Amul to augment its chocolate business by increasing its production capacity
Amul to augment its chocolate business by increasing its production capacity

India’s leading brand in dairy product business, Amul is now targeting to augment its chocolate business. Moved by the recent hike in the demand, company has decided to triple its chocolate production to meet the requirements.

The Kaira District Co-operative Milk Producers Union Limited, popularly known as Amul Dairy is marching further to increase its capacity at the Mogar plant from 3000 tons per annum to 12000 tons per annum. Mogar is the only chocolate plant in the entire network of the Gujarat Co-operative Milk Marketing Federation (GCMMF) - the apex body of all the district milk unions of Gujarat that markets brand Amul.

Being the fourth largest producer of chocolate in the country after Cadbury, Ferrero and Nestle, the company has witnessed a great demand in this segment and that reflects in its sales figures as they have shot up. Presently, Amul is producing 3000 tons of chocolate every year but its demand has gone up to 3500 tons per year, hence, forcing the company to increase its capacity. 

Speaking about the move, Dr K Rathnam, MD, Amul Dairy stated that the current chocolate making capacity which is 250 tons per month will be increased to 1,000 tons per month looking at the growth of the segment and to meet the increasing demand of Amul chocolates in the next 10 to 15 years, both from consumers as well as institutional level. Company will be investing Rs 100 crore for this.

Tenders for the capacity expansion have already been issued while the technical evaluation is going on. By end of next month, the board will take final call on technology. The expansion will be completed in next 12 to 15 months. Amul chocolates, especially dark chocolates and 150 gram bars, are being well received from consumers. Brand sees growth in this segment as people have started gifting chocolates instead of sweets during festive seasons, told Rathnam.

 
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