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How to Start a Mother Dairy Franchise in India – Complete Guide 2025

Author: Yuvaan Singh
by Yuvaan Singh
Posted: Sep 20, 2025

The Indian dairy industry is one of the fastest-growing sectors in the country, and Mother Dairy is a leading brand trusted for high-quality milk and dairy products. For entrepreneurs looking to invest in a franchise business, a Mother Dairy Franchise offers a lucrative opportunity with a recognized brand name, quality products, and a loyal customer base. In this comprehensive guide, we will cover the Mother Dairy Franchise cost, setup process, requirements, potential profits, and tips for success to help you make an informed decision.

Understanding the Mother Dairy Franchise Opportunity

Mother Dairy, a subsidiary of the National Dairy Development Board (NDDB), has a strong presence across India. The brand offers a variety of products, including:

  • Fresh milk and dairy beverages

  • Butter, cheese, and curd

  • Ice creams and frozen desserts

  • Paneer and other packaged dairy items

The franchise model allows entrepreneurs to open retail outlets or milk booths under the Mother Dairy brand. This ensures customers receive consistent quality products, backed by a trusted brand.

Why Consider a Mother Dairy Franchise?
  • Trusted Brand: Mother Dairy has decades of recognition and customer trust.

  • High Demand Products: Milk and dairy items have consistent demand across urban and semi-urban areas.

  • Training and Support: Franchisees receive operational and marketing support from the company.

  • Scalability: With proper management, franchisees can expand to multiple outlets.

Mother Dairy Franchise Cost and Investment

Investing in a Mother Dairy Franchise involves several cost components, including franchise fees, store setup, inventory, equipment, and operational costs. Below is a breakdown:

1. Franchise Fee

The franchise fee is the initial cost to operate under the Mother Dairy brand. This fee ranges from ₹3 lakhs to ₹10 lakhs, depending on the outlet size, city, and type of franchise (retail store or milk booth).

2. Store Setup & Interior

The cost of interior setup, including counters, shelves, refrigeration units, signage, and branding, usually ranges from ₹5 lakhs to ₹15 lakhs. A clean and modern store attracts more customers.

3. Equipment Cost

Dairy businesses require specialized equipment like milk dispensers, freezers, cold storage, and packaging machines. Estimated investment for equipment is ₹3 lakhs to ₹8 lakhs.

4. Initial Inventory

Starting stock of milk, paneer, butter, curd, ice creams, and other products is essential to operate from day one. Inventory cost ranges from ₹1.5 lakhs to ₹5 lakhs depending on store size and location.

5. Licenses and Legal Compliance

Franchisees must obtain FSSAI registration, GST registration, and local municipal approvals. These costs typically range from ₹50,000 to ₹1 lakh.

6. Working Capital & Miscellaneous

Additional costs for staff salaries, utility bills, marketing campaigns, and initial working capital may range between ₹2 lakhs to ₹5 lakhs.

Total Estimated Investment

Considering all components, the total investment for a Mother Dairy Franchise in India generally ranges between ₹15 lakhs and ₹35 lakhs. The actual cost varies based on location, store type, and scale of operations.

Steps to Start a Mother Dairy FranchiseStep 1: Research and Market Analysis

Before investing, analyze your target market, competitors, and potential customer base. Areas with high foot traffic, residential complexes, and commercial zones are ideal for dairy outlets.

Step 2: Apply Online or Offline

Interested entrepreneurs can apply through the official Mother Dairy website or contact the regional franchise office. Fill out the franchise application form with business details, investment capacity, and proposed location.

Step 3: Approval and Agreement

After reviewing your application, Mother Dairy will conduct a feasibility study. If approved, you will receive a franchise agreement outlining terms, conditions, and responsibilities.

Step 4: Store Setup

Once the agreement is signed, you can start designing and setting up your outlet. Ensure all equipment, refrigeration, and storage units meet brand standards.

Step 5: Staff Hiring and Training

Hire staff for sales, billing, and operations. Mother Dairy provides training on product handling, customer service, and operational processes to maintain quality standards.

Step 6: Launch and Marketing

Plan a grand launch to attract customers. Use local marketing strategies like flyers, social media promotion, and discounts to generate initial sales. Regular marketing campaigns help maintain visibility and boost sales.

Comparing Mother Dairy Franchise With Zepto Franchise Fees

Franchise

Business Model

Investment

ROI

Support

Mother Dairy

Dairy & Retail

  • 15-35 lakhs

12-24 months

Training + ongoing supply & marketing support

Zepto

Quick Grocery Delivery

  • 25-50 lakhs

12-18 months

Technology infrastructure + operations support

While both offer profitable opportunities, Mother Dairy focuses on the food and dairy sector, making it ideal for entrepreneurs passionate about food retail, whereas Zepto is more suitable for tech-based delivery businesses.

Tips for Success in a Mother Dairy Franchise
  1. Select the Right Location: Choose areas with high foot traffic like residential zones, markets, or commercial hubs.

  2. Maintain Product Quality: Freshness and hygiene are critical in the dairy industry.

  3. Effective Marketing: Promote your store on local social media groups and food apps.

  4. Engage the Community: Offer sample tastings or special discounts to attract regular customers.

  5. Staff Training: Well-trained employees enhance customer satisfaction and store efficiency.

Conclusion

Investing in a Mother Dairy Franchise is a promising business opportunity in India’s growing dairy market. With a total investment of ₹15-35 lakhs, comprehensive training, and a strong brand reputation, entrepreneurs can build a profitable venture. While the Zepto franchise fees may be higher, Mother Dairy provides an ideal opportunity for those passionate about food, customer service, and retail operations. Proper planning, location selection, and consistent quality are key to maximizing your returns and ensuring long-term success.

Frequently Asked Questions (FAQs)Q1: Can I operate a Mother Dairy franchise in a small town?

Yes, Mother Dairy allows franchise operations in urban, semi-urban, and some tier-2 towns. Proper market research is necessary for demand estimation.

Q2: What is the expected profit margin for a franchise?

Profit margins depend on location, product mix, and operational efficiency. Typically, franchisees can expect a profit margin of 15-25% on sales.

Q3: Is there ongoing support from Mother Dairy?

Yes, Mother Dairy provides ongoing support, including product supply, training, and marketing assistance.

Q4: Can I expand to multiple outlets after starting one?

Yes, successful franchisees can apply for multiple outlets in different locations. Expansion depends on performance, investment capacity, and market demand.

Q5: How long does it take to break even?

Most franchisees recover their investment within 12-24 months, depending on location, sales, and management efficiency.

About the Author

Aditya Singh is a passionate digital marketer and content creator at traffictail.com, crafting Seo-rich blogs and strategies that help brands boost visibility, traffic, and online growth.

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Author: Yuvaan Singh

Yuvaan Singh

Member since: Aug 13, 2025
Published articles: 22

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