FY 2022-23

Dear Shareholders,

IDMC has been a leading provider of integrated solutions to the dairy and related sectors, is now entering the fourth decade of its operation. As India stands on the threshold of transforming into the global dairy hub, IDMC remains steadfast in upholding its core values. We have successfully met the evolving needs of our customers by delivering indigenous and cost-effective engineering and packaging solutions.

India’s milk production has been steadily growing at an annual rate of approximately 6%, nearly three times the global average. Currently, India accounts for about 23% of the world’s milk production. Moreover, the per capita availability of milk in India reached 444 grams per day surpassing the global average of around 310 grams per day. As one of the largest and fastest-growing dairy markets worldwide, India’s dairy industry is projected to more than double to Rs. 30 Lakh Crore by 2027. Several factors, such as access to technological innovations, improved infrastructure, and modern marketing insights, have significantly contributed to the growth of the dairy sector.

With a burgeoning middle class, increasing spending power, shifting food habits, and growing awareness, the demand for milk and milk products in the Indian market is expected to intensify. Value-added products like yogurt, cheese, milk-based beverages, whey-based beverages, and organic milk are projected to experience a growth rate of over 20% annually. Traditional dairy products like ghee, curd, khoa, and indigenous sweets are also expected to grow between 11-20% annually. Thus, it is crucial to strengthen the entire supply chain, encompassing milk production, procurement, processing, marketing, and distribution to cater to consumer demands effectively.

This would require further modernization and expansion of the dairy sector and IDMC is well poised to significantly contribute in this new journey of our dairy sector. We aim to leverage these opportunities to accentuate growth and achieve positive outcomes. The company has exhibited exceptional capabilities in project delivery and the production of high-quality dairy equipment for modernizing milk processing and cooling facilities. By leveraging advanced technology, we have enhanced performance and operational efficiency. In addition to our dairy business, we have expanded our horizons into the pharmaceuticals, thermal management, food processing sectors and flexible packaging arena.

Our company’s unwavering commitment to research and development has led to the creation of innovative products that meet international standards in the dairy industry. Major dairies have responded positively to the enhanced versions of our in-house upgraded version of pneumatic valves, sanitary centrifugal pumps, and self-priming CIP return pumps. . The newly introduced linear motion cup filling machine, capable of filling 6000 cups per hour, has also received positive acceptance. We are proud to announce that we are currently manufacturing a 20 KL Aseptic tank and its process module for the first time. Furthermore, we have received an order for a 15000 LPH multi-product UHT sterilizer, a product that has predominantly been imported until now.

I am also pleased to inform that IDMC has successfully installed and commissioned a 100 MT per day cow dung-based biogas plant at Varanasi whose Foundation Stone was laid by Hon’ble Prime Minister of India. This first of its kind biogas plant has been commissioned within 12 months and is a pathbreaking initiative through which the energy needs of the milk processing plant would be met. This system built around this plant also provides a convenient and remunerative dung disposal solution to the farmers. Moreover, during the gas production process, the dung generates high-quality bio slurry, which serves as a raw material for organic fertilizers. These organic fertilizers will be available to farmers at reasonable rates, promoting reduced use of chemical fertilizers and subsequently leading to increased crop yields and improved soil health. The earnings generated from the sale of dung and the use of organic fertilizers will undoubtedly contribute to enhancing the income of farmers and also ensure a cleaner and greener earth.

IDMC has also successfully developed a cutting-edge solar-powered thermal storage system specifically designed for bulk milk coolers which is a remarkable innovation that holds great promise for the dairy industry. This innovative system harnesses the solar power to cool and store large quantities of milk efficiently. Its eco-friendly approach and cost-effectiveness make it an attractive option not only for adopting sustainable practices but also for maintaining the reliability and efficiency of milk cooling operations. The key feature of this solar-powered thermal storage system is its adaptability. It is intelligently designed to seamlessly switch between solar power and electrical grid power, ensuring uninterrupted operation even in the absence of sunlight, making it a practical solution in case of fluctuations in solar availability due to weather conditions. During field trials, the solar-powered bulk milk coolers have shown promising results, indicating that they are both effective and efficient.

IDMC has been a valuable partner to the process industry, earning the loyalty of esteemed customers and the trust of all stakeholders. Our aim is to consistently deliver growth in the future.

Regards,