DKMUL Plans Mega Dairy Development to Meet Mangaluru Demand

The Dakshina Kannada District Cooperative Milk Producers’ Societies’ Union Ltd. (DKMUL) has announced plans to develop a mega dairy in Mangaluru to address the significant demand for Karnataka Milk Federation (KMF) products in the region. As reported on April 27, 2026, DKMUL president K. Raviraj Hegde highlighted that 73% of the milk and its products sold in Mangaluru and surrounding areas are from KMF. The existing dairy in Kulashekara, which is over 30 years old, is set for expansion to meet the growing market demands.

To further support product availability, DKMUL intends to construct an ice-cream refrigeration plant. Currently, they operate a 20-tonne cold storage facility in Mangaluru and a 10-tonne facility in Udupi. Plans also include establishing a paneer manufacturing plant and a drinking water bottling facility.

In the fiscal year 2025-26, DKMUL reported a business volume of ₹1,270 crore, reflecting an 18% increase from the previous year. The average daily milk collection rose by 19% to 4.07 lakh litres compared to 2024-25. To supplement local milk supply, DKMUL sources an additional 40,000 litres daily from other unions.

Farmers in the region benefit from silage priced at ₹8.15 per kg, with a monthly purchase average of 2,000 tonnes. The use of high-yield cattle from Erode, Tamil Nadu, has improved milk quality and production.

In the same year, the average daily sale included 3.87 lakh litres of milk, 81,979 kg of curds, 2.8 tonnes of paneer, and 6.1 tonnes of ghee, among other products. The union’s network, comprising 1,781 dealers, 42 milk parlours, and 91 franchises, generated a daily business of ₹3.03 crore. The net profit for 2025-26 was estimated at ₹10.61 crore, with farmers receiving a minimum of ₹40 per litre of milk, including incentives.