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Amul to expand "dark chocolate" capacity

April 25, 2016

Even as Cadbury-maker Mondelçz International, on Monday, inaugurated its 60,000 tonnes per annum (TPA) manufacturing plant in Andhra Pradesh, Amul said it is expanding chocolate making capacity from 7,600 tpa to 20,000 tpa by the end of 2016-17, in a bid to enter competition in a big way.

According to market observers, an indigenous Amul is currently the fourth largest selling chocolate brand in India after the imported ones such as Cadbury, Nestle and Ferrero.

The Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets milk and dairy products under the Amul brand, is all set to milk the response it got for its range of “dark chocolate”. From being harbingers of the White Revolution, GCMMF may be riding a 'Dark' Revolution this time.

Driven by the success of its 150-gram bars of dark chocolate with the urban consumers, the world’s largest milk co-operative is expanding its chocolate-making capacity by end of this fiscal at its existing manufacturing facility near Anand in Gujarat.

RS Sodhi, Managing Director, GCMMF, told BusinessLine that Amul has discovered its niche chocolate consumer segment.

“We have redefined chocolate business through a range of Amul Dark Chocolates. We have been successful in tapping the consumers with our 150-gram bars. This category is growing fast, and in order to meet the growing demand, we have planned this expansion.”

Meanwhile, GCMMF sees 20-25 per cent growth in its chocolate business this fiscal.

However, it refused to divulge the details about the contribution of chocolates to the Federation's total revenues of Rs. 23,005 crore in 2015-16.

Source : The Hindu Business Line

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