Amul To Open 100 Dedicated Stores For Organic Food Nationwide

Amul has opened its first store exclusively catering to its line of organic food items, such as flour, rice and pulses, as the country's largest dairy cooperative under the Gujarat Cooperative Milk Marketing Federation aims to tap the lucrative $1.3-billion organic food market as its next frontier.

Christened Organic Shoppe, the store was inaugurated in Mayur Vihar in New Delhi by Union Home Minister Amit Shah on Sunday. The company has plans to roll out 100 such stores across the country in the next one year, Jayen Mehta, managing director of GCMMF told NDTV Profit.

Amul forayed into the organic food space in 2022 with the launch of whole wheat flour. Currently, it has 25 organic products in its basket, including flours and pulses like urad dal, chana dal, masoor dal, moong, rajma, and chana, and different types of rice, including basmati and sona masuri.

"These products are sourced from certified organic farmers, tested in accredited organic testing laboratories and processed in certified plants," the company said in a statement. "Amul has also ensured that the organic products are priced reasonably, making them affordable and accessible to a larger segment of society."

The dairy major also plans to launch more products such as organic sugar, jaggery and tea.

The move comes in response to increasing consumer interest in natural, chemical-free foods that promote health and sustainability. With a vast farmer network, extensive distribution channels and a strong brand recall, Amul is well-positioned to capitalise on the growing demand for organic food. The organic food market in the country has a potential to touch $4.6 billion by 2028.

Amul, with an annual turnover of Rs 80,000 crore, is owned by 36 lakh farmers of Gujarat. Amul's entry into the organic sector is a significant step towards promoting organic farming and consumption in India. "Organic farming is beneficial for the environment as it reduces the use of synthetic fertilisers and pesticides, which can harm the soil, water and biodiversity."

The launch of the organic store comes a year after it inaugurated an organic testing laboratory at AmulFed Dairy, Gandhinagar.