Cigarette and packaged foods maker ITC Ltd on Friday said it will shortly enter the dairy business. The company will launch the business from Munger in Bihar, where it has been working closely with dairy farmers, Chairman Y.C. Deveshwar said after announcing the plan to shareholders at ITC's annual general meeting.
The company will soon set up its own dairy in Munger, he said.
Among the first few products likely to be introduced by the company are skimmed milk powder, ghee and butter.
“We see great opportunity to add value and create derivatives in this business”, said Deveshwar.
“We see great opportunity to add value and create derivatives in this business”, said Deveshwar.
Deveshwar is a director of HT Media Ltd, which publishes Mint. Milk products will be an expansion of ITC's branded packaged foods business.
The company's long-term investment and expansion plans were “by and large on track”, said Deveshwar, adding that he was “not entirely happy” with the pace at which ITC was expanding its businesses.
This was largely on account of hindrances beyond ITC's control such as availability of land, he said.
Asked about ITC's management succession plan, Deveshwar said it was “too early” to discuss it. “I don't want to speak about this subject until five years later", he said.
Deveshwar on Friday obtained shareholders' approval for an extension of his term as chairman for another five years, but he has said he might serve a part of his extended term as a non-executive chairman helping his successor take over.
(Source -: mintlive.com)