- Sathishkumar T highlights 90% growth potential in India’s unorganised paneer market
- Milky Mist targets Rs 1 lakh crore paneer market with mostly unorganised players
- Company approved for 48-acre greenfield project in Baramati for expansion
Sathishkumar T, the Managing Director of freshly-listed Milky Mist Food Ltd., is betting on India's massive unorganised paneer market.
Paneer remains the company's flagship product, Sathishkumar told NDTV Profit on Tuesday, adding that the company sees 90% headroom for growth in the unorganised market.
The company sees significant growth potential in the Rs 1 lakh crore paneer market, only around 10% of which is currently organised, leaving it with substantial headroom to tap the largely unorganised segment.
Milky Mist, which has consistently focused on products dominated by unorganised players, has also received approval to set up a greenfield project in Baramati which spans across 48 acres. The VADP pureplayer is gearing up to announce more projects as it eyes more expansion.
ALSO READ: No Milk, Creamy Margins: DAM Capital Initiates Milky Mist Coverage With 'Buy' Rating
The Managing Director of Milky Mist underscored that the firm is receiving a strong response from western and northern markets.
The company expects to sustain a 30% compound annual growth rate going ahead, supported by expansion and rising demand for packaged dairy products.
Milky Mist said it is a fully bootstrapped and net profitable business. The company is also seeing good response from markets in Western and Northern India, which is supporting its expansion plans.
On recent regulatory action against food quality violations, Sathishkumar said the crackdown by the Food and Drug Administration is positive for organised players. Milky Mist is also working with quick-commerce companies to ensure quality is maintained during last-mile delivery.
ALSO READ: Milky Mist Makes Strong Market Debut; Shares List At 17.8% Premium To Issue Price
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