Premiumisation and expansion into new markets key focus areas: Mother Dairy MD

Mother Dairy is prioritizing premium products and expanding into new markets. The company is also strengthening its distribution network and increasing its presence on quick commerce platforms. This strategy aims to meet evolving consumer demands...

Mother Dairy Fruit & Vegetable Pvt Ltd (MDFVPL) is accelerating focus on premiumisation, strategic expansion into newer markets, deeper distribution and rapid expansion on quick commerce platforms amid evolving consumer preferences and intensified competition, the company’s managing director Jayateertha Chary said.


“We are confident of growth through expanded geographies, channels and new products,” he said.



The company, which makes and sells ice-cream in addition to a slew of dairy and non-dairy products, withstood a late start in the crucial April-June quarter on account of early rains, but is now seeing robust demand pick up with temperatures soaring.

“The quarter is looking good for us, though initially, there was one-two weeks of rain; now the season has recovered so we are confident we will see healthy growth. In ice-creams, growth can go up to 35-40%,” Chary told ET.


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Mother Dairy grew 17% year-on-year in FY 2025-26 with revenue of Rs 20,300 crore, riding on higher demand for value-added dairy products and cooking oils. The company is working towards revenue growth of over 20% in FY27 at Rs 24,000 crore.


Asked if the company was planning to hike prices amid the ongoing inflationary environment, he said there have been marginal increases in pricing for a few products on account of higher packaging costs, but added that the company is working to mitigate the inflation with internal efficiencies and optimising logistics.

“When the war started, we understood very quickly where the problems can come from, which are dependent on war, such as energy costs, packaging material like plastics and cartons. And LPG. These were the major segments we identified very early and proactively. We worked to ensure that more or less, operations have been smooth.”


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Chary, who was recently appointed the company’s MD, said a key focus area is working on expanding distribution footprint to become a larger national player, with a capex outlay of around Rs 2,000 crore.


Mother Dairy, wholly-owned subsidiary of National Dairy Development Board, plans to introduce more than 30 new products and focus on health and wellness, and premiumisation.
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Other than its mainstay Mother Dairy brand, the company’s other brands include Safal Fresh fruits & vegetables, frozen snacks, pulps and concentrates, and Dhara refined and filtered oils.


Mother Dairy owns nine milk processing plants and four horticulture processing plants. In edible oils, the company operates through 16 associated plants.
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