The dairy industry of India has undergone tremendous growth during the last decade or so and stands tall as one of the pillars of the agricultural economy of the nation. As of 2025, the contribution of the dairy industry to India’s GDP is around 5.3%, and market valuation is more than ₹16.5 trillion (US$220 billion). The organized dairy segment has maintained a compound annual growth rate (CAGR) of 14.2% from 2020-2025, demonstrating both resilience and growth potential within the industry. Increasing health consciousness, urbanization, and disposable income are contributing to an almost steady rise in consumer demand for quality dairy products at the rate of 8−10% per year.
In this flourishing ecosystem, Franchise opportunities have sprouted up as lucrative business avenues. From 2022, the Mother Dairy Franchise network has recorded a growth of 22% with more than 3,500 retail touchpoints in the country. Industry outlook suggests that the dairy retail segment may grow further by another 18% before 2027, thereby making the this Franchise a good strategic investment in a sector of utmost importance to India’s nutritional security and economic growth.
About Mother Dairy: Trusted Indian Brand in Dairy and Agri-Products
Established in 1974 as a subsidiary of the National Dairy Development Board (NDDB), Mother Dairy has come to be one of the most well-trusted brands in the country with respect to dairy and agri-products. The institution was conceived under Operation Flood, the world’s largest dairy development program, which transformed India from a milk-poor nation to the largest milk producer in the world. Every day, Mother Dairy processes more than 5.5 million liters of milk and serves more than 4.5 million consumers across the country.
The brand portfolio is not only milk, but also includes curd, butter, cheese, ice creams, and ghee in the dairy segment; fresh fruits and vegetables under the Safal brand; as well as edible oils under the Dhara brand. Mother Dairy generates an annual turnover of more than ₹150 billion for FY 2024-25 and keeps on contributing to bridging the gap between rural producers and urban consumers at fair prices for both sides. The Mother Dairy Franchise model created this farm-to-table ecosystem for entrepreneurs to enter a partnership with a premier brand which stands for quality, purity, and trust for generations of Indian consumers.
Why Choose a Mother Dairy Franchise?
There are many advantages an aspiring entrepreneur gains from opting for a Mother Dairy franchise:
- Established Brand Recognition: Half a century plus in the market place has made any Mother Dairy name an instant customer trust and loyalty; it means no challenges of representing a new brand.
- Initial Investment but More Returns: Initial investments would start from as low as ₹5-10 lakhs with potential returns realized at 15-25% of the investment compared to other franchise modes that do not catch much attraction.
- Supply Chain Excellence: Absolute Freshness Guaranteed with Less Wastage: Franchisee benefits from the temperature controlled robust supply chain of Mother Dairy ensuring product freshness and lesser wastage.
- Operational Support: He is given complete training, marketing support, and an ongoing process of business development as well, all provided by the corporate team to maximize the performance of the franchise.
- Product Diversity: Access to a fairly wide range of dairy products, fruits, vegetables, and edible oils: This one-stop shop could fit almost any consumer need.
- Socio-Economic Impact: Engaging himself in a cooperative-model business, therefore, adds the aspect of why entrepreneurship is undergoing in itself-the benefit of national nutrition security and sustenance for millions of farmer livelihoods.
Mother Dairy Franchise Models
This Franchise offers flexibility to its business models for different types of investments, locations, and changing aspirations towards entrepreneurship. Each such model is defined according to its own potential as far as its entry point into the dairy retailing ecosystem is concerned:
1. Mother Dairy Milk Booth
Everyone knows the white and blue booths that feature in the most recognizable format in the Mother Dairy Franchise portfolio. These booths are the smallest size-wise (occupying 80-120 sq. ft) and require a minimal initial investment ranging between ₹ 5-7 lakhs. Their main agenda is liquid milk and simple, basic dairy products-cum preparations, namely curd and lassi, and they operate entirely on commission, with franchisees earning 3.5-5% on sales.
The booths are intended for residential areas and would generate average monthly sales of ₹ 6-10 lakhs-revenues of ₹ 25,000-45,000 to be earned every month. That simplicity makes this model very ideal for first-time entrepreneurs with limited staffing needs (1-2 persons). In 2024-25, it was estimated that franchisees of the milk booth would report average ROI earnings in the range of 18-22% with positive sites achieving breakeven between 12-18 months.
2. Mother Dairy Safal Store (Fruits & Vegetables)
The model of the Safal store is intended for fresh produce and has 100-plus varieties of quality-checked fruits and vegetables at reasonable prices. This store format is in a space of about 250-400 sq. ft. and requires an investment of about ₹10-15 lakhs and commissions of 7-10% on sales for higher profit margins. These stores operate almost entirely in market complexes and community centers, satisfying the burgeoning consumer demand for quality produce, generating healthy sales of ₹12-18 lakhs per month. Franchisees should expect to earn appreciably from ₹70,000-1,20,000 per month, achieving returns in the range of 20-25%. Safal stores procure produce directly from the farms, thus presenting very fresh products at reasonable prices as their unique selling proposition.
3. Full-Fledged Mother Dairy Retail Outlet
The entire Mother Dairy franchise model covers the entire range of products: dairy, fruits, vegetables, and edible oils. These larger format stores (400-600 sq. ft.) incur an investment of ₹15-25 lakhs and yield the maximum profit potential. Operating under a hybrid model with different commission structures for different product categories (3-10%), monthly sales for these stores can reach₹20-30 lakhs. The franchisee typically earns ₹1,20,000-2,00,000 monthly and expects an ROI of 22-30%. The outlets are one-stop solutions for neighborhood grocery needs and attract cross-category customer traffic. A Staff Size of 3-5 is required under the model, and break-even is usually attained in 18-24 months.
Mother Dairy Franchise Investment & Cost Breakdown
Factors Influencing Cost
Mother Dairy Franchise determines bulk for factors:
Location Dynamics:
Rentals in prime locations of metropolitan cities are charged at a premium and are placed around ₹100-150 per sq. ft. Tier-2 and Tier-3 cities would command ₹40-80 per sq. ft. Meanwhile, core urban markets have started seeing appreciation in property rates by about 12% post-2022, directly affecting franchise setting-up costs.
Selection of the Model:
The chosen franchise format would have a substantial bearing on the capital investment:
- Milk Booth: ₹ 5-7 lakhs
- Safal Store: ₹ 10-15 lakhs
- Full Retail Outlet: ₹ 15-25 lakhs
Infrastructure Requirements:
Besides real estate costs, these include:
- Refrigeration equipment-Rs. 2.00 lakh to Rs. 4.00 lakh (depending upon capacity and specifications)
- Store interior/branding (Rs.1.5 lakhs to Rs.3 lakhs)
- Initial inventory (₹2-7 lakhs depending on store format)
- Point of sale systems (₹50,000- ₹1.2 lakhs)
- Security deposit (₹2-5 lakhs, refundable).
Operational Expenditure:
Recurring monthly costs include Prof.
- Rent per month: ₹20,000-80,000(depends on location)
- Utility Services (electricity, water): ₹8,000-20,000
- Staff Salaries: ₹15,000-45,000(depends on the model)
- miscellaneous expenses: ₹5,000-15,000.
Profit Margin & Earning Potential
Mother Dairy franchise models provide several kinds of Return on Equities (ROEs).
Milk Booth:
- Average daily sales: ₹20,000-35,000
- Monthly revenue: ₹6-10 lakhs
- Commission rate: 3.5-5%
- Monthly profit: ₹25,000-45,000
- Annual profit: ₹3-5.4 lakhs
- ROI: 18-22%
- Break-even period: 12-18 months
Safal Store:
- Average daily sales: ₹40,000-60,000
- Monthly revenue: ₹12-18 lakhs
- Commission rate: 7-10%
- Monthly profit: ₹70,000-1,20,000
- Annual profit: ₹8.4-14.4 lakhs
- ROI: 20-25%
- Break-even period: 15-20 months
Full Retail Outlet:
- Average daily sales: ₹65,000-1,00,000
- Monthly revenue: ₹20-30 lakhs
- Blended commission rate: 6-8%
- Monthly profit: ₹1,20,000-2,00,000
- Annual profit: ₹14.4-24 lakhs
- ROI: 22-30%
- Break-even period: 18-24 months.
Eligibility Criteria
For any individual wishing to apply for the Mother Dairy franchise, the following gives a glance at some of the prerequisites to qualify:
Financial Requirements:
- The proof of availability of funds equal to the chosen franchise model
- Clear banking history with a suitable score above 700
- Ability to provide the security deposit required
Educational and Professional Qualifications:
- Minimum educational qualification: Higher secondary (preferred: graduate)
- Basic business acumen and entrepreneurial mindset
- Prior retail experience preferred but not mandatory
Property Requirements:
- The land should be owned or on a long lease (minimum of five years).
- Different location requirements based on model:
- Milk Booth: located in residential areas with a minimum of 500 households within a 1-km radius;
- Safal Store: place with good footfall, minimum area of 250 sq. ft.;
- Full Retail Outlet: slightly commercial location of around 400 sq. ft. with ample parking.
Legal Requirements:
- FSSAI Registration
- GST Registration
- Shop & Establishment License
- Local Municipal Permissions
Other Considerations:
- Readiness to follow Mahatma Mother Dairy’s operating system;
- Ability to run for the operating hours from about 6.00 to 21.00;
- Commitment toward quality service and brand standards.
How to Apply for a Mother Dairy Franchise
To secure a franchise of Mother Dairy, the application process is very procedural:
- Initial Inquiry: An applicant may fill in an application either online on the official Mother Dairy website or by contacting the regional franchise development office. The application process truly assesses the location’s potential and applicants’ qualifications. A preliminary response should come within 15 to 20 working days.
- Evaluation of the location: A visit is made by Mother Dairy representatives for detailed evaluation of the site, where factors such as the catchment area demographics, competition mapping, and accessibility are all considered. Special consideration will therefore be given to locations with a minimum of 500 households within a 1 km radius.
- Submitting Documents goes on: Successful applicants are to provide comprehensive documentation including identification proof, address proof, financial statements, land/property documents, and business plans. It takes about 3-4 weeks to complete the verification.
- Interviews: Candidates shortlisted are interviewed personally with the franchise development team to inquire into the candidates’ business vision, operations understanding, and brand value alignment. Roughly, just 40% of the candidates advance further from this point.
- Agreement Signing: Following franchise approval of a successful applicant, he/she executes an agreement for a 5-year renewable term on the guidelines of franchising operations, commission, and quality standards.
- Training Program: Some training program must have two weeks and all new franchisees must attend it; activities in this program include product knowledge, inventory management, customer service protocols, and technology systems before commencing operations.
Contact Details
For those interested in pursuing a Mother Dairy Franchise opportunity, multiple communication channels are available:
Corporate Headquarters:
Mother Dairy Fruit & Vegetable Pvt. Ltd., Plot No. 26, Sector-19, Phase-IV, Gurugram-122016, Haryana, India
Contact: +91-124-2945000 (Monday to Friday, 9:30 AM to 5:30 PM)
Regional Franchise Development Offices:
- North India: Delhi NCR – +91-11-43132600 / franchise.north@motherdairy.com
- West India: Mumbai – +91-22-28452700 / franchise.west@motherdairy.com
- South India: Bangalore – +91-80-25732900 / franchise.south@motherdairy.com
- East India: Kolkata – +91-33-23595600 / franchise.east@motherdairy.com
Online Application Channels:
- Official Website: www.motherdairy.com/franchise
- Franchise Portal: franchise.motherdairy.in
- Email: franchise.inquiry@motherdairy.com
Customer Support Center:
Toll-Free Number: 1800-180-1018 (7 AM to 10 PM, all days)
Conclusion
A Mother Dairy Franchise opportunity represents an impeccable convergence of business feasibility and social impact in the dairy and fresh produce market in India, which is currently growing. With dairy consumption expected to escalate by 36% in the coming decade and the organized retail segment expanding at an impressive 14.2% per annum, the right time for venturing into the area with an established brand, in this case, Mother Dairy, could not have been better. Multi-tiered franchise models accommodate various degrees of investment such that an entrepreneurship opportunity is created across economic strata.
The Franchise has the further distinction of being based on the cooperative movement in India, whereby each franchise becomes a vital link between millions of farmer-producers and urban consumers. The Franchise is poised to leverage this evolving market as attention to nutrition security gains momentum in India and consumer preference for organized retail grows. With a well-knit support system across the board-in training, marketing, logistics, and technical back-up-franchisees are freed to develop customer networks and grow their businesses, unperturbed by operational hassles. This being the pathway to success for determined entrepreneurs wanting to build a sustainable business while connecting at the grassroots level ensures the Franchise is a viable route for any such entrepreneur.
Also Read: Naturals Ice Cream Franchise Cost
FAQs
How much would it cost to take a franchise of Mother Dairy, the agricultural branch of the mother state?
However, a milk booth base franchise comes at a minimum investment of ₹5 lakhs and at ₹15-25 lakhs for retail outlets depending on size and location.
How long would it take to break-even with this Franchise?
The break-even time is usually between 12 and 24 months, with the milk booths achieving break-even in the shortest time period (12 to 18 months) and full-retail outlets are longer (18 to 24 months).
Can I convert my existing grocery store to aMother Dairy Franchise?
Yes, existing stores that satisfy location and infrastructure would be converted to a Franchise, of which nearly 40% of new franchises come through this route.
Does Mother Dairy provide any financial-assistance plans, loans, or other financing options to franchisees?
Mother Dairy does not provide direct financing, but they are connected with banking partners who offer special tentative loan facilities with low rates of interest to franchises.
What type of training and operational assistance does Mother Dairy offer?
Franchisees are also offered comprehensive initial training for 2 weeks and a monthly refresher training program for skills, marketing-related support, supply chain management, and access to a franchisee helpdesk available all hours.
