Dindigul Farm Products Ltd. IPO

Established in 2010, we are primarily engaged in processing of whole milk and skimmed milk to make dairy ingredients including, milk protein concentrates, skimmed milk powder, dairy whitener, whey protein concentrate, milk whey powder, casein, unbranded cream and butter and fat filled powders for ... infant milk formula. Our processing facility is situated at Dindigul and is spread over 15 acres. Our management system has been assessed and determined to comply with the requirements of FSSC 22000. We also follow and comply with requirements of various relevant authorities in our industry such as FSSAI, Halal, Kosher, Export Import Council of India, Europe Regulations in respect of certain of our products. We have also obtained registration cum membership certificate from APEDA. Our procurement operations consist of an average procurement of approximately 50,000 litres of milk directly and around 30,000-1,00,000 litres of whole milk from open market or third party suppliers. As on the date of the RHP, we have built a network of more than 150 village collection centers, with direct access to more than 4,000 farmers and more than 50 dairy farms. We procure whole milk either directly from the farmers and through third party suppliers. The skimmed milk is procured by us from third party suppliers, majorly from our Group Company A R Dairy Food Private Limited. We place significant emphasis on quality control and assurance processes across the business model ensuring and setting the right customer expectation and assurance models. The whole milk procured by us is tested by automatic Milk analysers placed at Village Level Milk Collection centers and a combined quality and sampling methods at Chilling Center Level. Our key products have received and tested in regular intervals by NABL approved food testing labs to comply the requirements of the above stated quality certifying / assuring / inspection authorities Like FSSC etc. Quality food safety forms a part of our policy and we believe is one of the main drivers of our business. We have well defined documented quality system and Standard Operating procedures (SOPs) which is monitored at various stages of procurement and processing. We market our products under the brand name ENNUTRICA, Activday and currently supply to a wide number of customers from different industries. For fiscal 2023, we have sold products in more than 15 states domestically and 3 countries internationally. However, we aim to expand our international operations by looking to enter more ASEAN and European countries. We mainly supply products to Dairy Industry, Food Ingredients industry, nutrition industry, dairy industry, ice cream industry and baking industry. Read more

Our Company was incorporated as ‘Dindigul Farm Product Private Limited’ under the Companies Act, 1956, pursuant to the certificate of incorporation issued by the RoC, Tamil Nadu, Coimbatore on September 29, 2010. The name of our Company was subsequently changed to ‘Dindigul Farm ... Product Limited’, upon conversion into a public company, pursuant to a board resolution dated November 18, 2023 and a shareholder resolution dated December 1, 2023, and a fresh certificate of change of name was issued on December 27, 2023 by ROC, Coimbatore.

The Dairy sector in India has grown substantially over the years. As a result of prudent policy interventions, India ranks first among the world’s milk producing nations, achieving an annual production of 221.06 million tonnes during the year 2021-22 as compared to 209.96 million tonnes ... during 2020-21 recording a growth rate of 5.29%. FAO Food Outlook (November 2022) reported 1.34% increase in world milk production from 912.6 million tonnes in 2020 to 924.8 million tonnes in 2021 (estimates). This represents a sustained growth in the availability of milk and milk products for the growing population. Dairying has become an important secondary source of income for millions of rural families and has assumed the most important role in providing employment and income generating opportunities particularly for women and marginal farmers. The per capita availability of milk has reached a level of 444 grams per day during the year 2021-22 which is more than the world average of around 320 grams per day in 2021 (estimates) (Food Outlook Nov’22). Most of the milk in the country is produced by small, marginal farmers and landless labourers. India, about 46% of the milk produced is either consumed at the producer level or sold to nonproducers in the rural area, he balance 54% of the milk is available for sale to organised and unorganised players. Organised sector comprise of Government, Producers’ Owned Institutions (Milk Cooperatives & Producer Companies) and Private players which provides fair and transparent system of milk collection round the year at the village level. Unorganized/informal sector involves local milkman, dudhias, contractors etc. and they are mostly found to be opportunistic, as there is no uniformity of milk price paid to producers and it varies depending upon the situation. Possibility of adulteration of milk is higher among these unorganized groups. In the areas where competition is high and presence of formal sector is strong, they generally give higher prices and at the same time, they don’t offer remunerative prices to the producers where organized sector is not present. Read more