CHENNAI : With an aim to reach out to more customers, the Aavin authorities have proposed to expand its oldest dairy at Madhavaram at a cost of Rs 140 crore. The dairy plant at Madhavaram currently processes 3.5 lakh litres of milk per day but authorities have a proposal to expand its capacity to 10 lakh litres per day.
C.Kamaraj, managing director, Aavin said funds had been sought for the proposed project under Dairy Processing Infrastructure and Development Fund, which is provided by the National Dairy Development Board (NDDB).
“We have plans to expand the capacity of the Madhavaram plant at a cost of `140 crore. Around 20 per cent of the project cost will be borne by us while we have plans to avail loan to meet the remaining 80 per cent,” he said.
The Tamil Nadu Co-operative Milk Producers Federation sells milk under the brand name of Aavin. Madhavaram is the oldest dairy plant of Aavin, which was set up in the 1960s. Officials of Aavin said the brand is very popular and in order to meet the rising demand,there is an urgent need for upgrading the Madhavaram dairy unit.
“We will equip the Madhavaram unit with the latest state-of-the -art equipment such as modern refrigeration units and automatic milk processing units.
We hope to commence work on the project by next year and have plans to conclude the expansion work within 18 months,” added Kamaraj.
He added that with expansion of the Madhavaram plant, they would be able to reach out to more customers and enhance their market.
“We are very ambitious about the project as it will give a major boost to our income,” said Kamaraj.