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Nandini, popular in Karnataka, Maharashtra, Goa, Hyderabad, Chennai, and Kerala, has now debuted in Delhi, offering products like milk and curd
Nandini has kept the prices of its products slightly lower than Amul and Mother Dairy in a bid to attract consumers. (Representative/PTI File)
Karnataka Milk Federation (KMF)’s Nandini brand recently entered the Delhi dairy market on November 21. While milk, curd, and ghee are currently being sold, it has plans to sell idli and dosa batter in the future.
This move by Nandini is set to challenge Delhi’s established brands, Amul and Mother Dairy. According to data, Amul and Mother Dairy dominate the dairy market in Delhi-NCR, where approximately 80 lakh to 90 lakh litres of fresh milk are consumed daily. Of this, Amul holds a 40–45 per cent market share, while Mother Dairy accounts for 35–38 per cent.
In FY24, Amul had a turnover of Rs 88,000 crore, while Mother Dairy reached Rs 15,000 crore. Karnataka Milk Federation, with a turnover of Rs 23,000 crore, will definitely have its sights set on Amul’s impressive figures.
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.
Amul and Mother Dairy hold approximately 70% of the dairy market share in Delhi. Nandini’s entry into this market has the potential to generate intense competition.
Nandini has kept the prices of its products slightly lower than Amul and Mother Dairy in a bid to attract consumers.
KMF intends to expand into other states, including Madhya Pradesh, Western Uttar Pradesh, Rajasthan, and Northeast India, within the next five years. The brand will launch by selling 1 lakh litres of milk per day in Delhi and plans to increase this to 10 lakh litres soon.
How will KMF Manage Quality Thousands of Kilometres Away?
According to a report in The Hindu Businessline, KMF has planned to send 1 lakh litres of milk per day from Mandya Milk Union to supply milk in Delhi and Haryana. This distance is about 2,500 kilometres, which will require five tankers of 33-kilolitre capacity to cover.
Every week, 25 tankers will be used to transport the milk. The milk will be processed in Rajasthan and then delivered to the markets of Delhi-NCR in retail packs. With this move, Nandini said that it will not compromise on the quality and freshness of its products.
Eye on Doubling Business in Five Years
KMF Managing Director MK Jagdish said that Nandini wants to double its business in the next five 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. Nandini has also planned to open Experience Centres and brand outlets to popularise its products.
In July 2024, Nandini achieved a significant milestone by collecting 1 crore litres of milk per day, demonstrating its commitment to expanding its production capacity. However, the Gujarat Co-operative Milk Marketing Federation (Amul) currently collects a considerably larger volume, reaching 2.6 crore litres of milk per day. This figure represents three times the daily collection of Nandini.
International Market
The Nandini brand has established a presence in countries such as Malaysia, Vietnam, Singapore, the UAE, and the US. Recently, coinciding with the T20 World Cup, the brand launched an energy drink and secured sponsorships with the Scotland and Ireland cricket teams.
Confidence in the Quality of Nandini’s Products
M Raghunandan, the brand’s marketing head in Delhi, stated that confidence in the quality of Nandini’s products and a robust distribution strategy will drive the brand’s popularity among consumers. He highlighted that following the Tirupati laddu controversy, Nandini secured an exclusive contract to supply ghee for the laddus, further bolstering the brand’s reputation.
Meanwhile, Mother Dairy Managing Director Manish Bandlish welcomed Nandini’s entry, asserting that the presence of organised players will foster greater growth within the dairy industry.
