MilkStation Is Innovating To Make Rajasthan A Diversified Dairy Hub

SUMMARY

Varieties of handmade cookies and soap, all made from camel milk, are part of its value-added product range

The Origin Story

Rajasthan was India’s second-best milk producer in FY23 (Uttar Pradesh topped the list). However, the state lagged in dairy processing due to a weak supply chain, adulteration issues and a lack of product innovation. Aware of this market gap and how it hurts consumers and the state’s economy, Nirmal Choudhary, an engineer and a UPSC aspirant, and his brother Manish launched MilkStation to make fresh and good quality dairy products.

The Differentiator

The dairy brand has set up a processing unit in Pali (Rajasthan) with a capacity of 40 kilolitres per day, including pasteurisation, homogenisation and cream separation. The cream extracted is churned to produce pasteurised butter, and pure desi ghee is made from this butter (a flagship product). MilkStation can produce 30 tonnes of ghee per month besides making paneer (cottage cheese), dahi (curd), chaas (buttermilk) and lassi. In addition, handmade cookies and soap are made from camel milk (available in three flavours and five variants, respectively). It maintains stringent quality control throughout all production procedures and focusses on fresh delivery.

The Growth

As MilkStation focusses on delivering fresh dairy products, items with a short shelf life are sold through retailers and distributors in Pali and Jodhpur. Products with a longer shelf life are sold through its distribution networks in Mumbai, Pune and Bengaluru. Customers can also purchase MilkStation products on its website and ecommerce platforms. The brand claimed 3x revenue growth in FY23 and started processing 15K litres of milk per day within two years of operations. Its initial target of 5K litres a day in the first year was achieved within three months.

What’s Next

MilkStation plans to expand its product range in 2024 by setting up an ice cream factory. It will also open ice cream and dairy outlets in cities like Jaipur, Jodhpur, Udaipur and Pali to drive offline sales. By 2025, the brand intends to set up a large-scale cheese factory and introduce a B2B2C model.