New Delhi, September 24, 2024: BL Agro, a renowned name in the Indian FMCG and agri-food sector, has set its sights on revolutionising the dairy industry. Through its newly launched entity, BL Kamdhenu Farms, the company is making significant strides toward sustainable cattle breeding and dairy farming. At the heart of this bold move is a groundbreaking partnership with DeLaval, a Sweden-based leader in dairy technology, formalised during the prestigious World Food India 2024 event. With a total investment of nearly ₹1500 crore, this initiative promises to reshape India’s dairy landscape by integrating cutting-edge technology and creating a zero-waste economy.
Partnerships set to change dairy farming
BL Kamdhenu Farms Limited’s Memorandum of Understanding (MoU) with DeLaval, signed in the presence of H.E. Jan Thesleff, the Swedish Ambassador to India, marks the beginning of a long-term commitment to sustainability in the dairy sector. This partnership aims to introduce advanced dairy technology in India, focusing on enhancing milk production, cow comfort, and overall farm management. It integrates all aspects of the dairy value chain, from feed production to waste management, to promote a circular economy. By harnessing technology, BL Kamdhenu is taking a giant leap towards creating an eco-friendly and profitable dairy industry.
Speaking on the occasion, Navneet Ravikar, Director of BL Kamdhenu Farms, highlighted the importance of the collaboration. He said, “This partnership with DeLaval marks a pivotal moment in our journey to innovate and transform India’s dairy industry. Through this collaboration, we aim to create a fully integrated and sustainable milk value chain that benefits both farmers and the environment.”
DeLaval’s expertise in integrated dairy solutions, which enhance milk quality, boost production volumes, and improve animal welfare, is set to strengthen India’s dairy industry. In addition, it will significantly contribute to achieving the country’s sustainability goals by reducing the environmental footprint of dairy farming.
Creating a circular economy in dairy
If we talk about India’s dairy industry, it is expected to witness healthy revenue growth of 13-14 per cent this financial year, driven by strong consumer demand and improved supply of raw milk, according to Crisil Ratings. However, despite this positive outlook, the sector faces significant challenges due to its largely unorganised nature. Very few entrepreneurs are investing in essential areas such as the genetic improvement of indigenous cattle breeds and increasing the fertility rate of high-yield breeds.
This step towards integrating advanced technologies for cattle breeding, such as the one initiated by BL Kamdhenu Farms, is a crucial move. It aims not only to enhance milk productivity but also to formalise and modernise India’s dairy industry, addressing the sector’s structural weaknesses. By focusing on sustainable farming practices and improving breed quality, this initiative has the potential to unlock significant long-term benefits for both farmers and the broader dairy ecosystem.
With that being said, BL Agro’s new venture is not just about increasing milk yields or improving cattle breeds; it’s about creating a model that aligns with sustainability principles. With DeLaval’s technology, the farm will focus on creating a zero-waste ecosystem where every aspect of dairy farming, from feed production to manure management, is optimised for maximum efficiency and minimum environmental impact.
For instance, waste from dairy farms will be repurposed to create organic manure and eco-friendly compressed biogas (CBG). This approach will reduce dependency on crude oil and play a crucial role in achieving the company’s circular economy goals. As India strives to reduce its carbon emissions and move towards renewable energy, BL Kamdhenu’s dairy farms could serve as a model for sustainable agriculture.
Improving farmer livelihoods and boosting dairy production
One of the primary objectives of BL Kamdhenu is to improve the livelihoods of farmers by increasing the yield of milk from their cattle. Currently, the average yield per cow in India is around seven liters per day. However, with the introduction of better breeding techniques, advanced milking systems, and farm management solutions, BL Kamdhenu aims to raise this figure to 40-60 liters per day.
As Ashish Khandelwal, Managing Director of BL Agro Industries Limited, explained in an interview, “We are focusing on improving the breed of cows and increasing their milk yield, which will significantly enhance the quality of life for farmers who rely on dairy farming as a source of income.”
Moreover, BL Kamdhenu will establish a cattle feed manufacturing unit producing 7,500 metric tonnes of balanced cattle feed per month. This ensures that farmers have access to high-quality feed, which is essential for maximising milk production.
The company’s initiatives are also set to create a significant number of jobs, both directly and indirectly. Over the next two to three years, BL Kamdhenu expects to generate around 5,000 jobs, including 1,000 direct jobs and 4,000 indirect jobs, further bolstering the rural economy according to the reports published in smefutures.com.
Vision 2030: A bold blueprint for the future
BL Kamdhenu’s foray into dairy is part of BL Agro’s larger Vision 2030 strategy, unveiled at World Food India 2024. The group has set an ambitious target of achieving a turnover of ₹20,000 crores by 2030. The key pillars of this strategy include the dairy initiative by BL Kamdhenu, AgriTech innovations by Leads Connect, and EarthTech Analytics by Leads Nextech.
Ashish Khandelwal emphasised the significance of this blueprint, stating, “We don’t see Vision 2030 as a mere growth plan. It’s a commitment to driving meaningful change across the agri-food chain. Through investments in innovative solutions like dairy tech and space-tech-driven analytics, we are building a future that is more efficient, sustainable, and beneficial to our farmers and consumers.”
Global partnerships to drive innovation
In addition to its collaboration with DeLaval, BL Kamdhenu has also signed a Memorandum of Understanding with Arya Capital, a Poland-based investment firm. This partnership will bring advanced green technology solutions to India’s agriculture and infrastructure sectors. By leveraging drone technology, forestry solutions, and compressed biogas (CBG) production, BL Kamdhenu aims to lead the way in sustainable farming practices.
Dr. Arun Kumar, Minister of State, Forest, Environment, Wildlife, and Climate Change, Uttar Pradesh, praised the initiative, saying, “The partnership between BL Agro and Arya Capital is a testament to India’s commitment to progress in all fields. We’re adopting cutting-edge technologies that make sustainability a reality and protect the environment.”
A sustainable future for India’s dairy industry
BL Kamdhenu’s venture into dairy farming, backed by global partnerships and cutting-edge technology, is poised to bring about a transformation in India’s dairy sector. By focusing on sustainability, efficiency, and farmer welfare, the company is not only positioning itself as a leader in the dairy industry but also contributing to India’s broader sustainability goals.
As the world moves towards more sustainable practices, initiatives like BL Kamdhenu’s integrated dairy farms and zero-waste ecosystems could set a new benchmark for how industries can balance growth with environmental responsibility. With its bold Vision 2030 roadmap and commitment to innovation, BL Kamdhenu is well on its way to revolutionising India’s dairy industry while creating long-term benefits for farmers, consumers, and the environment alike.
In the words of Navneet Ravikar, “Only when we ensure zero waste can we create long-term benefits for farmers and the environment alike.” This vision, paired with BL Kamdhenu’s groundbreaking initiatives, promises a bright and sustainable future for India’s dairy industry.
