Dairy stock overview

Dairy stock in millions

milking

Crossed breed; 0.7

19.6

non-milking

0.6

Local breed
Crossed
breed
Local breed; 4.2

4.9
C attle

0.3

B u ff alo

 Growth drivers
- Rising demand for milk-based food products in daily
consumption and as beverages
-Low cost of input (raw materials, human resources etc.)
- One of the highest cattle density in the world: 145 large
ruminants per square kilometres in 2010
- Bangladesh Bank provides loans with 5 pc interest rate
on milk related ventures
- Abundance of govt help

MILK PRODUCTION
Milk in thousand tons
80pc consumed in
informal network
20pc delivered to
formal milk processors
2686

Local
production

3910

52

Import
Deficit

Milk Production
Milk Production
8.00
6.97

7.00
6.09

6.00
5.07

5.00
In Million Tonnes

4.00
3.00
2.3

7.28

3.46
2.3

2.5

2.3

2.35

2.8

2.00
1.00
0.00
2005- 06 2006- 07 2007-08 2008- 09 2009- 10 2010-11 2011- 12 2012- 13 2013-14 2014- 15 2015- 16

Wholesale price of different

products
Avg Wholesale price in 2014 and 2015 per quintal

BDT/Quintal

90000
80000
70000
60000
50000
40000
30000
20000
10000
0

Export
Milk
2011Powder 12

201213

201314

201415

Export
amount
(in kg)

23580

200995

56294

193166

BDT in
thousan
ds

26134

22579

5513

72990

Import
Commodity

Unit

2011-12

2012-13

2013-14

2014-15

Quantity

BDT in
thousand
s

Quantity

BDT in
thousand
s

Quantity

BDT in
thousand
s

Quantity

BDT in
thousand
s

Milk & cream other fat 1% +

<=6%

litr

401208

28552

410320

23415

711317

90669

394491

41903

Skim milk powder fat <=1.5%

w/sugar

kg

-Milk powder fat <=1.5% w/sugar

Kg

659163
65

187832
44

397740
00

109617
32

701651
10

212615
34

939046
66

231523
92

Milk powder not sugar fat 1.5% +

kg

Cream powder not sugar fat 1.5%

+

kg

Milk/cream powder etc. other

kg

Milk/cream other not containing

sugar

kg

Milk and cream with sugar, other

kg

- Whey containing sugar/ sweet

or not

kg

545305
1

451521

638352
4

666140

678781
9

667529

866951
0

811477

Butter, canned, fresh/ frozen

kg

Butter, melted (ghee)

kg

Key competitors
Milk Vita
BRAC Dairy
PRAN

Milk Vita
Fresh milk processing and marketing in Bangladesh began in 1952, with the
establishment of Eastern Milk Products Limited, a private company, which
sold products under the trade name of Milk Vita. In 1965, the companys
ownership was transferred to the Eastern Milk Producers' Cooperative Union
Ltd.,the first milk cooperative in what was then East Pakistan. After
independence, the cooperative was renamed the Bangladesh Milk Producers
Cooperative Union Limited (BMPCUL), and is best known today by its
popular brand name, Milk Vita.
Milk Vita is Bangladesh's largest dairy, and currently represents almost half
of countrys total processed milk production. Members of the Milk Vita
marketing cooperative deliver milk to collection points, where it is then
transported to a chilling plant before processing. Milk Vita members receive
technical training, livestock genetics, veterinary and extension services, and
various other production inputs.

PRAN
In 2002, the Program for Rural Advancement Nationally
(PRAN), one of the largest agro-processing firms in
Bangladesh, partnered with Land O Lakes, Tetra Pak, and
the U.S. Department of Agriculture(USDA), to introduce
ultra high temperature (UHT) treated milk into the
Bangladesh School Nutrition Program. The technical
expertise developed during this project was also shared
with other companies to expand local commercial
production of UHT milk. Today, PRAN is the third largest
dairy operation in Bangladesh, representing about 10
percent of the market.

Market share of liquid milk among the

different enterprises
Processing companies

Establishment Year

Average milk collection

('000 liter/day)

Market share
(%)

No. of producers
supplying milk

BMPCUL (Milk Vita)

1973

200

52.08%

150,000

BRAC Dairy (Aarong)

1988

80

20.83%

70,000

Pran Dairy

2001

40

10.42%

30,000

Amo milk

1996

10

2.60%

5,000

Bikrompur Dairy

1998

10

2.60%

6,000

Ultra Shelaide Dairy

1998

10

2.60%

4,000

Aftab Dairy

1998

2.08%

4,000

Tulip Dairy

1998

0.78%

2,000

Grameen/CLDDP

1999

1.32%

6,000

Grameen-Damone

2007

0.03%

Rangpur Dairy

2007

2.08%

7,000

Akij Dairy

2007

1.04%

500

Savar Dairy

1974

1.54%

Government farm

387,000 Liter

100%

284,500

Total milk collection/day

BRAC Dairy
In 1998, BRAC, the Bangladesh based development organization, launched BRAC
Dairy to assist its village organizations in dairy production and market development.
BRAC offers microfinance loans for livestock and provides a range of market
services, including transportation, pasteurization, processing, branding and
distribution. Independent dealers typically purchase milk directly from
approximately 40,000 farmers and transport it to one of BRAC Dairys 100 chilling
stations, which are mostly located in the western divisions Khulna, Dhaka, Rajshahi,
and Rangpur. As BRAC generally offers competitively higher prices, farmers
consistently receive a fair market price. BRAC processes milk at a central facility in
Gazipur, which produces a range of products under the Aarong brand name.
BRAC(Aarong) products include fresh and powdered milk, flavored milk, flavored
yoghurt and sour curd. BRAC is the second largest dairy operation in Bangladesh
with over 1,400 employees working under its umbrella., representing about 24
percent of the countries processed milk output.
BRAC Dairy was the first dairy company in Bangladesh to have received ISO 22000
Certification, setting an example of vigilance at every stage of dairy production,
processing, and distribution contributing to dairy products safety record

BRAC DAIRY PRODUCTS

Pasteurised milk (200, 250, 500, 1000 ml)
UHT milk (500ml)
Pasteurised low-fat milk ()
Full-cream milk powder (400, 500gm)
Low-fat milk powder
Sour curd (500 ml)
Sweet curd (500 ml)
Strawberry yogurt drink (250 ml)
pasteurised chocolate flavoured milk (200 ml)
Pasteurised mango flavoured milk (200 ml)
Butter (100, 200 ml)
Ghee (200, 400, 900 gm)
Laban (250, 500 ml)

BRAC DAIRY

BRAC DAIRY

BRAC DAIRY
We collect milk from over 50,000 farmers, process it into a wide range of
different products, and market it through a variety of retail channels.
We focus on producing premium quality products and promoting dairy
nutrition knowledge. We are the second largest local milk processor in the
country. BRAC Dairy has the processing capacity of 170,000 litres of milk
per day (2014).
In 2015
i. 110 automated milk collection units were introduced, to improve the
quality and efficiency of milk collection.
ii. Introduced Laban, a new dairy drink.

BRAC DAIRY
Sales
Revenue

2015

2014

2,976,347,522

2,940,755,762