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Wal-Mart to have dairy processing unit

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Eyeing possibilities in the dairy sector, Wal-Mart may set up a dairy processing unit in India and is also looking at direct sourcing of processed dairy products, say industry sources.

It is learnt that the company will retail products in the international markets, and for that it will source at a very large scale and will have to set up a processing unit. Once Wal-Mart’s India operations through Bharti starts, the products will be retailed in the country as well.

Sources say Wal-Mart is planning to initially source more than 15 lakh litres of milk everyday. In recent times, the dairy sector in India has attracted interest of many multinational as well as domestic companies.

Wal-Mart started sourcing operations from India in 2001 as part of its global procurement operations. The company sources products worth about $600 million from India.

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