Britannia, Groupe Bel India venture starts cheese production

INDIA – Britannia Bel Foods, a joint venture between India’s Britannia Industries and France-based Bel Group, has inaugurated its new cheese factory in Maharashtra, India. 

Located at Britannia’s dairy food park in Ranjangaon, the facility is exclusively dedicated to producing The Laughing Cow cheese, a well-known brand under Bel Group. 

The cheese will be marketed locally under the brand “Britannia The Laughing Cow,” blending the strengths of both companies to cater to Indian consumers.

The plant, built at an investment of US$26.1m, boasts five production lines with an annual capacity of 6,000 tons for natural cheeses like cheddar and mozzarella and 10,000 tons for processed cheese. 

Abhishek Sinha, CEO of Britannia Bel Foods, noted that this state-of-the-art facility combines Bel’s global expertise with world-class manufacturing to elevate India’s cheese sector. 

The factory is part of a larger effort to strengthen Britannia Bel Foods’ presence in the Indian market through an integrated dairy program.

The launch follows the creation of Britannia Bel Foods in 2021, when Bel Group acquired a 49% stake in Britannia’s wholly-owned subsidiary, Britannia Dairy Private Limited, for US$32.1m. This partnership merges Britannia’s established market reach with Bel’s global cheese-making heritage.

India’s cheese market on the rise

India’s cheese market is experiencing significant growth, projected to expand from US$1.614 billion in 2023 to US$2.395 billion by 2028, with a compound annual growth rate (CAGR) of 8.21%. 

This robust growth follows a notable CAGR of 15.04% from 2018 to 2023, driven by evolving consumer tastes, increasing urbanization, and higher disposable incomes. 

In 2023 alone, the market grew by 14.09% to reach a sales value of INR 133.33 billion.

Processed cheese remains the most popular segment, though demand for natural cheese is rising as Indian consumers show interest in artisanal and premium varieties. 

The expanding middle class, the proliferation of fast-food chains, and growing awareness of cheese’s versatility in cooking are fueling demand.

However, companies seeking to capitalize on this opportunity must contend with India’s complex supply chains and a diverse consumer base with varying preferences. 

Nevertheless, the outlook remains positive as the market continues its upward trajectory, creating room for both established players and new entrants.

Subscribe to our food and agriculture industry email newsletters that provide busy executives like you with the latest news insights and trends from Africa and the World. SUBSCRIBE HERE