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Baba Ramdev's Patanjali has a New Plan for the Indian Dairy Industry

The company has already projected its revenue from the category to be over INR 1,000 crore by 2020
Baba Ramdev's Patanjali has a New Plan for the Indian Dairy Industry
Image credit: Twitter/PatanjaliAyurved
Entrepreneur Staff
Senior Correspondent, Entrepreneur India
3 min read

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There was a time when Baba Ramdev was the poster boy for Yoga in India. He was filming TV shows and travelling across the country and globally for yoga gatherings. Over the years, he built a following like no other. And then, came Patanjali. Dealing with various products aimed at healing and nutrition, Patanjali made splashes across e-commerce portals and retail stores in the country. With Patanjali, Baba Ramdev even played with technology with the Kimbho app that was touted to be a WhatsApp competitor.

And now, Baba has more plans. Patanjali has now entered the dairy industry and its entry is not so subtle. The company has already projected its revenue from the category to be over INR 1,000 crore by 2020.

Entrepreneur India takes a look at how Baba Ramdev’s entry is set to change the dairy industry in India.

The Dairy Industry So Far in India

The dairy industry in India has seen a change over the years. From milkmen delivering milk on our doorsteps in the wee hours of the morning to today, start-ups delivering milk and other products at the click of a button on an app. Over the years, the industry is only booming, with news about startups like Swiggy and Big Basket now venturing into space and make further use of their already existing logistics and consumer base across the country.

According to a report by CRISIL, the Indian dairy industry is set to see an investment of INR 130-140 billion in the next three years. The report added that the Indian dairy industry is likely to see a compounded annual growth (CAGR) of 14-15 per cent annually.

Now, Baba Ramdev’s Patanjali aims to cash in on these growth figures.

How Patanjali Plans to Take on the Segment

No launch from Patanjali is a small launch. In line with his idea of "Samarth Bharat, Swastha Bharat", Baba Ramdev’s dairy products launch further pushes the Make in India theme. The company has already tied up with over 56,000 retailers across the country to meet the demands of its consumers. In the first phase of its rollout, they will be delivering milk and other dairy products in cities like Delhi NCR, Mumbai, Pune and Rajasthan.

According to reports, Patanjali has also tied up with over 1 lakh dairy farmers in the country. The reports also suggest that Patanjali has started operations and has already produced 4 lakh litres of milk while aiming for 10 lakh litres of cow milk per day.

Baba Ramdev tweeted the announcement of Patanjali’s dairy range with a picture and said, “Now you have #PatanjaliCowMilk & complete range of #PatanjaliDairyProducts for nourishing your family”. The launch in the dairy industry comes along with the launch of four other products (Cattle feed and feed supplements, Frozen vegetables: Peas, Mix Veg, Sweet Corn, Potato Finger, Solar Panels and Divya Jal that is packaged drinking water).

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