July 8, 2011


Danone expands India presence with sale of products in Bangalore



French dairy firm Danone has started selling a range of dairy products in Bangalore in order to expand its presence in the Indian market.


The firm had established its base over the last one year at Hyderabad in Andhra Pradesh, and Pune and Mumbai in Maharashtra.


The dairy major, which has Amul, Britannia, and Nestle as its nearest competitors, signed a 50:50 joint venture agreement with Japan's Yakult Honsha in 2005 to establish a unit to make different dairy products at Rai, Sonepat district, Haryana.


"Danone is an experimental company, and we are committed to bring health through food to the largest number of people," said Danone Food & Beverages India managing director Jochen Ebert. "The categories we have entered are still very small in India and are evolving. Our future plans will depend on the consumer response that we receive, and we find this market promising for Danone."


The Indian curd and yogurt market is estimated to stand at slightly above INR5 billion (US$112 million).


"In the dairy sector, other players are focused heavily on the plain milk business, while our focus is not on plain liquid milk but on value-added products," said Ebert. "We see immense opportunities to grow the market in India, and we are charting out plans for a range of products in the near future."

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