Loan package for Aavin

CHENNAI, JULY 20. The National Dairy Development Board (NDDB) has sanctioned a Rs. 50 crore loan package for Aavin's marketing blitz in Chennai metropolis.

The NDDB has also given the nod for a Rs 170 crore proposal by Aavin to start five new milk chilling centres and an ice cream factory, besides modernising its existing dairy plants in the State.

Swamped with competition from private dairies and multinational milk products, the NDDB has asked all the State milk cooperative federations to step up its marketing and production.

And soon all products of the cooperative federations- from Aavin in Tamil Nadu to Mother Dairy in Delhi-across the country, would carry a common logo, to enhance the product image.

In Tamil Nadu, the Aavin's market share is about 60 per cent of the total milk sales in the State, while the private dairies jointly make up for the remaining 40 per cent.

In a bid to boost its sales, the Aavin would make efforts to sell the sachet milk and other dairy products through private outlets too, the State Dairy Development Minister, Mr. K. Sundaram, told reporters here today.

Mr. Sundaram said a new dairy plant would be set up in Dindigul at a cost of Rs. 8 crores, besides, the existing plants in Tiruchi and Ambattur would be modernised.

In addition to the 16 existing milk chilling centres, five more would be set up in various parts of the State-Morappur under the Dharmapuri milk cooperative union, Polur in Vellore district union, Sankagiri and Thalaivasal in the Salem milk union and Vilanguli in Tiruchi district union-at a cost of Rs. 5 crore each. As of now, Aavin procures 18 lakh litres of milk per day and with the modernisation of its dairy units, it hopes to raise the procurement to 29 lakh litres in the next five years.

In an effort to raise the Aavin icecream production from the present 1000 tonnes per day to 7000 tonnes, a new factory would be set up in Tiruchi and the existing plant in Ayanavaram would be shifted to the Ambattur dairy and modernised.

The Minister, along with the Transport Minister, Mr. K. Ponmudi, and the Highways Minister, Mr. T. Kiruttinan, visited Anand in Gujarat recently and held discussions with the NDDB Chairperson, Dr. Amrita Patel.