Overall milk processing capacity rises to 19 lakh litres per day; acquisition strengthens presence in Punjab, Haryana, Himachal Pradesh and J&K
New Delhi | Dairynews7x7 Bureau
SMC Foods Limited, the company behind the Madhusudan dairy brand, has expanded its dairy processing footprint in northern India with the acquisition of the Rana Milk Foods plant at Samrala in Punjab’s Ludhiana district. The newly acquired facility has a milk processing capacity of 5 lakh litres per day (LLPD), taking the company’s total installed processing capacity to 19 LLPD.
The expansion marks another milestone in the company’s growth journey that began in 1991. Over the past three decades, SMC Foods has evolved from a regional dairy processor into a diversified dairy and food company with a portfolio comprising fresh milk, UHT milk, ghee, paneer, butter, dahi, fresh cream, chaach, flavoured milk, dairy creamer and sterilised paneer.
Speaking on the occasion, Mr. Sandeep Agarwal, Director, SMC Foods Limited, said, “A dairy plant is much more than bricks and machinery—it is a promise to thousands of dairy farmers, a commitment to consumers for quality, and a responsibility towards the communities we serve. Our journey has always been guided by one belief: when farmers prosper, the dairy industry prospers.”
The company’s flagship manufacturing facility at Saharanpur currently processes 12 LLPD, while the addition of the Punjab plant is expected to strengthen its supply chain and improve market access across Punjab, Haryana, Himachal Pradesh, Jammu & Kashmir and adjoining regions. The acquisition also provides access to one of India’s leading milk-producing belts, known for its strong dairy farming ecosystem and availability of quality fodder.
SMC Foods stated that the expansion will help it meet growing consumer demand while supporting its long-term manufacturing and distribution strategy. The company also highlighted its continued focus on farmer engagement through transparent milk procurement, timely payments, farmer education and initiatives aimed at improving clean milk production and cattle nutrition.
According to the company, quality assurance remains central to its operations, with milk undergoing testing at procurement centres, rapid chilling, controlled transportation and multiple laboratory checks before processing. The company also emphasised the use of modern processing technology and food safety systems to ensure product quality and traceability.
Industry observers note that capacity expansion in North India reflects the increasing competition among organised dairy companies to strengthen procurement networks and expand value-added dairy product portfolios in high milk-producing regions. The Punjab acquisition is expected to enhance SMC Foods’ sourcing capabilities while improving operational efficiencies and regional market penetration.
Source : Dairynews7x7 Aug 3rd 2026 Press Release by SMC Foods