Chennai-based Hatsun Agro Product Ltd (HAP), India’s largest private-sector dairy company, has announced a ₹1,000 crore capital expenditure plan for FY27 to expand milk procurement, strengthen its distribution network, modernise production facilities, and enhance brand marketing as it accelerates growth in the value-added dairy segment.
The company is targeting daily sales of 2.4 crore product packs within the next two years, up from the current 1.84 crore packs, while expanding its retail footprint to more than 5,000 outlets by the end of FY27 from the existing 4,100 HAP Daily outlets and 220 Ibaco stores. Hatsun reported FY26 revenue of ₹9,959 crore, registering 14.5% year-on-year growth, and recorded 19% growth in Q1 FY27, with management indicating that revenues could approach ₹12,000 crore this fiscal if the momentum continues.
The company also plans to launch protein-rich beverages within the next one to two months, alongside new ice cream and chocolate products, as it broadens its premium product portfolio. Despite a 13% year-on-year increase in milk procurement prices driven by higher cattle feed costs, adverse weather, and rising milk fat prices, Hatsun has delayed passing on the full cost increase to consumers, relying on its direct procurement and distribution model to protect margins.
The investment underscores growing confidence in India’s organised dairy sector, with companies continuing to invest in capacity expansion, product innovation, and retail reach to meet rising demand for branded dairy products. (Tulsi AI News)
Source: Dairynews7x7 5 Aug, 2026 Read full story here
#HatsunAgro #IndiaDairy #DairyInvestment #ValueAddedDairy #MilkProcurement #DairyExpansion #FoodProcessing