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Dairy Sector in AP

AP stands as second in the country in milk production.

Plans to set up over 900 mini diaries with focus on supply chain.
Over 723 cr investments proposed in bulk milk cooling units.
965 cr Fodder development scheme planned in the state.
The per-capita milk availability of milk has grown 105 gram in 1970 to 343 grams.
The current milk production is at 11.25 million tones and the targeted reach 15
million tones
by 2020.
Large private sector players such as Heritage, Tirumala, Jersey.
Tirumala Milk Products Pvt Ltd set to establish 20,000 organic milching animal
Among top in artificial insemination.
Among 14 major Dairying states ( Cow Belt) for implementation of NDDBs NDP
AP Proposal for a 6000 cr State Milk Mission mission to increase the overall milk
to 496.31 LLPD ( 67% increase) and per capita milk production of 426 grams (58%
However the average per animal milk output is low in AP compared to states like
Punjab and Haryana
Though at the national level the private and co-operatives have a equal share in
milk production, in Andhra Pradesh the private sector is larger than co-operatives.
Its is expected that all stakeholders in the sector is to be ready with the necessary
eco-systems when milk production multiplies. Three new milk chilling and
processing facilities are being planned at Madakashira and Kalyanadurgam in
Anantapurand at Pulkal in Medak district. New bulk cooling plants are also being
planned for Warangal and W Godavari districts. Presently the state has 68 bulk
cooling units in 1318 villages. Government of AP intends to invest 723 crore for
expanding marketing facilities and cooling units in Tier II and Tier III cities.
Some of the Issues
Increased household income, rural employments are yet to be achieved despite
growth in
production of milk.
Lack of best feeding practices.
Reluctance of farmers to adopt better access to water, working capital, health
services and
more remunerative and reliable milk price.
Risk averse hence low level of adoption of technology ( investment in grade

animals, stopping
grazing in public places, removing paddy with green fodder etc)
Lack of awareness on dairy technology / equipments / processing / supply
per-capita milk availability of milk has grown 105 gram in 1970 to 343 grams.
Quality aspects.


Companies in AP
A B C D Agri Enterprises (P) Ltd
Amrut Industries Ltd
Andhra Pradesh Dairy Development Cooperative Federation Ltd:
Anantapur, Chittoor, Cuddapah, Guntur, Hyderabad, Kakinada,
Karimnagar, Khammam, Kurnool, Nandyal, Nizamabad, Ongole,
Rajahmundry, Vijayawada, Vishakhapatnam, Warangal
Bangarupalyam Dairy
Bastion Dairy Products Ltd
Creamline Dairy Products Ltd
Dodla Dairy Ltd
Durga Dairy Ltd
Esteem Foods Ltd
Heritage Foods (India) Ltd
Jyothi Dairy Pvt Ltd
Kamdhenu Cheese Specialities Ltd

Kavini Dairy Products Ltd

Koratla Dairy Products Ltd
Lakshmi Dairy
Lotus Chocolate Company Ltd
Model Dairy Pvt Ltd
Mother Dairy Hyderabad (APDDCF Ltd)
Nivee Agro Farms Pvt Ltd
Nutrine Confectionery Co Ltd
SmithKline Beecham Consumer Healthcare Ltd
Sri Godavari Food Products Pvt Ltd
Sri Vyshnavi Foods Pvt Ltd
Steel City Foods Pvt Ltd

K Durga Prasad, chief operating officer, Heritage Foods India Ltd, says,
"Earlier the market was monopolized by APDDCF and Visakha Dairy. Now,
there are many private players such as Heritage, Tirumala and Creamline
apart from others such as Masqati and Bilal.