How to start a dairy products distribution in India?

Mastering the Cold Chain and Last-Mile Reliability 🥛❄️ Dairy distribution is primarily a logistics challenge; success depends on maintaining the cold chain and ensuring on-time delivery. 1. Sourcing & Exclusivity: Partner with a small, high-quality, local dairy farm that produces specialty products (e.g., A2 milk, artisanal paneer, specific regional mithai). Seek an exclusive distribution agreement within a defined geographic area (e.g., one city/district). 2. Infrastructure (The Essential Investment): * Refrigerated Storage: You need a clean, reliable cold storage unit at your base of operations. * Cold Transport: Use insulated boxes with ice packs or gel packs for last-mile delivery. Small refrigerated vans are ideal for large-scale B2B distribution, but insulated coolers work for initial B2C routes. 3. Target Market (The Route): * B2C (Home Delivery): Focus on a dense residential area (apartment complexes) where you can maximize the number of deliveries per route, keeping fuel costs low. * B2B (Retailers): Target small, independent kirana stores, local bakeries, and small hotels/restaurants. Reliability and offering credit (short-term) are your levers here. 4. Inventory & Wastage: Dairy has a very short shelf life. Implement an F-I-F-O (First-In, First-Out) inventory system strictly. Negotiate a return/replacement policy with your supplier for near-expiry products to minimize your financial loss from spoilage. Obtaining an FSSAI (Food Safety and Standards Authority of India) License is mandatory for all dairy distribution operations.