Nandini, the flagship dairy brand of the Karnataka Milk Federation (KMF), is pursuing national and international expansion through affordable pricing, farmer-centric cooperative operations, product diversification and strategic brand promotion, according to a report published by MarkHub24. KMF is described in PTI reporting from May 2024 as India’s second-largest dairy cooperative and, according to its own claim, the largest in South India in terms of milk procurement and sales.
Its national benchmark is the Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets Amul and reported turnover of ₹59,445 crore in FY2023–24 and ₹65,911 crore in FY2024–25, according to Business Standard. Karnataka Chief Minister Siddaramaiah stated in July 2024 that the state had 15 milk unions, 15 mother dairies and 16,000 milk producer societies, while other PTI reporting cited 16 milk unions.
ICRA’s October 2025 rating rationale recorded 18 KMF sales depots in Karnataka and eight in other states, highlighting the federation’s distribution network and expansion beyond liquid milk into dairy derivatives. Nandini’s reported turnover grew from ₹8.82 crore in 1976–77 to ₹14,018 crore in 2022–23, as reported by YourStory in October 2023. Actor Rajkumar was associated with the brand in Karnataka, while actress Shriya Saran promoted the Nandini Good Life range in neighbouring states.
Markets beyond Karnataka included Maharashtra, Goa, Telangana, Andhra Pradesh and Tamil Nadu. Storyboard18 reported that Nandini held approximately 70% of Bengaluru’s milk market when Amul announced its entry into the city in 2023; however, verified public data on Nandini’s current market share outside Karnataka remains unavailable. On April 5, 2023, Amul announced plans to introduce milk and curd in Bengaluru, triggering public reactions and trending hashtags such as #SaveNandini and #AmulGoBack ahead of the Karnataka Assembly election held on May 10, 2023.
The controversy brought attention to Nandini’s regional identity, cooperative ownership and connection with Karnataka’s dairy farmers, although the public response was not a campaign organised by KMF. As part of its international branding strategy, KMF issued a work order to ITW Consulting Private Limited on April 20, 2024, to sponsor the Scotland and Ireland men’s teams at the 2024 ICC Men’s T20 World Cup. The Nandini logo appeared in Kannada on the leading sleeve of the teams’ jerseys.
KMF Managing Director M. K. Jagadish said the teams would feature in advertisements, social media promotions, photo shoots and product endorsements. The sponsorship was reported as Nandini’s first association with an international cricket team. KMF also announced plans to promote its whey-based drink, Nandini Splash, in the United States during the tournament. The sponsorship attracted criticism from T. V.
Mohandas Pai, who questioned the use of farmers’ money; Jagadish responded that 85% of revenue went to farmers and that the sponsorship was intended to promote the brand. Nandini entered the Delhi-NCR market on November 21, 2024, with Siddaramaiah presiding over the launch. Reports cited trial milk transportation from Mandya involving a 54-hour journey, a network of 40 dealers and prices marginally lower than competitors. In March 2025, KMF indicated plans to extend sales to Uttar Pradesh border areas and Jaipur. However, the Delhi expansion encountered logistical and operational challenges.
In 2025, KMF Managing Director B. Shivaswamy reportedly cited daily sales of only 15,000 litres and a shift in focus towards nearby cities, including Mathura, Agra, Meerut and Aligarh. Product diversification is another component of Nandini’s growth strategy. The brand entered Bengaluru’s idli-dosa batter market on December 25, 2024, competing with established brands such as iD, Asal and MTR. The product reportedly sold 2,250 kg within days of launch. Nandini Café Moo, which opened its first outlet in Bengaluru’s Jayanagar area in 2021, expanded to 25 outlets across Karnataka, Kerala and Maharashtra by 2023.
The federation has also explored functional and fortified dairy products. According to DairyNews.today reporting in September 2026, KMF was working with the state health department and the Ministry of Health on fortification initiatives, while a member union in Dakshina Kannada was preparing whey-based and protein drinks. Nandini’s distribution channels include 18 sales depots in Karnataka, eight outside the state, Nandini parlours, Café Moo outlets and dealer networks in Delhi-NCR. Jagadish also described the brand’s international presence as extending to the Middle East, Singapore, Bhutan and Myanmar, with Nandini sweets sold in the United States.
KMF’s milk procurement reached one crore litres per day in July 2024, compared with 90 lakh litres per day in May 2023, according to Siddaramaiah’s statement reported by PTI. DairyNews.today reported procurement of approximately 1.2 crore litres per day in 2026, representing a 52% year-on-year increase from around 85 lakh litres in April 2025; the report also cited 1.3 crore litres per day, making the exact figure inconsistent. Financially, ICRA upgraded KMF’s ratings in October 2025, citing improved milk procurement and a diversified product portfolio.
The report also recorded a milk price revision of ₹4 per litre in April 2025. In 2024, a ₹2-per-litre price increase was accompanied by an additional 50 ml in half-litre and one-litre packs, according to Business Standard and PTI. At the member-union level, the Dakshina Kannada union reported record turnover of ₹1,174 crore and a 16% increase in daily milk procurement in September 2026; these figures relate to the union, not KMF’s total business. Overall, Nandini’s strategy combines regional consumer trust, affordability, cooperative ownership, wider distribution and new product categories to strengthen its position in India’s competitive dairy market.
However, the reported Delhi sales figures demonstrate that strong procurement and a successful regional identity do not automatically translate into market penetration elsewhere. The long-term performance of its international sponsorships, functional beverages and newer product categories will depend on distribution efficiency, consumer acceptance and measurable commercial returns.
Source: Dairynews7x7 17 Oct, 2026 Read full story here
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