Danone, the French multinational food-products firm have decided to shut down its dairy business in India.
The company is also closing down operations at its Rai plant in Haryana that it had set up in 2011 to produce dairy products.
According to the company statement, “The move is aimed at improving its growth in the country, where its dairy business had limited success. We have great ambitions for our business in India and remain committed to invest and grow here through our well-established brands.”
While, its dairy portfolio comprised packaged milk, yogurts, value-added milk-based drinks and dahi, the dairy division remained at less than 10 per cent of its business here.
“In order to maximise growth opportunities, we are continuously analysing our portfolio and sharpening our focus to accelerate investments on the best performing categories and products. For this reason, we will discontinue some of the SKU’s (shelf keeping units) sold in India.”