Rajkot Dairy sets up state-of-the-art milk processing plant with NDDB's aid

Rajkot District Co-operative Milk Producers Union Limited, also known as Rajkot Dairy, has set up a state-of-the-art milk processing plant with the help of National Dairy Development Board (NDDB). The dairy claimed that the processing plant is a first of its kind in India.

The new processing unit is presently being run on trial basis and it would become fully operational by next month.

Once the plant commences its operations, the processing capacity of Rajkot Dairy would increase to 600,000 litres per day from the current 300,000 liters.

"We have set up a new milk processing plant which will improve the quality of our products. NDDB has supported to set up this plant," said Govind Ranparia, chairman, Rajkot Dairy.

Total expenditure incurred on the plant was about Rs 100 crore for which NDDB provided 82 per cent fund while the remaining 18 per cent was managed by Rajkot Dairy.

Additionally, Rajkot Dairy will set up a chilling centre near Wankaner with an investment of Rs 10 crore which will have a storage capacity of 100,000 liters. NDDB will fund Rs 5.50 crore for this project with the Dairy managing the remaining fund.

Govind Ranparia said, "The new processing plant is fully automatic and Rajkot Dairy is the only dairy in India which has this kind of hi-tech processing unit. Plant machinaries have been imported from Germany, France and Canada."

Rajkot Dairy plans to dismantle the current processing plant, which is almost three decades old.

"After the new plant commences operations, we plan to gradually dismantle the old unit and open that space for production of ice cream, cheese and other items under Amul and Gopal brand," said A C Sinha, managing director, Rajkot Dairy.

Sinha added, "We also plan to set up a fully automatic packaging plant in near future."

Rajkot Dairy is a member of Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets its products under the brand 'Amul'.

Over the last two months, Rajkot Dairy has increased the milk procurement price five times and it now pays Rs 580 per kg fat to milk producers. The dairy officials are planning to increase procurement price to Rs 600 per kg fat.

The turnover of Rajkot Dairy rose by 13.50 per cent to Rs 580 crore in 2013-14 from Rs 511 crore in 2012-13. Net profit of the dairy also increased by 62 per cent to Rs 5.60 crore in 2013-14 from Rs 3.46 crore in 2012-13.

The dairy's average milk procurement stood at 387,000 litres in 2013-14.