May 15, 2014
India''s Banas Dairy to set up US$30-million dairy plant
Banas Dairy, India''s largest milk union that markets Amul, will set up a US$30-million dairy processing plant in Varanasi, Uttar Pradesh - India''s biggest milk-producing state, with initial processing capacity of 500,000 litres per day and thethe capacity to double production.
Banas Dairy chairman Parthi Bhatol said, "We''ve completed the process with UP State Industrial Development Corporation Ltd for land acquisition at Karkhianv industrial area near Varanasi airport."
Banas has also acquired 40 acres of land in Kanpur and another 20 acres of land in Lucknow to set up two dairy processing plants, each also with US$30 million investment. Like the Varanasi plant, both the Kanpur and Lucknow plants will have the capacity to process 500,000 litres per day, expandable to one million litres per day.
"We will start with milk, curd and buttermilk packaging, and later add ice cream and other dairy products," said Bhatol.
Banas is a member of the Gujarat Cooperative Milk Marketing Federation.
Managing director of the Federation R S Sodhi said, "Amul is the most preferred milk brand in all milk markets in UP including Varanasi, which consumes 75,000 litres milk per day. Since Banas Dairy began procuring milk locally in UP based on Amul''s model of co-operatives, farmers in UP are getting better remuneration for their milk."
From 2013 to 2014, Banas Dairy registered a record turnover of US$468.6 million.