Milky Mist Dairy Food has commissioned a new manufacturing facility for Skyr and Greek yoghurt at its integrated plant in Perundurai, Tamil Nadu, as the dairy company expands capacity to meet growing demand for high-protein products.
The company has invested approximately ₹40 crore in the new facility, which uses ultrafiltration technology and has a processing capacity of up to 150 tonnes per day. The plant became operational on September 10.
The expansion comes after Milky Mist's earlier yoghurt facility, commissioned in 2022, reached its existing capacity of around 20 tonnes per day. The company said demand for the category has grown by more than 50% annually since 2022, prompting the need for a dedicated production facility.
New plant expands high-protein dairy capacity
The new facility has been designed specifically for manufacturing Skyr and Greek yoghurt using ultrafiltration technology. Milky Mist said the investment will allow it to scale production while maintaining consistency and strengthening its high-protein dairy portfolio.
The company was among the early players in India to adopt ultrafiltration technology for Skyr and Greek yoghurt, introducing the process in 2022.
According to the company, demand for its high-protein yoghurt products has more than doubled in recent months, adding further pressure on existing manufacturing capacity.
K. Rathnam, Whole-time Director and CEO of Milky Mist Dairy Food, said the growth in Skyr and Greek yoghurt reflects the broader shift in consumer preferences towards high-protein nutrition and value-added dairy products.
From 20 tonnes to 150 tonnes a day
The scale of the new facility represents a substantial increase over Milky Mist's earlier production capability.
The company's existing capacity for the category stood at about 20 tonnes per day and was operating at 100% utilisation. The new plant can process up to 150 tonnes per day, giving Milky Mist significantly more headroom to expand sales of Skyr and Greek yoghurt.
The company has not disclosed a specific utilisation target or revenue contribution expected from the new facility.
Investment linked to Milky Mist's expansion plans
The ₹40 crore project is part of Milky Mist's broader investment and modernisation programme at its Perundurai manufacturing facility.
The company has said the project is being financed through a combination of internal accruals and proceeds from its IPO.
The commissioning also comes shortly after Milky Mist entered the public markets, giving the company additional capital to pursue capacity expansion across its value-added food portfolio.
High-protein dairy moves further into the mainstream
The investment comes as Indian consumers show increasing interest in foods positioned around protein and convenience.
Greek yoghurt and Skyr have traditionally occupied a relatively premium segment of the dairy market, with demand particularly visible among urban and health-conscious consumers. The recent growth in the category is encouraging dairy companies to invest in larger-scale production rather than treating these products as niche offerings.
For Milky Mist, the strategy fits into its wider focus on value-added dairy and packaged foods, where products can command a premium over traditional dairy staples.
The company's latest investment therefore reflects two developments taking place simultaneously: growing consumer interest in protein-rich foods and dairy companies' push towards higher-value products.
Perundurai remains central to Milky Mist's manufacturing strategy
The new Skyr and Greek yoghurt plant adds another specialised production capability to Milky Mist's integrated manufacturing facility at Perundurai.
The company operates its main integrated manufacturing facility in the region, with a broad portfolio spanning dairy and value-added food products. As of March 2026, the company's wider distribution network covered 22 states and five Union Territories, with more than 4,000 distributors and over 3.75 lakh retail outlets.
The additional capacity could therefore help Milky Mist take its high-protein dairy products to a wider market as distribution expands.
A sign of where India's dairy market is heading
The investment comes at a time when India's dairy industry is gradually moving beyond its traditional staples.
Milk, curd and paneer remain the backbone of the market, but categories such as Greek yoghurt, Skyr, cheese, flavoured yoghurt, probiotic products and protein beverages are creating new opportunities for organised dairy companies.
For manufacturers, these products offer a way to differentiate themselves through nutrition, technology, branding and convenience, rather than competing solely on price.
Milky Mist's decision to invest ₹40 crore in a dedicated facility suggests that the company expects this shift to continue.
With the new plant now operational, the immediate focus will be on scaling production and converting the growing interest in high-protein dairy into sustained, mainstream consumption.
For India's dairy industry, the message is becoming increasingly clear: the next phase of growth may come not simply from selling more milk, but from creating more value from it.