Amul goes global – sets up unit in Wisconsin

Amul Dairy – is set on marks to attain a dairy plant in Wisconsin, US very soon.

The only dairy union, AMUL is the first of its kind to start a dairy unit outside India and the formalities of acquisition is crossing the final steps.

Wisconsin’s total output for cheese is around 27 percent making it the top manufacturer in US. Back in 2015, Amul Dairy had made a tri-party agreement with a local producer of dairy to make dairy products in Waterloo village, New York.

In lieu of the tri-party agreement, AMUL and the local manufacturer in the US will be making three dairy products – i.e. ghee (clarified butter), paneer (cottage cheese) and shrikhand (hung sweet yogurt).

“We are looking at options to expand our US operations so that we can service the market there better. Presently, from Waterloo facility, we can at best service the eastern coast. The best option is to start our own operations there,” said a top official.

A team of octet directors from AMUL Dairy is already in the US to inspect dairy plant for acquisition.

“Once the directors return, we will be a position to understand how to go ahead with the acquisition,” said Amul Dairy’s chairman Ramsinh Parmar, who also heads GCMMF.

AMUL scores a total sales of Rs.60 crores from US including dairy products that are locally manufactured and that imported from India.

“With the new plant that is directly owned by us, we can start manufacturing fresh paneer, ghee, cheese, butter and possibly even fresh milk,” said the official.

“Thanks to the large presence of diaspora, dairy products like ghee and paneer has already become mainstream products in the US and there is huge potential. So, manufacturing such dairy products locally, makes sense,” the official added.

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