonne per annum (MTPA) and is valued at approximately Rs 125 crore.

Delhi accounts for about 20 per cent of this market. Mother Dairy's cheese would be manufactured in a unit in Maharashtra, which sources milk from co-operatives in Maharashtra.

At present, all products of the company are being produced from milk sourced from co-operatives from across the country. In the last fiscal, Mother Dairy sourced over 750 million litres of milk from co-operatives.

"The planned national expansion of the Mother Dairy brand is a significant effort to help co-operatives efficiently utilize and market their surplus milk and will ensure genuine wealth creation for rural milk producers through partnerships with state, district and village-level co-operative institutions," said Thachil.

The company has launched individually wrapped slices of 200 gm, a pack of 10 slices for Rs 52, cheese spread of 200 gm for Rs 35, and cheese cubes of 200 gm , a pack of 10 cubes for Rs 50.

However, the company has no plans of exporting cheese so far. Mother Dairy's other products include ice creams, dahi, lassi, flavoured milk, butter, dairy whitener and long life milk among others.