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Fonterra goes to India

Fonterra has announced a joint venture partnership with one of India’s largest consumer companies, Future Consumer Ltd, to produce a range of consumer and foodservice dairy products that will help meet the growing demand for high-quality dairy nutrition in India.

“It will allow us to prepare the groundwork and make the most of our expertise as we enter the world’s largest and fastest growing dairy industry. Consumer demand for dairy in India over the next seven years is set to increase by 82 billion litres – seven times the forecasted growth for China”, says Lukas Paravicini, Fonterra’s Chief Operating Officer Global Consumer and Foodservice.

Future Consumer Ltd is part of the Future Group which is leading the way in India by developing a new retail experience for consumers, with plans to launch 1,100 stores this year. The stores will be within close proximity of target consumers, and feature a complete digital experience both in-store and through a virtual market place.

GEA to build Asia’s largest milk production facility in India

During the first quarter of 2017, GEA in India received an order from the AmulFed Dairy (formerly Mother Dairy) in Gandhinagar, a unit of Gujarat Co-operative Milk Marketing Federation (GCMMF). The order, said to be for a ‘lower double-digit, million-euro amount’, is for a new turnkey dairy plant for the production of 150 tonnes per day of skim milk powder and 120 tonnes per day of dairy whitener/baby food. The milk powder plant is scheduled to begin production in 2018.

When completed, the plant will be the largest skim milk powder and dairy whitener plant in Asia. The company markets its milk and milk products under the Amul brand and its baby milk powder under the name of Amul Spray.

The plant, to be installed on a turnkey basis by GEA, will process around 90,000 liters per hour of milk to produce multiple value-added products. AmulFed already has two milk powder plants in same location supplied by GEA.  Together they make AmulFed the largest plant in Asia at a single location. The new plant features GEA’s most advance safety system and uses hygienic architectural design principles to make it one of the most advanced GEA has built to date.

India’s Dairy Products Market to Grow at CAGR 7%

According to TechSci Research report, “India Dairy Products Market By Product Type, Competition Forecast & Opportunities, 2011 – 2021’’, dairy market in India is projected to grow at a CAGR of over 7% during 2016 – 2021, due to growing demand for value added dairy products, rising disposable income levels and increasing health awareness among consumers. Changing consumer dietary patterns, rising awareness regarding nutritional values of dairy products, along with growing willingness of consumers to spend on non-conventional dairy products such as yogurts, probiotic drinks, etc., is propelling growth in India dairy products market.

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Russia looks to UAE and Indian markets for dairy products at Gulfood

Indian and Russian representatives attending the Gulfood event in Dubai have discussed the export of Indian dairy products to Russia. Negotiations took place between Rosselkhoznadzor, the Russian Federal Service for Veterinary and Phytosanitary Surveillance, and Santosh Sarangi, Joint Secretary of the Department of Commerce, Ministry of Commerce and Industry, India. The Agricultural and Processed Food Products Export Development Authority (APEDA) specialists, as well as Indian businessmen took part in the meeting.

During the meeting the parties discussed dairy product export to the Russian Federation and agreed to address a Russian-Indian Protocol on safe export of finished dairy products from India to Russia. The two countries plan to negotiate the issue in a teleconference in the beginning of March, 2016.

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Dairy segment growth increases in India

Credit rating agency Crisil said India’s organised dairy segment, which has been growing at a rate of 22 percent for past half decade, is expected to grow even faster in the next three years as rising disposable income and increasing quality consciousness lead to greater consumer preference for branded milk and milk products.

The rating agency’s analysis showed that northern India, especially Uttar Pradesh, Punjab and Haryana, which are big on milk production but have low organised dairy penetration, will witness the highest capacity addition.

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