New Delhi-based Mother Dairy Fruit and Vegetable Private Ltd. is planning to enter three major Southern cities in a big way soon.
Mother Dairy, a subsidiary of the National Dairy Development Board, has been on an expansion mode by spreading its wings to other metros. It will enter Chennai within a month followed by Hyderabad and Bengaluru.
As per the plan, the company will firm up distribution network, and have 6,000 outlets (own and franchisee) in Hyderabad, Bengaluru and Chennai in the next six to nine months to sell its entire range of products. Besides, it will have its own retail outlets (10) in each city. Tirupathi-based Balaji Dairy will supply milk to Hyderabad and Chennai. Initially, the residents of Chennai and Hyderabad will have access to milk and milk products. But, those residing in Bengaluru have to wait for some more time for Mother Dairy milk. Briefing reporters, Mother Dairy Fruit and Vegetable, Business Head Milk, Sandeep Ghosh said: “We are going to storm Chennai in a month’s time with 20 products ranging from milk to lassi, yoghurt, milkshake and to flavoured milk. All these three cities account for milk consumption of 66 lakh litres per day, and we want to capture at least 10 per cent of it.” Mother Dairy is working on a unique home delivery model to deliver milk to customers at the door-step at no extra cost. “Even then, we will be cheaper than others. We do not want to increase the price at least for the next three-four months,” he said.
In 2013-14, Mother Dairy clocked a revenue of Rs.6,500 crore.
The milk division accounted for Rs.4,500 crore, milk products Rs.900 crore, frozen foods Rs.700 crore, and horticulture Rs.400 crore. The company has set itself a target to reach Rs.10,000 crore-mark by 2017.
