ITC expands eastern India dairy business with value-added products
ITC entered the fresh-dairy market in 2018, beginning with Aashirvaad milk in Bihar before extending the business to West Bengal and Jharkhand. It is now the second-largest dairy company in Bihar, according to the company, and is adapting its product range to local tastes and consumption habits in the three states.
Hemant Malik, chief executive of ITC’s Foods Division and an executive director, said the eastern region would remain a priority for the company’s dairy plans. He described eastern India as one of the strongest growth markets for dairy and said it would have a central role in ITC’s strategy in the coming years.
In Bihar, more than 80% of consumers still buy loose milk, the company said. ITC is seeking to move some households towards packaged and value-added dairy products, including pouch curd. Malik said the company was trying to support a shift towards branded curd similar to the transition that took place in southern India more than a decade ago.
The portfolio extends beyond fresh milk and curd to paneer, lassi and Mishti Doi. ITC is also assessing new dessert products positioned as healthier alternatives as it expands beyond its existing range. The company said its dairy business is recording high double-digit growth and remains among its fastest-growing categories.
ITC operates dairy-processing facilities in Munger, Patna, Muzaffarpur and Gaya in Bihar, Ranchi in Jharkhand, and Howrah and Bardhaman in West Bengal. Its Aashirvaad Svasti portfolio is available throughout the three states. The company’s latest annual report said growth in the portfolio during FY26 was supported by its premium Select milk and by value-added products such as curd, paneer, Mishti Doi and lassi. ITC is continuing to enlarge its distribution network in the region.
Milk supplies are supported by Project Gomukh, through which ITC works with more than 40,000 dairy farmers and buys milk directly from producers. The project includes measures intended to raise milk productivity and quality while supporting rural incomes. During the year, the company said it assisted about 33,300 farmers in more than 560 villages across Bihar, West Bengal and Jharkhand through veterinary support, cattle-feed distribution, deworming, mastitis control and other animal-husbandry services.
ITC has also expanded Aashirvaad beyond wheat flour into staples, spices, fresh foods and frozen products. The company aims to increase annual consumer spending on the brand to more than ₹20,000 crore within five years.
