Mangaluru: Raviraj Hegde, president of Dakshina Kannada Cooperative Milk Producers Union Ltd (DKMUL), announced that the union plans to establish a mega dairy unit, an ice cream plant, a paneer production unit, and a bottled water manufacturing facility in the near future.
Speaking to reporters on Monday, Hegde stated that detailed discussions on the proposed projects will take place during the board of directors meeting, following input from the National Dairy Development Board.
For the 2025-26 financial year, DKMUL recorded a total business turnover of Rs 1,270 crore, marking an 8.18% increase from Rs 1,174 crore in the previous year. The union posted a net profit of Rs 10.6 crore, down from Rs 12.8 crore in the prior year. Hegde attributed the profit decline to higher incentives provided to dairy farmers. The union offered incentives of Rs 2.50 per litre, comprising a regular incentive of Rs 1.50 per litre and an additional special incentive of Rs 1 per litre from February 21 to May 31, 2026. A total of Rs 23.9 crore was allocated for incentive distribution to milk producers.
Additionally, Rs 6.6 crore was provided as subsidies for dairy development schemes, including mini dairy units, milking machines, rubber mats, commercial dairy units, green fodder cultivation, cattle purchases from outside the state, and calf-rearing schemes. Milk procurement increased by 19% in 2025-26 compared to the previous year, with an average daily procurement of 4.07 lakh litres. The union currently operates through 1,781 active dealers, including 42 parlours, 91 franchises, and 15 TCD outlets.
Hegde also announced that two major projects, with a combined cost of Rs 11.2 crore, are under construction and expected to be inaugurated this financial year: a Rs 7 crore new warehouse at the Mangaluru headquarters and a Rs 4.2 crore administrative building at the Udupi dairy.
