Amul Invests ₹650 Crore to Set Up First Fully Owned Mega Dairy Plant in West Bengal
Kolkata: In a significant boost to West Bengal's dairy infrastructure, Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets products under the iconic Amul brand, has announced an investment of ₹650 crore to establish its first fully owned, mega dairy processing plant in the state.
The decision marks a strategic expansion for Amul, which has traditionally focused on western and northern India. West Bengal, despite being a major consumer market, has remained relatively underpenetrated by organized dairy cooperatives. This new facility will be Amul's wholly-owned manufacturing unit in the state, reflecting the cooperative's long-term commitment to the eastern region.
Plant Capacity and Location
While the exact location is yet to be formally announced, sources indicate that the plant is likely to be set up in the Murshidabad or Nadia district, both known for their proximity to Kolkata and access to raw milk supply catchments. The facility will have a processing capacity of approximately 5 to 7 lakh litres per day (LLPD), expandable in future phases.
The plant will process milk into a range of products, including:
Pasteurized liquid milk (toned, double-toned, and full-cream variants)
Curd and buttermilk
Paneer and cheese
Butter and ghee
Ice cream and other value-added dairy products
Employment and Farmer Benefits
The ₹650 crore investment is expected to generate direct employment for approximately 500 people at the plant, along with thousands of indirect jobs in logistics, packaging, and distribution. More importantly, the plant will provide a stable market for local milk producers in surrounding districts.
GCMMF has indicated plans to onboard over 50,000 dairy farmers from West Bengal as part of its cooperative network, offering them fair prices, technical training, and veterinary support. This aligns with Amul's traditional cooperative model, which has transformed rural livelihoods in Gujarat.
Strategic Rationale
West Bengal currently faces a milk deficit of nearly 15-20%, with the state relying on supplies from Bihar, Jharkhand, and even Odisha. By setting up a local processing plant, Amul aims to capture a larger share of the state's growing dairy market while simultaneously reducing logistics costs.
A senior Amul official stated, "West Bengal offers immense potential. The per capita milk consumption in Kolkata is among the highest in eastern India, and with organized retail expanding, the demand for packaged, quality dairy is rising rapidly."
Timeline
The project is expected to be completed in 18 to 24 months, with commercial operations likely commencing by late 2027 or early 2028.
