New Delhi. The milk producers' market in India has always been the center of the competition. In this series, Karnataka Milk Federation's (KMF) Nandini brand has entered the Delhi market. On November 21, milk, curd, and gheeweren started, and later full planning was done to serve the taste of Karnataka's special idli and dosa as well. This move of Nandini is like an open challenge for Delhi's established brands Amul and Mother Dairy. A figure shows that Amul and Mother Dairy dominate Delhi-NCR. About 80 lakh to 90 lakh liters of fresh milk is consumed here. Out of this, 40-45 percent is Amul's and 35-38 percent is Mother Dairy's. After Nandini's arrival, it will have to be seen whether this brand will be able to make its place in the competitive market of Delhi. And if it can, then how much?
In FY24, Amul had a turnover of Rs 88,000 crore and Mother Dairy had a turnover of Rs 15,000 crore. Karnataka Milk Federation, which has a turnover of Rs 23,000 crore, will definitely be eyeing Amul's numbers. Let us tell you that Nandini is already popular in states like Karnataka, Maharashtra, Goa, Hyderabad, Chennai, and Kerala. Now it has also made its debut in the national capital with products like milk and curd. Delhi is already dominated by major brands like Amul and Mother Dairy, which hold about 70% market share. In such a situation, Nandini's entry has worked like adding spice to the competition. The Nandini brand has kept the prices of its products slightly lower than Amul and Mother Dairy, so that it can attract consumers.
KMF has made its strategy clear. It wants to expand to other states like Madhya Pradesh, Western Uttar Pradesh, Rajasthan, and Northeast India in the next five years. The brand will start by selling 1 lakh liters of milk per day in Delhi, which it plans to increase to 10 lakh liters soon.
This rivalry was also clearly visible when Karnataka Chief Minister Siddaramaiah spoke at the launch of Nandini in Delhi on November 21. Sounding a kind of 'war cry', he said, 'If you cannot beat Gujarat (Amul) in production, you can at least catch up with it.'
How will KMF manage quality thousands of kilometers away?
According to a report by The Hindu Businessline, KMF has planned to send 1 lakh liters of milk per day from Mandya Milk Union to supply milk in Delhi and Haryana. This distance is about 2,500 kilometers, which will require five tankers with a capacity of 33 kiloliters to cover. Every week 25 tankers will be used to transport milk. The milk will be processed in Rajasthan and then delivered to the markets of Delhi-NCR in retail packs. In fact, with this move, Nandini has tried to give the message that it will not compromise with the quality and freshness of its products.
KMF Managing Director MK Jagadeesh said that Nandini wants to double its business in the next 5
years. Nandini's products will include milk, curd, ghee, and later idli and dosa batter. The brand has already created a strong network for the distribution of its products in Delhi. Not only this, Nandini has planned to open experience centers and brand outlets to popularize its products.
Nandini had set a record of collecting 1 crore liters of milk per day in July 2024. By doing this, the company had introduced its production capacity. However, Gujarat Co-operative Milk Marketing Federation (Amul) still collects 2.6 crore liters of milk per day, which is three times that of Nandini.
Nandini in the international market The
Nandini brand has made its mark not only in India but also in countries like Malaysia, Vietnam, Singapore, UAE, and the US. Recently, the brand launched an energy drink during the T20 World Cup and sponsored the Scotland and Ireland cricket teams.
Confidence in the quality of Nandini products
M. Raghunandan, the brand's marketing head in Delhi, said that confidence based on the quality of Nandini's products and aggressive distribution strategy will make it popular among consumers. He said that after the TirupatiLadduu controversy, Nandini has got an exclusive contract to supply ghee for laddus, which has further increased the reputation of the brand.
Welcoming Nandini's entry, Mother Dairy Managing Director Manish Bandlish said that the presence of organized players will lead to further growth in the dairy industry. On the other hand, Amul and Mother Dairy have prepared for strong competition based on their years of experience and market share.
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