The dairy giant is expanding its footprint with a new processing plant in Itola, Gujarat, and another in Kuppam, Andhra Pradesh, as part of a strategic push to enhance its fruit and vegetable processing capacity.
Mother Dairy, an Indian dairy industry player, has declared plans to invest approximately Rs 600 crore in setting up two new fruit and vegetable processing plants in Gujarat and Andhra Pradesh. The move is part of the company’s ongoing efforts to expand its agricultural processing capabilities and strengthen its presence in the Indian market.
The first facility will be located in Itola, near Baroda in Gujarat, with an investment of over Rs 400 crore. This state-of-the-art plant will be dedicated to processing fruits and vegetables and is expected to be completed within two years, according to Manish Bandlish, Managing Director of Mother Dairy. The board of directors has already approved the project, and construction will commence soon.
“The Itola plant is a key part of our long-term strategy to boost production and provide fresh, high-quality processed products to our consumers. With the growing demand for nutritious and convenient food options, we are confident that this facility will play a significant role in meeting these needs,” Bandlish stated.
In addition to the Gujarat plant, Mother Dairy is also setting its sights on Andhra Pradesh, where it plans to build a second processing facility in Kuppam. This plant will require an investment ranging from Rs 150-200 crore. However, Bandlish mentioned that the land acquisition process is still underway, and the detailed project report (DPR) is yet to be finalised.
These new plants will expand Mother Dairy’s existing network, which includes three fruit and vegetable processing units in Ranchi, Bengaluru, and Mangolpuri (Delhi). Together, these facilities process over 2 lakh tonne of produce annually.
Mother Dairy’s diversification efforts also extend beyond fruits and vegetables. The company is constructing a new milk and dairy processing plant in Nagpur, with an investment of over Rs 500 crore. The Nagpur plant is slated to begin operations by 2026.
In a related development, the company has recently introduced a new idli-dosa batter for the Delhi-NCR market. According to Bandlish, the product has been well received by consumers, achieving a sales volume of one tonne per day. The company plans to assess the success of the product in April, which will determine whether it will proceed with a full-scale rollout involving an additional investment of Rs 5-10 crore.
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