Vadodara: More than a decade after Amul first entered West Bengal to replicate its famed cooperative model outside Gujarat, the dairy giant is now preparing for its biggest expansion yet in eastern and northeastern India. Following the BJP's sweeping victory in West Bengal and its return to power for a third consecutive term in Assam, Anand-based Amul is accelerating investments in both states with plans totaling Rs 800 crore.
Investment Plans
Sources indicate that the Kaira District Co-operative Milk Producers' Union Limited, popularly known as Amul Dairy, is in advanced discussions to invest nearly Rs 650 crore in West Bengal. This investment will establish Amul's first fully owned dairy processing plant in the state. Simultaneously, the cooperative is setting up a major dairy project near Guwahati in Assam with an investment of around Rs 150 crore.
Expansion in West Bengal
Amul's footprint in West Bengal has expanded dramatically since its early experiment in 2008. What began with skepticism in the then Left-dominated region has evolved into one of Amul's fastest-growing markets. Currently, Amul operates largely through third-party processing facilities while managing its own milk procurement and marketing network. The new investment is expected to give Amul direct control over production, quality, and distribution.
Amul Dairy is exploring multiple locations for the project. Sources said the Kaira Union is evaluating whether to establish one large central plant or a network of smaller feeder plants across the state, considering the geographically dispersed market. "Having multiple smaller plants can help reduce transportation costs of dairy products. There can be a centralized plant to manufacture products like ghee, butter, and ice cream, while milk, curd, buttermilk, and lassi can be produced in smaller plants," said a source close to the development.
Assam Dairy Project
In Assam, the cooperative is setting up a dairy plant near Guwahati that will process around two lakh litres of milk per day (LLPD) in the first phase. The plant will manufacture products including liquid milk, paneer, dahi, flavored milk, and mishti doi. "The Assam government has already facilitated land acquisition for the project. The land has been acquired and designs of the plant are being finalized," said Amul Dairy managing director Amit Vyas.
Current Operations
At present, Amul's milk sales in Kolkata alone are estimated at nearly 11 lakh litres per day. Procurement in the Bengal belt has climbed to around 9 lakh litres per day, reflecting rapid growth. In Assam, Amul's procurement currently stands at around 70,000 litres per day. The expansion marks a significant shift in Amul's eastern India strategy, aiming to deepen its presence beyond western India and strengthen dairy infrastructure in regions where organized milk procurement networks were traditionally weak.
Industry observers say the latest expansion signals Amul's long-term commitment to the region, leveraging the political stability and supportive state governments to accelerate growth.
