Amul Maker GCMMF to Invest ₹10,000 Crore in New Plants
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Gujarat Co-operative Milk Marketing Federation (GCMMF) is the maker of Amul, has announced an investment of ₹10,000 crore over the next 2–3 years. The money will go into setting up 10–12 new plants to increase production of milk, ice cream, and other food products. This step is part of Amul’s goal to reach a turnover of ₹1 lakh crore soon, after achieving about ₹90,000 crore in FY25.
This will be GCMMF’s second biggest round of investment in two years. Earlier, in 2023, the cooperative had invested ₹11,000 crore, which has almost been fully used up. Currently, GCMMF runs around 118 plants across India, with a milk processing capacity of over 440 lakh litres per day.
Focus on Demand Growth
MD Jayen Mehta explained that the new investment is needed to meet growing demand, especially after GST rate cuts on food and beverages. Over the past two years, GCMMF has increased capacity for ghee, cheese, curd, ice cream, protein products, and organic foods. The upcoming plants will further strengthen supply to match rising consumption.
While Amul is mainly known for dairy, in recent years GCMMF has also expanded into organic dal, wheat flour, rice, spices, and more. The aim is to position Amul as a complete food and beverage brand, not just a dairy company.
Price Cuts to Boost Sales
To encourage consumption, GCMMF has recently reduced prices across more than 700 product packs, including butter, paneer, chocolates, UHT milk, bakery, frozen snacks, and ice cream. All these items now attract just 5% GST. According to Mehta, these price cuts will likely boost demand, since India’s per-capita consumption of processed food is still quite low.
Owned by 3.6 million farmers, GCMMF reported revenue of ₹65,911 crore in FY25, up 11% from the previous year. Experts note that the federation’s official revenue numbers appear smaller than Amul’s overall sales, since several dairies in Gujarat sell Amul products independently, and their figures are not included in GCMMF’s consolidated results.