Dodla Dairy is looking to strengthen its presence in eastern India, with CEO Venkat Krishna Reddy Busireddy identifying Bihar and Jharkhand as important markets for the future growth of the dairy industry.
In an interview with The CEO Magazine, Busireddy said the company expects the eastern region to become increasingly important as the southern Indian dairy market already has a strong presence of private dairies. Dodla entered Bihar and Jharkhand through acquisitions as part of its broader geographical expansion strategy.
Dodla Dairy, which began operations in 1998, has expanded its presence across 15 Indian states, according to the interview, with 18 processing plants and 300 milk chilling centres. The company also operates two plants in Africa, in Kenya and Uganda, with another plant planned.
The company’s procurement network remains central to its business model. Busireddy said Dodla procures around 1.7 million litres of fresh milk per day from farmers across five states, using village-level collection centres to maintain direct links with milk producers.
Dodla follows a vertically integrated approach covering milk procurement, processing and sales. The company also operates more than 1,200 Dodla Retail Parlours, selling products including milk, ice cream, ghee, paneer, buttermilk and lassi.
The company has also been expanding its value-added dairy portfolio. Busireddy highlighted the growing importance of paneer, while curd accounts for close to 30% of Dodla’s sales, with nearly all of its curd sales coming from southern India.
Technology has also changed the company’s relationship with milk producers. According to Busireddy, Dodla has moved from cash-based payments to a digitised and automated payment system, improving transparency and reducing the risks associated with transporting cash to village collection centres.
Dodla has pursued both greenfield and brownfield expansion, with the CEO noting that acquisitions can provide faster access to established dairy infrastructure in new markets. The company’s FY2025–26 disclosures also identify its acquisition of OSAM/HR Food Processing as a strategic move into the relatively under-penetrated Bihar and Jharkhand markets.
Beyond India, Dodla entered Africa in 2013, first acquiring a dairy operation in Uganda and subsequently expanding into Kenya after seeing strong demand for Ugandan dairy products in the Kenyan market. The company says its African operations have provided an additional growth platform outside its domestic business.
For the Indian dairy industry, Dodla’s strategy highlights a broader shift toward geographical expansion, vertically integrated procurement, value-added dairy products and technology-enabled farmer payments. The increasing focus on Bihar and Jharkhand also underlines the growing competition for milk procurement and organised dairy consumption in eastern India.
Source: Dairynews7x7 08 Oct, 2026 Read full article here
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