The Hindu Business Line : Reliance Retail enters dairy sector with liquid milk

Hyderabad, July 16 After fresh vegetables & fruits and FMCG products, Reliance Retail has stepped into the dairy products sector with a national ‘pilot’ launch of its liquid milk (family milk segment) in Hyderabad, its favourite testing market.

Available across 43 Reliance Fresh stores in Andhra Pradesh, the liquid milk branded Reliance Dairy Pure has a launch price of Rs 9 for a half-a-litre packet, according to a Reliance Industries (RIL) official.

Reliance Retail is at present procuring 10,000 litres per day at its procurement centre in Atmakur in Nellore district. The packaging, which is outsourced, is being done at Vikarabad in Ranga Reddy district. The national plans of Reliance Retail include launching 3 variants of liquid milk — family milk, low fat and whole milk. It would also diversify into a range of value-added dairy products, the official told Business Line here.

Phased roll-out

Reliance is planning to roll-out the liquid milk brands across the country in a phased manner. It is also firming up plans to enter the cheese-making sector.

While not divulging details on the dairy foray or the possible arrangement for procuring milk, the official said, in line with the retail format’s strategy, milk was being procured directly from the farmers at present. Reliance Fresh outlets incidentally sell packaged liquid milk from producers like Jersey Milk and Vijaya Milk along with select dairy products for the customers.

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