North Gujarat Dairy Cooperatives Power India’s Global Dairy Growth

Gandhinagar | Gujarat —  The dairy sector in North Gujarat is witnessing a remarkable transformation as Banaskantha, Mehsana, and Sabarkantha dairy cooperatives scale up their processing capacity and innovation. North Gujarat is a powerful economy of rural livelihoods and development.  The dairy cooperatives such as Banas Dairy (Banaskantha), Dudhsagar Dairy (Mehsana), and Sabar Dairy (Sabarkantha) have emerged as national and international leaders in milk processing, cold-chain infrastructure, and value-added dairy products exports from North Gujarat. These cooperatives operate under the umbrella of the Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets products under the renowned brand ‘Amul’.

Banas Dairy, one of the Asia’s Largest Dairy Cooperatives, founded in 1969, is headquartered in Palanpur, Banaskantha and generated a turnover of more than INR 21,200 crore in FY 2024–25.  Banas Dairy’s 20 manufacturing units are spread across Gujarat, Uttar Pradesh, Rajasthan, Haryana, Uttarakhand, Bihar, Jharkhand, Orissa and Andhra Pradesh. It is successfully processing 10 million litres of milk daily.

With over 1,600 milk societies and 4 lakh farmers engaged, Banas Dairy plays a significant role in the rural development. The product portfolio has expanded from traditional dairy items to honey and edible oils. 

The successful collaboration between Suzuki Motor Corporation and the National Dairy Development Board (NDDB) for a biogas plant signals a shift towards sustainability and growth. This diversification paired with robust processing and logistics infrastructure makes Banas Dairy a model for export-oriented cooperative growth.

The Mehsana District Co-operative Milk Producers’ Union Ltd, widely known as Dudhsagar Dairy and established in 1960, has been pivotal in transforming Mehsana into a hub of dairy innovation and generated a turnover of approx. INR 8,054 crore in FY 2024–25. From humble beginnings with 3,300 litres per day, Dudhsagar Dairy now collects over 34.88 lakh litres of milk daily.

Leveraging its deep-rooted cooperative network, the dairy manufactures a wide range of milk and milk products—catering to both domestic and international markets. The strong cold-chain and quality control systems have enabled consistent supply and safety, laying the foundation for global competitiveness.

The Sabarkantha District Co-operative Milk Producers’ Union Ltd, also known as Sabar Dairy, having capacity of 33.53 lakh litres of milk daily, is considered as one of India’s largest milk handlers. With operations spread across several Indian states and an FY 2023–24 turnover of approx. INR 8,939 crore, Sabar Dairy has built a strong reputation for quality dairy production, especially in milk, ghee, butter, and cheese. It has consistently invested in processing facilities and cold-chain logistics, to ensure freshness and quality. 

These three major cooperatives exemplify the “farm-to-market” strength of North Gujarat dairy cooperative model:

• Farmer empowerment: Fair pricing and year-round procurement support livelihoods of dairy farmers of the region.
• Infrastructure expansion: Investments in cold chains, biogas, and soil testing labs align with global best practices.
• Export potential: With rising global demand for Indian dairy products, these cooperatives are well-positioned to scale exports.