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Prabhat Dairy plans to increase its annual turnover to ₹2,000 crore in next two years from ₹1,400 crore logged in last fiscal by launching its products across India and introducing new value-added products such as cheese, paneer, shrikhand, curd, ice-cream, flavoured and ultra heat treated milk.
Vivek Nirmal, Joint Managing Director, Prabhat Dairy, said a decision to tap the retail market across India was taken a year back based on the positive response received from consumers for the company’s products sold in bulk through the trade channel.
“We have sufficient milk processing capacity of 10 lakh litres a day. The capacity utilisation will increase substantially from the current level of 65 per cent once we launch new value added products and extend our reach pan India,” he said.
Retail revenueThe required infrastructure including depots, dealers and distributor network for all India launch has already been set up. The company expects revenue from retail business to double from ₹500 crore in two years.
In addition, Sarang Nirmal, Chairman, Prabhat Dairy, said the company has been working with farmers to bring down their cost by promoting use of maize silage as cattle feed. The only way to reduce farmers’ cost is to use locally grown corn as cattle feed, he said.
Corn silage can be made in farmers field by cutting corn into pieces and mixing with salt, jaggery, di-calcium phosphate and lactic acid bacillus. It needs to be stored in layers in air-tight bunker made of polythene sheets.
Prabhat plans to launch a series of new variants of milk products such as milk shake and ice-creams in small packs to tap the tier-II and -III cities in north, east and southern markets in six months.
New product launchIn order to ensure premium milk and milk products experience to customers, Prabhat has reorganised its product portfolio under four categories — Health, Taste, Health Plus and Taste Plus.
The health and taste category would include milk, curd, lassi, chaas, paneer, ghee and shrikhand. The health plus category will have ultra heat treated and fortified products and the ‘taste plus’ would serve the indulgence category with ice creams and milk shakes portfolio.
The company also plans to start exports to the SAARC countries. In the quarter ended June, the total revenues increased by 23 per cent to ₹360 crore.
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