Dairy giant Amul has announced📣 major business expansion plans for the future. Will invest Rs 1,500 crore in the next 2 years.
The company will invest around Rs.1,000 crore in the next two years to set up milk processing plants🏭.
It will put in another Rs. 500 crore💰 on facilities for producing edible oils.
Amul, which is run by the Gujarat Cooperative Milk Marketing Federation (GCMMF) expects a 12-15% growth📈 in revenue in the current fiscal year.
The company earned over Rs. 38,500 crore during the last fiscal year🗓️.
Amul is optimistic about the future despite the serious economic turmoil😧 brought on by the ongoing COVID-19 pandemic.
This is so because lately, the demand for branded food products has been rising consistently👍.
Keeping this in view, Amul has started manufacturing sweets🍧 as well as bakery items.
The company which has already forayed⏩ into edible oil, will increase its presence by producing groundnut oil, cottonseed oil, sunflower oil, mustard oil and soybean oil.
They will be marketed🎊 under the new brand ‘Janmay’.
A Mixed Bag
Amul has experienced a sales decline📉 of 30 to 40% in the ice cream segment.
This is due to the fact that hotels🏨, restaurants and canteens were closed and marriage ceremonies🤵🏻👰 got cancelled😣 due to the Covid lockdown.
However, this loss has been compensated☺️ by the increase in the household consumption of its milk🥛 and other dairy products such as paneer, buttermilk and ghee.
Their sales were 15% higher during April-August as compared with the year-ago period.
Because of that, Amul is increasing↗️ its daily milk processing capacity to 420 lakh litres per day from the current 380 lakh litres per day.