India-based Gokul dairy will build a new plant at Shirol tehsil in the Indian state of Maharashtra with an investment amount of INR495m ($8.22m), as reported by The Times of India.
The new plant will have a daily processing capacity of 100,000 litres of milk.
Of the total project cost, INR91.2m ($1.51m) funding was given as financial assistance. The funding will also be used to upgrade the existing plant and setting up an effluent treatment plant, The Times of India reported.
An amount of INR247m ($4.1m) was granted under the Rashtriya Krishi Vikas Yojana (RKVY) and the dairy will be given a total of INR198.2m ($3.29m) this financial year by the state.
The financial aid has been provided through the Rashtriya Krishi Vikas Yojana (RKVY), which comes under the Union agriculture and dairy development ministry.
Gokul dairy managing director D V Ghanekar said, "We have indeed received the funds and will utilize it within the next two years, as mandated by the Centre. The dairy management has already started ground work for the construction of a satellite dairy at Shirol tehsil with a daily processing capacity of 1.5 lakh litres of milk.
"The capacity will be expandable to two lakh litres daily. It will widen the reach of the dairy to collect milk from Shirol, Jaisinghpur and from Hatkanangale to Miraj. It will be able to capture the market in these places," Ghanekar added.
