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Mother Dairy
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Dai
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Mother Dairy
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Type Cooperative
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 Founded 1974

Headquarters Delhi, India

Paul Thachil, CEO, Mother Dairy India Ltd

Key people
Mr. Sunil Bansal CEO Hortilculture SBU

Industry Dairy

Products See Products

Revenue ?

Employees 2500

www.motherdairy.com
Website
www.safalindia.com/

Mother Dairy, set up in 1974, is a wholly owned subsidiary of National Dairy Development
Board (NDDB) of India.
[edit] Products
Mother Dairy's range of products include the brands Mother Dairy (milk, milk products, curd, ice
cream, butter, etc), Dhara (range of edible oils) and Safal (range of fresh fruits and vegetables,
frozen vegetables, fruit juices).
Mother Dairy Fruit and Vegetable Pvt. Ltd. offers the following products: Mother Dairy markets
dairy products like Liquid Milk, Ice Creams, Flavoured Milk, Dahi, Lassi, Mishti Doi, Ghee,
White Butter, Table Butter, Cheese, UHT Milk, Dhara range of edible oils and the Safal range of
fresh Fruits & Vegetables, Frozen Vegetables and Fruit Juices at a national level, through its
sales and distribution networks, for marketing food items. Mother Dairy milk (Bulk Vended
Milk) is fortified with vitamin A @2000 IU per litre of milk as a part of social accountability.
This program was started with the Mother Dairy, Delhi, since February 1980and there after
Mother Dairy is continuing this program on their own as a social responsibility without having
any financial assistance from the Government as well as since it is felt that BVM is generally
consumed by the middle / lower middle / poor strata of the society. It is also found that the
dietary practices adopted by these classes are deficient in Vitamin A. Mother Dairy sources
significant part of its requirement of liquid milk from dairy cooperatives. Mother Dairy sources
fruits and vegetables from farmers / growers associations. Mother Dairy also contributes to the
cause of oilseeds grower cooperatives that manufacture/ pack the Dhara range of edible oils by
undertaking to nationally market all Dhara products.
At Mother Dairy, processing of milk is controlled by process automation whereby state-of-the-
art microprocessor technology is adopted to integrate and completely automate all functions of
the milk processing areas to ensure high product quality/ reliability and safety. Mother Dairy is
an IS/ ISO-9002, IS-15000 HACCP and IS-14001 EMS certified organization. Moreover, its
Quality Assurance Laboratory is certified by National Accreditation Board for Testing and
Calibration Laboratory (NABL)-Department of Science and Technology, Government of India.
Mother Dairy markets approximately 2.8 million liters of milk daily in the markets of Delhi,
Mumbai, Saurashtra and Hyderabad. Mother Dairy Milk has a market share of 66% in the
branded sector in Delhi where it sells 2.3 million liters of milk daily and undertakes its marketing
operations through around 14,000 retail outlets and 845 exclusive outlets of Mother Dairy.
The company’s derives significant competitive advantage from its unique distribution network of
bulk vending booths, retail outlets and mobile units. Mother Dairy ice creams launched in the
year 1995 have shown continuous growth over the years and today boasts of approximately 62%
market share in Delhi and NCR. Mother Dairy also manufactures and markets a wide range of
dairy products that include Butter, Dahi, Ghee, Cheese, UHT Milk, Lassi & Flavored Milk and
most of these products are available across the country.
The company markets an array of fresh and frozen fruit and vegetable products under the brand
name SAFAL through a chain of 400+ own Fruit and Vegetable shops and more than 20,000
retail outlets in various parts of the country. Fresh produce from the producers is handled at the
Company’s modern distribution facility in Delhi with an annual capacity of 200,000 MT. An IQF
facility with capacity of around 75 MT per day is also operational in Delhi. A state-of-the-art
fruit processing plant of fruit handling capacity of 120 MT per day, a 100 percent EOU, setup in
1996 at Mumbai supplies quality products in the international market. With increasing demand
another state-of-the-art fruit processing plant has been set up at Bangalore with fruit handling
capacity of around 250 MT per day.
[edit] Quality Standards
Mother Dairy is an IS/ ISO 9002, IS 15000 HACCP and IS 14001 EMS certified organization.
Mother Dairy, Delhi has been awarded ISO 9001:2000 (Quality Management Systems), HACCP,
2002 RvA (Food Safety Management Systems) and ISO 14001:2004 (Environmental
Management Systems) Certifications. Moreover, National Accreditation Board accredits its
Quality Assurance Laboratory as per ISO/IEC 17025:1999 for Testing and Calibration
Laboratories, Department of Science and Technology, Government of India.
For most Delhiites, milk and Mother Dairy go together. For the past 30 years, lakhs have queued up at Mother Dairy
booths for their daily requirement of milk - brand loyalty at its best? Not a shred of doubt. Reason: years of trust in the brand.
Mother Dairy was set up by the National Dairy Development Board under Operation Flood in 1974, to overcome Delhi's [
Images ] severe milk shortage. Today, far from being the capital's biggest milk supplier, the wholly-owned NDDB co-
operative is the third-largest dairy player in the country (after Amul and Nestle [ Get Quote ]) with a well-diversified product
portfolio - not only a range of milk-based products, but also edible oils, frozen vegetables and fruit juices (the company has
bold plans to make a foray into frozen foods, too).

And in the past couple of years, it has tried to spread its wings outside Delhi to other key cities as well. The move has been
slow but sure. "Our aim is to garner bigger market shares in new markets," says an optimistic Paul Thachil, CEO, Mother
Dairy India Ltd.
He's targeting a turnover of about Rs 2,100 crore (Rs 21 billion) for the current financial year, a significantly higher than last
year's Rs 1,700 crore (Rs 17 billion). Does Mother Dairy really have a strong expansion and growth strategy?

Focused approach

In a nutshell, Mother Dairy wants to get into bigger markets and have bigger shares in those markets. The co-operative is
also expanding its product portfolio further to match rival offerings - particularly those of Amul. For the first 22 years of its
existence, liquid milk was the only dairy product that Mother Dairy offered.

It was in 1996 that it came up with ice-creams. But the real spurt came about four years ago, when it introduced curd,
flavoured milk, lassi and mishti doi. It introduced butter a year-and-a-half ago; ghee and UTH milk a year ago; and cheese,
about 10 months ago. And under its frozen foods and vegetables brand Safal, besides the introduction of corn and mixed
vegetables, it has plans to come out with frozen potato-based snacks in a few months.

So while the product portfolio has been growing, Mother Dairy has plans for reach out to newer markets - but the strategy
here is more product-specific. In liquid milk, it will initially concentrate only on four markets - Delhi, its home ground; the
Junagarh region and Ahmedabad [ Images ] in Gujarat; Mumbai [ Images ], which it entered a year ago; and Hyderabad,
where it moved in a little more than a year ago.

Says Thachil, "We have no plans to go everywhere with liquid milk. What's the need to get into those markets that already
have strong co-operative brands?" He cites the example of Karnataka [ Images ] Milk Federation's brand Nandini in
Bangalore, which has been operating strongly in the region.

"Our objective of getting into newer locations is not to make Mother Dairy larger, but to ensure that there is a large viable
distribution network and consumer brand to take care of surplus milk," he adds, reminding that Mother Dairy is still
essentially a co-operative and not a corporate.

In Mumbai, where the liquid milk market is close to 40 to 42 lakh (4 to 4.2 million) litres a day, only about 20-22 lakh (2-2.2
million) litres a day is in the organised market - and that too is highly fragmented with a number of smaller players with
shares of about 10,000-20,000 litres a day.

Mother Dairy claims a share of 170,000 litres a day, with the biggest player, Mahananda, selling about 800,000 litres a day
and Aarey and Amul about 250,000-300,000 litres a day each.

In Hyderabad, Mother Dairy claims it has a 15 per cent market share of the approximate 9-10 lakh (900,000 – 1 million) litres
a day of the organised market. "These are still early days in the two markets, but we are looking at 10-12 per cent growth in
the overall fresh milk segment," says Thachil.

Wider spread

However, as far as other dairy products are concerned, Mother Dairy plans to expand across the board. "Other than milk, for
most state federations, dairy products are still a small part of their operations. So we are taking our products to regions
across India, where we see enough market potential," says Thachil.
In ice creams, it was only two years ago that Mother Dairy entered its first market outside Delhi - UP and Punjab [ Images ].
Today, it's extended its operation to Haryana, Jaipur [ Images ], Mumbai and Kolkata [ Images ] as well. Next year, it plans to
go south to Hyderabad and Bangalore.

In the case of butter and cheese, it's present across north India, Mumbai and Kolkata, and has plans to enter Bangalore by
year-end. In UTH milk, it has entered Mumbai and the milk-short areas of West Bengal [ Images ] and north-east. For ghee,
although the current focus is the northern region, it has plans for a nationwide presence.

As far as Mother Dairy's non-dairy products are concerned, edible-oil brand Dhara has already has nationwide presence.

Product differentiation

While Mother Dairy still may not have a product portfolio as large as Amul, which is also expanding across the country in a
big way and is a much bigger player, it's doing its bit. Mother Dairy says the idea is not just to enter new markets, but to do
well in those markets - which means bigger market shares in the different product categories in whichever market it is
present.

The drivers will be value created through quality of the offerings as well as innovations in products. This will, of course, be
backed by relevant marketing and promotion campaigns.

Explains Thachil citing the example of ice creams, "We don't have a 60 per cent market share in ice creams in Delhi by
chance. The differentiation for the consumer comes in taste and quality."

He points out that more Indianised flavours have done exceptionally well, something that the co-operative has constantly
focused on. Apparently, its best-seller in take-home ice creams is not the regular Sundae, Jamaican Almond Fudge or
Hazelnut Swril, but an Indianised Sundae called Shahi Mewa Malai.

Adds Thachil, "We are bringing in mass Indian flavours which are building up in terms of absolute percentage of contribution.
Our attempt is to make the taste experience in ice creams as familiar as possible so as to increase consumption."

Take the case of curd. It started off very slow but today, Mother Dairy claims it's growing at close to 60 per cent year-on-year
in Delhi. Here again, the Indian flavour formula seems to have worked.

"While curd from an MNC player is probably based on international formulation, we formulated it to taste as close to home-
made curd as possible. If your offering fits well with the Indian consumer, the resistance is lower and acceptance more,"
says Mother Dairy's CEO.

Smart marketing

On the marketing front, Mother Dairy says it's trying to take its product campaigns and communications to a higher platform.
For instance, in the case of milk, the campaigns do not talk about the obvious benefits - milk is good for health, it has
calcium and so on - but rather it targets children and are created around ideas such as "The country needs you, grow
faster".

"We are saying we want children to achieve their ambitions faster. That the product is pure or healthy is a given for us," says
Thachil.
 As far as products such as butter, cheese and ice creams go, the campaigns have been created around "taste". For butter
again, the focus is on children. "Amul butter may be selling the most, but the advertising and promotions are almost always
targeted at adults," points out an analyst citing Amul's popular Utterly-Butterly campaigns.

Here, Mother Dairy has dared to go different. Since 60 per cent butter is consumed by kids, the company wants them to sit
up and take notice of its butter. Makkhan Singh, a sturdy jovial cow (a cartoon character) has been made its brand
ambassador.

While Mother Dairy has been carrying out school programmes - games and activities - involving Makkhan Singh in Delhi, it
has plans to take such activities to Mumbai and Kolkata as well. It also runs a gaming website on the character to attract
children.

It's cheese for children again. A couple of months ago, Mother Dairy carried out a retail activity: "Cheese khao superhero
ban jao", where kids buying cheese at a retail outlet were invited for a photo op - dressed as superheros - through Polaroid
cameras; and the framed photograph was presented to them. The activity was carried out in about 150 outlets in Delhi and
Mumbai, with about 20,000-25,000 snaps being taken.

Cheese was also something that helped the company bond better with its retailers. In November 2005, retailers in Delhi
displayed banners proclaiming, "Cheese ke saath bees ki cheez," a proposal that said if a consumer buys Mother Dairy
cheese, the retailer can offer him anything worth Rs 20 from the shop - which worked better than offering something free
with the product, which the consumer didn't even needs.

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This is the limited version of the Mother Dairy company profile: Join LinkedIn or Sign In to see
more information.
Mother Dairy markets & sells dairy products under the Mother Dairy brand, Dhara range of edible oils and
the Safal range of fresh fruits & vegetables, frozen vegetables and fruit juices at a national level through
its sales and distribution networks for marketing food items.

Mother Dairy is an IS/ ISO-9002, IS-15000 HACCP and IS-14001 EMS certified organization.... see more
Specialties
Dairy Industry
Your Connections to Mother Dairy
To see how you’re connected: Join Now or Sign In

Popular Profiles at Mother Dairy

• Narinder Bahga, General Manager (NGC), Noida
• Kiran Singh, Deputy General Manager - Corporate HR
• Shailendra Singh, Sr. Manager-Manufacturing
• DrRajeev Prasher, Senior Manager Quality
• Shashank Teotia, DGM HR
New Hires and Recent Promotions at Mother Dairy
• Shashank Teotia, DGM HR
was Manager HR - 3 months ago
• Anant G. Vaja, AM ( Manufacturing )
was I/C Quality Assurance - 3 months ago
To see more new hires & promotions: Join Now or Sign In

Last edited by Assistant Manager - IT at Mother Dairy Fruit & Vegetable Pvt. Ltd.

Key Statistics about Mother Dairy

Top Locations
• Delhi Area, India (107)

• Jūnāgadh Area, India (10)

Mother Dairy Headquarters Address

Patparganj W.E. Highway Goregaon-East
New Delhi, Delhi 110 092
India
Phone: 91 11 2247 1991
Secondary Phone: 91 11 2247 1992
Fax: 91 11 2247 5991

Headquarters Delhi Area, India

Industry Dairy

Type Privately Held

Status Operating

Company Size 2,500 employees

Founded 1974

Website http://www.motherdairy.co...

More Mother Dairy info »

Common Job Executive 20%

Titles Manager 11%
Officer 6%
Management Trainee 5%
General Manager 3%

Top Schools National Dairy Research Inst. 6%

Delhi Univ. 6%
Kendriya Vidyalaya 6%
Inst. of Management Tech., Ghaziabad 6%
Symbiosis institute of Management Studies 5%

Median Age 28 years

Gender Male 87%

Female 13%
Estimated based on LinkedIn Data

Companies related to Mother Dairy

Career path for Mother Dairy employees

before:
• National Dairy...

• Reliance Retail
See more Related Companies »

News
News about Mother Dairy
• Flour sale from Mother Dairy to begin next week
From: | November 17, 2009

• After pulses, Delhi Govt to sell wheat flour at discount rates

From: | November 18, 2009

• Rs 1.5crore civic bill for milk booth ads

From: | December 15, 2009
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