DDC to start production outside valley

Kathmandu, August 16

In course of expanding its business Dairy Development Corporation (DDC) is preparing to begin production from outside the valley.

Despite the impact of COVID-19 on its business, the corporation is currently working on ways to expand its business.

According to Rudra Prasad Poudel, general manager of DDC, production of milk products will begin from Nepalgunj division office.

“Instead of transporting products from Kathmandu to the districts we are preparing to begin production of milk products in regional sectors,” he said. “Though production will take place in Nepalgunj sales outlets will be opened in both Nepalgunj and Surkhet in the initial phase,” he added.

Collecting milk from different districts, transporting them to Kathmandu for production and again transporting the finished products to the districts is quite costly.

Thus, the corporation is planning to execute its ‘local production and local market’ policy to expand its business.

DDC will later open more outlets inside and outside the valley. Similarly, it is also preparing to implement product-based projects.

“One product, one promotional project concept will be implemented for promotion of products,” Poudel said, adding, “From market study to production and distribution, the product-based project will be implemented.”

Amid this, DDC will be resuming operation of Biratnagar milk powder plant. “The plant in Biratnagar needs a bit of renovation. So, after renovating the plant and increasing its capacity we will resume producing milk powder,” he said.

“Currently, the Biratnagar plant has the capacity to produce five tonnes of milk powder per hour and we want to increase that capacity to 10 tonnes per hour,”

Poudel informed. The corporation has also allocated budget for the construction of a new milk powder plant during this fiscal, he added.

Meanwhile, DDC is also collaborating with the private sector to sell its products.

During the lockdown period, consumption of milk and milk products had declined.

Thus, the corporation started to collaborate with supermarkets and retailers. It has also called on retailers to become authorised sellers of DDC products.

A version of this article appears in e-paper on August 17, 2020, of The Himalayan Times.