Danone to exit dairy business in India after losses
Danone, a French multinational FMCG corporation based in Paris, is shutting down their manufacturing unit in Haryana it had set up in 2011 for the production of dairy products. The move comes in response to the limited success it garnered in the dairy making segment of India.
Danone exited its dairy business in India to recast its portfolio to maximise growth opportunities and will be focusing more on investing in those categories that are rapidly growing. For this reason, they will discontinue some of the SKU's (shelf keeping units) sold in India. Its dairy product comprised of packaged milk, yogurts, smoothies, and dahi.
Along with this, the ultra heat treatment procedure, popularly known as the 'TetraPak" packaging method will also be discontinued.
While its revenue numbers for India are not available, a bulk of its revenue in India comes from nutrition based products- Protinex, Aptamil, Farex, Dexolac and Neocate products- which they claim make 90 percent of their business.