Amul’s entry into Bengaluru metro stations with 10 new kiosks has triggered a political and brand turf war in Karnataka. The move is being seen as a challenge to state-owned Nandini, reigniting debates over regional pride and market favoritism.
The decision to allow Amul to open 10 kiosks across key metro stations in Bengaluru has not only shaken dairy and beverage retail space but also ignited political row in Karnataka. The development follows a fresh licence agreement signed between Gujarat Cooperative Milk Marketing Federation Ltd (GCMMFL) and the Bengaluru Metro Rail Corporation Limited (BMRCL), marking the dairy giant’s formal foray into urban transit retail in the city. BMRCL, on June 16, announced that it has signed a deal with Amul to set up the kiosks at Pattandur Agrahara, Indiranagar, Benniganahalli, Byappanahalli, Trinity, Sir M Visvesvaraya, Nadaprabhu Kempegowda (Majestic), National College, Jayanagar and Banashankari stations. Now this has not gone well with state-owned dairy brand Nandini, the state traditionally being its home turf.
What was meant to be a business move has now turned into a battleground, with opposition leaders accusing the state government of paving the way for an “outsider” at the cost of a local brand.
Amul’s business in Karnataka
Amul, one of India’s largest dairy brands, had formally forayed into Karnataka market in April 2023. However, it was not without political backlash. Amul’s announcement of its entry into the state prompted concerns over competition with Karnataka Milk Federation (KMF) and its flagship brand, Nandini.
Amul supplies fresh milk to more than 1,400 towns and cities in India, including metros like Delhi, Mumbai, Kolkata, and now Bengaluru.
In 2023, Amul started selling Amul Taaza and Amul Gold milk varieties in Bengaluru through e-commerce platforms and local distribution networks. Earlier, it was present through packaged products like butter, cheese, and ice cream. With the recent announcement of 10 kiosks, the brand is expanding its direct-to-consumer footprint in urban Karnataka.
Nandini: The home-turf player
Karnataka has been a home-turf for Nandini. Started as Karnataka Dairy Development Corporation (KDDC) in 1974, after a decade, it transformed into Karnataka Milk Federation (KMF). From a humble turnover of Rs 8.82 crore in 1976-77, it reached Rs 14,018 crore by FY23 with net worth during FY24 nearing Rs 21,000 crore. When it comes to Bengaluru, Nandini has a robust footprint in the city – including presence in BMTC stations, retail stores, and residential pockets.
Amul vs Nandini: The political scuffle
According to analysts, Amul’s metro presence could trigger a defensive response from Nandini and others, which might range from pricing tweaks to expansion of kiosks at other high-traffic locations.
The announcement has political parties reignite debate over regional pride, market competition and federal favoritism. What was meant to be a business move has now turned into a battleground. Opposition party members too are slamming the state government for not initiating steps to set up Karnataka Milk Federation kiosks to sell Nandini products.
Expressing displeasure, JDS posted on X (formerly Twitter) that Deputy Chief Minister DK Shivakumar has sold his “self-respect” for the sake of commission and his double-standards have been exposed. JDS said, “By allowing Amul products, the state government is damaging the interest of the Nandini brand.”
BJP leader PC Mohan also launched a scathing attack at Siddaramaiah-led Karnataka Congress government for favouring Amul over Nandini and betraying the state’s dairy farmers. In a post on X, he wrote, “Ahead of the 2023 Assembly elections, Congress accused the BJP of favouring outsiders.”
In response, in another post, Deputy Chief Minister DK Shivakumar wrote in Kannada, “Our Nandini is our pride: Notice to open 8 Nandini stores in metros”
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“BMRCL has called for tenders, but no one else has applied for stores except Amul. KMF also did not apply. Now we have instructed KMF to apply, and out of the 10 places where tenders were called, Amul has applied in a global tender and opened stores in two places. It is not right to close the stores that have been opened. I have said that KMF should be allowed to open stores in the remaining 8 places,” he wrote.
Ahead of the 2023 Assembly elections, Congress leaders had campaigned on the slogan #SaveNandini, portraying the brand as a symbol of Kannada pride and a farmers’ lifeline.
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