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Amul plans to beat HLL in the ice cream business

13-October-2001
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Amul plans to beat HLL in the ice cream business

As part of its ambitious plans to beat arch-rival HLL in the ice-cream business, the Gujarat Cooperative Milk Marketing Federation (GCMMF), which sells its products under Amul brand, is setting up three more manufacturing facilities to raise its total capacity by a substantial 40 per cent. Buoyed by the surging sales of Amul ice cream GCMMF has set a single point agenda for 2001-02: to match HLL’s 40 per cent market share.

At present Amul has a 27 per cent market share in the 60 million litres a year organised market. While one plant will be set up somewhere close to Delhi, second one will be set up in Madhya Pradesh to cater to the eastern and central regions. A third plant will be set up in Kolkata to cater to the West Bengal market.

Though Amul is already, selling its ice-creams in the northern market, setting up a full-fledged unit there makes it more viable to service the region. Though Amul will not sell its ice cream in Delhi as per a mutual agreement with Mother Dairy, it will be in a better position to cater to markets of Uttar Pradesh, Bihar, Rajasthan, Punjab and Haryana.

At present, GCMMF has three ice-cream plants in Gujarat and one each in Delhi and Maharashtra and Karnataka. With the three new plants in place, Amul will be covering the entire country except the NorthEast, Delhi and part of Andhra Pradesh.

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