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Amit Shah inaugurates Madhur Dairy’s ₹128 crore automated plant in Gujarat to boost cooperative dairy growth

  • IndiAgri Bureau

  • May 19, 2026
Empowering villages, one smile at a time

Madhur dairy’s new automated plant signals big push for cooperative dairy growth in Gujarat

By IndiAgri Bureau

Gandhinagar: Union Home and Cooperation Minister Amit Shah on Saturday inaugurated Madhur Dairy’s new automated milk processing and packaging facility at Dashela in Gujarat, marking a major expansion in the state’s cooperative dairy infrastructure.

Built at an investment of nearly ₹128 crore, the new plant is expected to significantly boost milk processing capacity and strengthen income opportunities for thousands of dairy farmers linked to the cooperative network.

Spread across 15 acres, the modern facility currently has the capacity to process 2.5 lakh litres of milk per day, which will later be expanded to 5 lakh litres daily. Officials said the expansion is aimed at improving procurement, processing efficiency and value-added dairy production in the region.

Addressing dairy farmers and cooperative members during the inauguration, Amit Shah said the project represents more than just industrial expansion and reflects the growing role of cooperatives in strengthening rural livelihoods and women-led economic participation.

Founded in 1971, Madhur Dairy has evolved from a small cooperative collecting around 6,000 litres of milk per day into a major dairy institution with an annual turnover of nearly ₹628 crore. The cooperative now operates a large milk collection and distribution network across Gujarat.

The inauguration also highlighted the Centre’s broader focus on “White Revolution 2.0,” an initiative aimed at sharply increasing India’s milk production over the next decade through technology adoption, value addition and stronger cooperative systems.

According to officials, leading dairy cooperatives such as Amul, Banas Dairy and Mehsana Dairy are increasingly investing in high-value dairy products including protein beverages, probiotic products and nutritional food segments to improve returns for milk producers.

Amit Shah also pointed to the growing participation of women in India’s dairy economy. He said nearly 36 lakh women linked to cooperative dairy networks in Gujarat collectively trade around 3 crore litres of milk daily, generating business transactions worth nearly ₹200 crore every day.

The programme also featured discussions around technology-driven dairy management. Amul’s AI-powered digital assistant “Sarlaben,” designed to support rural women and livestock farmers with digital access and dairy-related information, was highlighted as part of the sector’s growing tech integration efforts.

Industry observers believe investments in modern dairy infrastructure and value-added processing could help improve farmgate prices, strengthen rural employment and expand India’s dairy export potential over the coming years.

Experts also note that adopting circular economy practices such as bioenergy generation, waste utilisation and sustainable dairy processing may further improve profitability across the dairy value chain.

With India continuing to remain the world’s largest milk producer, cooperative-led expansion projects like Madhur Dairy’s new facility are expected to play a key role in the next phase of dairy sector growth.