Dodla Dairy is a “grass-to-glass” dairy company - it collects raw milk directly from roughly 1.3 lakh farmers every morning, processes it in its own plants, and delivers it to shop shelves under its own brands, controlling every step in between. The business was born in 1995 when founder Dodla Sunil Reddy, after trying his hand at mushrooms, mangoes, and textiles, settled on dairy and opened a first plant in Nellore, Andhra Pradesh. The recurring approach that explains everything else is a direct-from-farmer procurement model built on transparent pricing, fortnightly digital payments, and farm-level support - a “loyalty loop” that turns a scattered network of village suppliers into a reliable, quality-controlled supply chain. # Business segments A single integrated dairy engine, with two geographic legs - India and Africa - and two capability arms that feed the core: a cattle-feed business that locks in farmer loyalty, and an Eastern India platform acquired to open a new geography. ## 1. India dairy: the core engine **Fresh milk collected directly from farmers, processed into pouch milk and a growing range of branded curd, ghee, and ice cream, and sold through a network of over 2,880 distributors - the spread between procurement cost and selling price is the central profit mechanism.** - **Direct from the village, not the middleman** - 94.4% of milk is procured directly from farmers through more than 8,050 village-level collection centres, up from just 7% a decade ago, which cuts out agent commissions and gives the company control over quality at the source. - **Cow milk, not buffalo** - roughly 95% of procurement is cow milk, which provides a wider and more diversified farmer base, more consistent fat and SNF (solids-not-fat) composition, and better predictability than buffalo milk. - **Surplus milk becomes a buffer** - when milk supply exceeds liquid demand, the company converts it into skimmed milk powder and butter, holds inventory with discipline, and sells those solids when markets tighten, making it a net seller of milk solids rather than a forced buyer. - **Eighteen plants, automated for cost** - the company operates 18 processing plants across India, Kenya, and Uganda with aggregate capacity of over 29 lakh litres per day; plants are fully automated, which improves efficiency and reduces operating costs. ## 2. Africa dairy: the higher-margin twin **The same integrated model - direct procurement, own processing, own brands - transplanted to Uganda and Kenya, where limited competition and abundant grazing land produce structurally higher margins than India.** - **Cheaper milk, higher pricing power** - Uganda serves as a low-cost sourcing hub with milk prices at INR 22-35 per litre, while Kenya offers stronger pricing power, and dairy-player margins in Africa are higher because processed milk is in short supply. - **A continent with cows but little processed milk** - Africa holds 20% of the world’s cattle yet produces only about 5% of global milk; East Africa alone accounts for 48% of the continent’s output, creating a large addressable market for branded, packaged dairy. - **Three brands, two countries** - products are sold under the “Dairy Top,” “Dodla +,” and “Pride of Cows” labels and include milk, yogurt, paneer, cheese, and UHT milk, with processing capacity of 300,000 litres per day in Uganda and 150,000 in Kenya. - **A greenfield bet near Kampala** - a new Uganda plant is under construction on a 70-acre land parcel near the capital, with completion expected by the end of FY29. ## 3. Orgafeed: the loyalty engine, not a standalone business **A cattle-feed subsidiary that sells high-quality feed to the same farmers who supply milk, with payments deducted from their milk bills - it boosts milk yields by 15-20% and locks farmers into the Dodla ecosystem.** - **Feed that lifts output** - Orgafeed’s feed blends have been shown to increase milk yields by 15-20% for partner farmers, which raises farmer incomes and makes them less likely to switch to a competing dairy. - **Paid through the milk cheque** - cattle feed is supplied to farmers through Dodla’s procurement network, and the cost is adjusted against the value of raw milk those farmers supply, creating a seamless transaction that deepens the relationship. - **Two plants, 480 tonnes a day** - manufacturing facilities at Kadapa and Kuppam in Andhra Pradesh have a combined capacity of 480 metric tonnes per day, with the Kuppam plant alone capable of 12,000 tonnes per month. ## 4. OSAM: the Eastern India bridgehead **A regional dairy brand in Bihar and Jharkhand, acquired in FY26, that gives Dodla instant processing capacity, a farmer network, and a premium brand in a geography it had not previously served.** - **Bought, not built** - the company acquired 100% of HR Food Processing Private Limited, which operates under the “OSAM” brand, for an enterprise value of INR 247.2 crores, in Jul'26. - **Two plants ready to run** - OSAM brings processing capacity of roughly 2.2 lakh litres per day through plants at Arrah, Bihar and Patratu, Jharkhand, with a product basket of milk, curd, lassi, paneer, sweets, and ghee that aligns with Dodla’s portfolio. - **A door into Eastern India** - the acquisition provides entry into Jharkhand, Bihar, and the broader Eastern India dairy market, with an established distribution network already in place. # Group structure and partners **A publicly listed Indian parent with a Singapore holding company that controls the Africa subsidiaries, plus two wholly owned Indian arms - Orgafeed and OSAM - that feed the core dairy engine.** - Dodla Dairy Limited, headquartered in Hyderabad, is the listed parent and has been traded on BSE and NSE since June 2021. - The international structure runs through Dodla Holdings Proprietary Limited in Singapore, which holds 99% of Dodla Dairy Kenya Limited and 100% of Lakeside Dairy Limited in Uganda; Country Delight Dairy Limited in Kenya is a direct subsidiary. - In India, wholly owned subsidiaries are Orgafeed Private Limited (cattle feed) and HR Food Processing Private Limited, the OSAM platform acquired in 2025. - Key acquisitions that built the group include Lakeside Dairy in Uganda (2014), KC Dairy plants in Tamil Nadu (2019), Shri Krishna Milks in Karnataka (2022-23, adding 1.5 LLPD capacity and access to Northern Karnataka and Goa), Countryside Dairy in Kenya (2022-23), and OSAM in Eastern India (2025).