Parag Milk Foods gets approval under the PLI scheme for mozzarella cheese products

It would entail a minimum investment of Rs 29 crore to be spread over the three years' time frame from FY21-23, and capacity to be increased by 10 Metric Tons Per Day (MTPD), with a minimum CAGR of sales of 15 per cent.

Parag Milk Foods recently announced in a filing with the exchange that its application through the Product Linked Incentive (PLI) Scheme dated June 15, 2021, has been approved by the Competent Authority for sales-based incentive for mozzarella cheese products for the period 2021-27, subject to the condition of fulfilment of all the required criteria.

Under the scheme, the maximum permissible amount of Rs 71 crore is to be spread over the next six years’ time frame. It would entail a minimum investment of Rs 29 crore to be spread over the three years' time frame from FY21-23, and capacity to be increased by 10 Metric Tons Per Day (MTPD), with a minimum CAGR of sales of 15 per cent.

The PLI scheme for the food processing industry is to be implemented during 2021-22 to 2026-27 with an outlay of Rs 10,900 crore. The scheme is expected to encourage investment in four food segments: Ready to Cook/Ready to Eat (RTC/RTE), including millet-based foods, processed fruits and vegetables, marine products, mozzarella cheese.

Established in 1992, Parag Milk Foods Limited is the largest private dairy FMCG company with a pan India presence. They have their manufacturing facilities with in-house technology which are strategically located at Manchar in Maharashtra, Palamaner in Andhra Pradesh, and Sonipat in Haryana. Their integrated business model and strong R&D capabilities have helped them to emerge as the leader in innovation.

Shares of Parag Milk Foods touched an intra-day high of Rs 121.20 on NSE during early market hours on Monday, December 6, 2021.