Karnataka Milk Federation (KMF)

The Karnataka Milk Federation (KMF) serves as the paramount cooperative body for the dairy sector in Karnataka, India. Renowned for its brand 'Nandini', KMF stands as the second largest dairy cooperative in the country. The Federation plays a crucial role in integrating the dairy supply chain of Karnataka, managing numerous milk unions and producers across the region.

Location and Operations

Headquartered in Bangalore, Karnataka, KMF has established a comprehensive network of milk unions throughout the state. This extensive infrastructure facilitates a robust system for both the collection and distribution of milk products, supporting vast processing capabilities to meet both domestic and international demand.

Financial Indicators

According to the Karnataka Milk Federation Annual Report 2022-2023, KMF showcased significant financial strength, with revenues surpassing INR 17,000 crores (about US$ 2.3 billion). This underlines its strong market position within India’s dairy industry.

Significant Company Events

In recent strategic moves, KMF entered a collaboration with Chai Point, a major tea café chain, to serve the multitude of attendees at the Maha Kumbh Mela in Prayagraj. This event partnership illustrates KMF's strategic efforts to enhance market outreach and engage in the beverage sector, particularly through participating in high-profile gatherings.

Company Plans

Looking ahead, KMF plans to further diversify its product lineup with an emphasis on value-added dairy products. The partnership with Chai Point is indicative of its intent to enlarge its market footprint while tapping into massive events like the Maha Kumbh Mela to boost brand visibility. Additionally, KMF remains committed to exploring sustainable practices in its dairy production and processing operations. However, the federation is currently addressing challenges related to unsold inventories, which include 2,100 tons of milk powder and 800 tons of butter, presenting a hurdle to its financial health.

Modified: 2025/03/12

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