Milma ties up with Lulu Group to sell products in West Asia 

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Kerala Cooperative Milk Marketing Federation (KCMMF), known by its brand name Milma, has signed an agreement with Lulu Group for the sale of its dairy products through the retail major’s vast network of hypermarkets and malls in West Asia.

The MoU was signed by KCMMF Managing Director Asif K. Yusuf and Lulu Group Director Salim M.A. in the presence of Kerala Industries Minister P.Rajeeve, Kerala Principal Secretary (Industries and Norka) Suman Billa, Lulu Group Chairman and Managing Director M.A. Yusuff Ali and KCMMF Chairman K.S. Mani on the sidelines of the World Food India-2023 in New Delhi.

Initially, Milma’s five products with long shelf-life will be available in Lulu’s hypermarkets. They are ghee, premium dark chocolates, golden milk mix powder (health drink), instant paneer-butter masala and palada payasam mix.

Mani said Milma, on realising that its traditional products (milk and curd) alone cannot take the cooperative forward, has been boosting its sales on value-added products such as ghee, butter, cheese and yoghurt to cater to the tastes of the modern generation. “Our tie-up with Lulu is set to open new avenues for Milma products in West Asia,” he pointed out.

While according priority to consumer satisfaction, Milma also ensures decent remuneration to the dairy farmers in the cooperative, Mani said. “We give the farmers 83 per cent of the proceeds of the sale. No other cooperative society does it in the country,” he added. “Our pact with Lulu will make Milma an international brand. The ultimate beneficiaries of it will be the farmers themselves.”

KCMMF MD Asif K. Yusuf said the pact with Lulu is estimated to generate a sale of ₹1,000 crore in the first two years. “We aim to increase the product list to 25 to be sold at Lulu outlets,” he added.

Lulu CMD Yusuff Ali termed the industrial climate in Kerala as healthy, hailing the government’s efforts towards improving Ease of Doing Business that permits start of business within 48 hours of application. “Our MoU with Milma will better the prospects of the dairy farmers of the state,” he added.

Lulu Director Salim M A said the company had found that the Milma products were of high quality. “Currently, we are selling only those products which have a decent shelf-life. We are in talks with Milma on finding ways to ensure a better range of their other dairy products,” he said.