Prabhat Dairy, a known name in the integrated milk and dairy products business, is planning to enter into the Animal Nutrition business, which includes cattle feed, nutrition supplements & animal genetics.
Currently, cattle feed forms a major part of animal nutrition business in India. Prabhat Dairy is a reputed supplier of cattle feed under the brand name "Annapurna" to the farmer community and has been helping them select the right quality of feed to improve milk production and quality. Leveraging its expertise and wanting to create a strong presence in the booming animal nutrition market in India, Prabhat is set to launch a separate animal nutrition business.
As part of this plan, Prabhat Dairy has signed Joint Development Agreement with DLG, the Denmark based world leader in high-quality vitamin-mineral feeds, Under this agreement, two products have been developed in Denmark and shipped to India for a pilot. These two products, one for "Milking Cow" and another for "Dry Cow". will be given to 150 selected farms to administer on 1000 cows for the improvement of health and to increase milk productivity and quality. This pilot phase will be for 4-6 months. Post successful pilot, commercial launch will be planned.
Commenting on this plan, the JMD of Prabhat Dairy Ltd. Mr. Vivek Nirmal said, "The animal feed industry in India is anticipated to be worth USD 30 billion by 2020. The segment primarily comprises cattle feed and poultry feed. With a view to incorporate global best practices, the cattle feed industry in India is transitioning into an organized makeover using modern processes and sophisticated methods. To tap this potential we are entering into Animal Nutrition business."
Prabhat Dairy is also exploring other opportunities for new ventures that will not only help Prabhat Dairy to strengthen its production chain but also further build on their current strong association with the farmers.
Shares of Prabhat Dairy Ltd was last trading in BSE at Rs.94.05 as compared to the previous close of Rs. 92.55. The total number of shares traded during the day was 21224 in over 423 trades.
The stock hit an intraday high of Rs. 97.9 and intraday low of 93.2. The net turnover during the day was Rs. 2016994.