The Be
ntonville beast has set up an extensive target of sourcing 1.5 million litres of milk per day and once the complete sourcing mechanism is in place, it will start working on setting up a dairy processing unit. Clearly, Wal-Mart is trying to milk out every possible opportunity from Indian soil. Companies entering this sector are avid for alliances with local part ners. And with Indian dairy farms being still dominated by small-scale unorganised sectors, which are loaded with poor infrastructure and a plethora of other issues, local players have all reasons to tie-up with global players. Cashing in on this inherent symbiosis, Nestlé India has tied-up with Andhra Pradesh based Heritage Foods India Ltd, Bengal’s Nester & Maharashtra’s Dynamix Dairy. With definite conviction, Nestlé is strengthening its sourcing hub across India and hence it’s palpable that the FMCG giant has put a stymie to the much hyped market buzz of exiting the dairy business. The FMCG giant is upbeat on this oyster segment and has already created Moga in Punjab into a procurement haven. So it’s no surprise that the Moga unit contributes an extensive amount of one million litres of milk per day to keep Nestlé’s milky affair a non-stop one. What Wal-Mart and Nestlé are trying to do now, two of the country’s leading co-operative majors have been doing for the past three decades.
For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
ntonville beast has set up an extensive target of sourcing 1.5 million litres of milk per day and once the complete sourcing mechanism is in place, it will start working on setting up a dairy processing unit. Clearly, Wal-Mart is trying to milk out every possible opportunity from Indian soil. Companies entering this sector are avid for alliances with local part ners. And with Indian dairy farms being still dominated by small-scale unorganised sectors, which are loaded with poor infrastructure and a plethora of other issues, local players have all reasons to tie-up with global players. Cashing in on this inherent symbiosis, Nestlé India has tied-up with Andhra Pradesh based Heritage Foods India Ltd, Bengal’s Nester & Maharashtra’s Dynamix Dairy. With definite conviction, Nestlé is strengthening its sourcing hub across India and hence it’s palpable that the FMCG giant has put a stymie to the much hyped market buzz of exiting the dairy business. The FMCG giant is upbeat on this oyster segment and has already created Moga in Punjab into a procurement haven. So it’s no surprise that the Moga unit contributes an extensive amount of one million litres of milk per day to keep Nestlé’s milky affair a non-stop one. What Wal-Mart and Nestlé are trying to do now, two of the country’s leading co-operative majors have been doing for the past three decades.For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative
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