A fire broke out in the milk powder-making unit of the Ongole dairy late on Thursday.
About 100 workers, who were working in the night shift in the dairy, escaped unhurt as the raging flames were put out by fire service personnel after fighting it for over three hours, Ongole Fire Officer M.V. Subba Rao said on Friday.
The fire, caused by a ''radiator burst'' in the unit, resulted in a loss of about Rs. 2 crore, sources at the dairy claimed.
A strong stench of burnt milk filled the air in the area as milk, which was under processing for powder, was reduced to ashes.
