Mumbai: Parag Milk Foods, which on Tuesday launched the fresh milk category, is targeting a 10 percent market share in Delhi-NCR from this segment in the current fiscal year, a top executive said. The fresh milk category will be under the company's Gowardhan brand.
"We are planning to expand our footprint in the Delhi and NCR region in the fresh milk category. We are targeting a 10 percent market share in the region in the fresh milk segment in the next eight months (August-March)," Parag Milk Foods chairman Devendra Shah told PTI.
The company on Tuesday also commenced commercial operations of its Sonepat plant, which it bought from Danone in April. Shah said the company plans to reach out to the regions within 250-300 km of the Sonipat plant. The fresh milk market in Delhi-NCR is close to Rs 1,000 crore, according to him.
"North is one of the key priority markets for us. Dairy products consumption is the highest in this region and this expansion will allow us to allow cow's milk reach Delhi-NCR and neighbouring regions," Shah said, adding that currently, 90 percent of the fresh milk supply in the region is buffalo milk.
Further, he said, the Sonepat facility has a processing capacity of one lakh litre per day and depending on the demand the company can increase it up to three lakh litre, going forward.
"We expect to reach full capacity of three lakh litre by the end of this financial year," said Shah. In the coming weeks, besides fresh milk, this facility will also manufacture products including flavoured milk, buttermilk, lassi, among others.
"We will begin to supply these products to the north and east markets from our Sonipat plant soon," he added. Parag Milk Foods, established in 1992, is a private
dairy FMCG company with a pan-India presence. It has its manufacturing facilities at Manchar in Maharashtra and Palamner in Andhra Pradesh.
Updated Date: Aug 28, 2018 16:19 PM