The company, having an annual turnover of about Rs 250 crore, including export of frozen foods worth Rs 35 crore, is setting up a plant with an investment of Rs 20 crore in Kolkata.
It would have a capacity to manufacture 50,000 litres of ice cream daily. Vadilal Enterprises Ltd has also invested Rs 45 crore on capacity expansion of its plants at Pundhra (Gujarat) and Bareilly (Uttar Pradesh), which have a total capacity of 2.50 lakh litres daily.
Mr Rajesh Gandhi and Mr Devanshu Gandhi, Managing Directors, said here on Tuesday that under the backward integration plan, the company is also ramping up its daily milk procurement for ice cream making from 10,000 litres in winter and about 40,000 litres in summer.
This milk is being procured directly from farmers and their cooperatives.
Seventy per cent of the group’s revenue comes from the ice cream business, which has a growth rate of 15 per cent.
Vadilal brand of ice creams, which came into being in 1926, boasts of being India’s largest frozen food network with over 40,000 retailers mainly across Gujarat, Maharashtra, Rajasthan, Madhya Pradesh, Uttarakhand and Haryana where it is the market leader.
By 2011, Vadilal will expand its 120-strong network of Happinezz brand of ice cream parlours by 100 on a franchisee model.
The Gandhis said Vadilal has been awarded seven times by Indian Dairy Association. Recently, it won seven awards at the Great Indian Ice Cream Contest held at New Delhi in which 102 entries were received from 24 companies across the country.
The company participated in six product categories and won in five.