News Final.p65 - Indian Dairy Association

Dairy sector turnover to
touch ` 5 lakh cr
ACCORDING TO ASSOCHAM, with rapid increase in domestic demand for
milk and milk-based
products, the dairy industry
in India is likely to reach
about ` five lakh crore by
2015. Milk production is
likely to reach about 190
million tonnes in 2015 from
the current level of about
123 million tonnes,
according to a study titled
'Indian Dairy Industry: The
Way Ahead' released by
ASSOCHAM. India is the world's largest milk producer and accounts for
nearly 20 per cent of the total milk production of the world but almost all of it
gets consumed domestically. Growing at about 10 per cent annually, the
Indian dairy industry is predominantly controlled by the unorganised sector
which accounts for nearly 85 per cent. About eight crore rural families
across India are engaged in dairy production and the rural market consumes
over half of the total milk produce, said Mr. D.S. Rawat, secretary general
of ASSOCHAM. Owing to conventional dietary habits of Indian households,
about 60 per cent of milk produced is consumed in liquid form and the
remaining is consumed in the form of butter, clarified butter (desi ghee),
cheese, curd, paneer, ice-cream, dairy whiteners and traditional sweets, he
said. There is enormous scope ahead before the dairy industry for valueadded
products including custards, desserts, puddings, sauces, mousse, stirred
yogurt and nectars, Mr. Rawat added.
An Indian eats 300 ml
ice cream a year
AS COMPARED TO his
American counterpart
an Indian consumes
only half the amount of
ice-cream. In India, a
person consumes, on
an average, 300 ml of
ice-cream per year.
This is paltry compared
to the world average of
2.3 litre per capita per
annum. This interesting
fact came up at a
DECEMBER 2011
FITCH ASSIGNS 'BBB+'
RATING TO KWALITY DAIRY
Fitch Ratings has assigned a
moderate default risk rating to
Kwality Dairy with a stable
outlook on the back of the
company's strong procurement,
distribution networks and
client base."Fitch Ratings has
assigned Kwality Dairy (India)
Limited a national long-term
rating of 'BBB+(ind)' with
stable outlook," the credit
ratings agency said in a
statement.
It further added: "The ratings
reflect Kwality's wellestablished
position in the dairy
industry, with strong milk
procurement and distribution
networks and a strong clientele
comprising several large FMCG
companies and modern retail
chains."
COOKIES TO BE COSTLIER
According to industry sources
due to “significant inflation in
prices of most ingredients and
furnace oil” biscuit majors
including Britannia, Parle and
ITC Sunfeast have increased
the prices of biscuits by 8 to 12
per cent.
More specifically, the prices of
ingredients including milk and
milk derivatives, a lot of which
goes into these products, have
gone up quite dramatically in
the last one year forcing these
companies to take a price
increase at varying levels – up
to 12 per cent across
categories like cheese block,
processed cheese spread (plain,
pepper and capsicum), matka
kulfi (pista), cassatta ice
cream, chocolate burfi, coconut
burfi, and diced paneer.
INDIAN DAIRYMAN
DAIRY SCOOPS
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