Prayag Dairy's Expansion in Maharashtra's Competitive Dairy Market

Prayag Dairy, founded in February 2020, has rapidly expanded its operations from a modest milk procurement base in Arvi, North Maharashtra, to a significant agribusiness with revenues exceeding ₹100 crore. Initially collecting 1,500 to 2,000 liters of milk daily, the company now manages around 150,000 liters per day through collaboration with over 1,500 smallholder farmers in Dhule, Jalgaon, and Nashik.

The company's growth strategy hinges on maintaining fair pricing, transparency in milk quality testing, and timely payments to farmers, avoiding the pitfalls of unorganized middlemen. This approach is guided by Chairman and Managing Director Ajay Kumar Mishra, whose background in business ethics and corporate social responsibility informs the company's practices.

Prayag Dairy's product offerings include premium liquid milk, cow ghee, paneer, lassi, flavored milk, milk cake, namkeen, and dry fruits. The company emphasizes transparency over marketing gimmicks to build customer loyalty, ensuring consistent product quality.

The company has also developed an innovative franchise model across Maharashtra, offering investment options from under ₹5 lakh to over ₹10 lakh. To ensure successful franchise operations, Prayag Dairy provides extensive support, including direct managerial involvement for several months to assist with training and business development.

Looking forward, Prayag Dairy aims to expand its procurement network to over 2,500 villages, with a daily processing capacity of 300,000 to 500,000 liters. The parent company, Prayag Group, is diversifying into other agribusiness sectors, including a fitness chain, cattle feed manufacturing, and processing units for multi-grain, millet, and frozen vegetables, targeting both domestic and international markets.