Sangam Dairy targets ₹2,500 crore turnover with expansion
Sangam Milk Producers Company Ltd has outlined an expansion programme centred on higher milk procurement, additional processing capacity, new products, cold-chain development and wider distribution. Chairman Dhulipalla Narendra Kumar, who is also the legislator for Ponnur, presented the strategy at the company’s annual general meeting.
The company currently collects about 8.70 lakh litres of milk a day, compared with a peak of roughly 10.50 lakh litres a day during the previous year. Its network includes around 60 chilling centres. Sangam plans to add 10 milk chilling and collection centres by December.
In Telangana, daily procurement has reached about 30,000 litres. The volume of Sangam products supplied in the state has risen to approximately 1.96 lakh litres a day. The company is also planning to extend its market presence to Chennai and the Rayalaseema region.
Farmers are being connected with milk-collection centres through digital platforms. A society application under development is intended to let farmers review procurement information, fat and SNF readings, and payment details from their homes. Sangam has also highlighted preventive veterinary services, Ayurvedic fodder plants, productivity programmes and a 50% subsidy for loose-housing systems.
The dairy is subsidising silage at ₹1 per kg and has provided about ₹18 lakh under the programme so far. Farmers have requested around 1,600 metric tonnes, of which approximately 1,200 tonnes has been delivered. The company is also promoting cattle productivity and farmer-support measures as part of its stated growth strategy.
Processing capacity is due to increase at two sites. Sangam plans to raise the Miryalaguda plant’s capacity from 1.5 lakh litres a day to 3 lakh litres. It is building a dairy facility on 25 acres at Naidupeta, where initial capacity is planned at 2 lakh litres a day, with provisions for expansion to 4 lakh litres.
The planned product range includes protein milkshakes, millet idli and jowar idli. Sangam is strengthening a four-degree cold chain and installing advanced testing equipment; the company said these measures relate to milk-quality maintenance and adulteration detection. Its chairman also referred to an opportunity to supply about 5.80 lakh kg of ghee to the Tirumala Tirupati Devasthanams.
The company is examining rooftop solar installations at chilling centres and testing a steam expander developed with a startup from IIT-Madras. These initiatives are part of measures aimed at reducing energy and water use and controlling production costs. At the annual meeting, Narendra Kumar said the expansion strategy would also emphasise farmer welfare, product quality, digitalisation, technology adoption and market expansion.
