Dairy major Schreiber Dynamix starts second plant in Punjab
Leading dairy company Schreiber Dynamix Dairies, a joint venture between American dairy major Schreiber Foods and the Indian dairy company Dynamix Dairies, has kick-started operations of its second food processing and packaging facility in Punjab.
The facility, which is at Fazilka International Food Park, has been set up with an investment of about ₹100 crore, will initially manufacture juice products. The technology partner for the company is Tetra Pak.
Schreiber Dynamix Dairies Pvt Ltd (SDDPL) is a contract manufacturer of dairy and juice products for various leading FMCG players.
Amitabha Ray, Managing Director, SDDPL said: “India is an important market for Schreiber Foods as its food and beverage sector has been witnessing good organic growth here. Our plant at Baramati is now running at full capacity. The second plant gives us geographical advantage and helps us move closer to our consumers.”
At present, nearly half of the products manufactured at Baramati plant were being transported to North with the company incurring high logistics cost. The high logistics cost was also one of the key reasons to open the second plant in Punjab.
SDDPL is the country’s first dedicated packer of beverage products in Tetra Pak cartons and the opening of the second plant will help scale up its capacity by nearly 70 per cent.
The company hopes to start processing and packaging of milk products by next year from its Fazilka plant. “Our current turnover is about ₹1,500 corer and we aim to double it in the next five-six years,” added Ray.
Kandarp Singh, Managing Director, Tetra Pak South Asia Markets, said: “Indian consumers are now increasingly switching to value-added and fortified milk products. There is also a significant growth in on-the-go consumption of beverages. So, besides, traditional products, this capacity expansion will also facilitate introduction of innovative products and packaging.”