Coca Cola to Compete with Amul, Nestle, & Britannia in India's Pure Dairy Segment

Published Date : Nov 30, 2015

Juice and soda maker Coca Cola is planning to take the Indian market by storm, by venturing into the pure dairy segment and competing against industry leaders Amul, Nestle, and Britannia. The Minute Maid juice and Thums Up cola maker is hoping to introduce Vio in India. Vio is a global milk based drink brand of Coca Cola that contains no carbonation. An official with knowledge about the development said that this will be an innovation entirely limited to India. 

Another official with information regarding the Coca Cola plans said that the rollout is scheduled for as early as January 2016 or somewhere in the first quarter of the coming year. The back end and front end of the venture are still being fine tuned. One of the officials said that the company will be roping in Schreiber Dynamix Dairies, a dairy giant, for its milk beverage. The plan is that in the first phase, the bottled product will be introduced in locally relevant flavors. 

A Coca Cola spokesperson said that in the dairy space, the company already has an offering in the form of Maaza Milky Delite, which is being sold in select markets. As a result, the global brand of Vio presents a viable option for Coca Cola. The spokesperson added that it was too early to comment on exactly when the brand will be launched in India. Maaza Milky Delite is made of milk solids and mango. 

Customers of Schreiber Dynamix Dairies include Nestle, Pepsico, Mother Dairy, and Britannia, according to the company website. Sales of Coca Cola fizzy drinks have been grappling over the past five quarters with low growth rates in the single digit. This explains Coca Cola’s venture into the dairy market. Packaged milk in India contributes an estimated INR 50,000 crore to the economy.