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Mangalore, India – Hangyo Ice Creams Pvt. Ltd., a prominent and rapidly growing ice cream brand in South India, is embarking on a significant expansion of its production capacity to meet the soaring consumer demand across Karnataka, Kerala, and Goa.. This strategic move underscores the robust growth in India’s organized ice cream and value-added dairy products market, driven by evolving consumer preferences and increasing disposable incomes.
Hangyo currently boasts an impressive production capacity of lakh litres per day and an annual turnover of ₹300 crores.. The company is leveraging its rich legacy of innovation, strong regional leadership, and a strategic approach to expansion to further strengthen its footprint in the competitive Indian ice cream market.
From Dairy Initiative to Ice Cream Powerhouse
The growth trajectory of Hangyo Ice Creams is deeply rooted in its evolution from a modest family-run dairy initiative in the late. Co-founded in by Dinesh Pai, now the Executive Chairman, under Srikrishna Milks Pvt. Ltd., it marked the establishment of Karnataka’s first private-sector dairy.. Recognizing the market need for direct farmer procurement and regional processing, the company set up its first milk plant in Jamkhandi in, subsequently expanding to cover key territories across North and South Canara, Udupi, and Goa, with a value-added production facility in Heroor.
A pivotal moment in Hangyo’s journey came in when Dinesh Pai and his brother, Pradeep Pai, introduced softee ice creams to the Mangalore market after a business visit to Australia. The overwhelming response led to the establishment of Hangyo Softees, a regional franchise model that quickly grew to over outlets.. To meet the rising demand for hard ice creams, Hangyo added a-litre production unit at its Heroor facility, followed by two successful capacity expansions. The company’s commitment to product innovation and quality manufacturing culminated in the construction of a greenfield ice cream plant in. Built in just eight months, this litres-per-day facility features cutting-edge machinery and supports the production of a wide range of SKUs, including cups, candy, and novelties..
Strategic Focus on Tier & Cities
Under the leadership of Dinesh Pai, who continues to steer the company’s growth, Hangyo remains ahead of evolving market trends. Pai actively represents the brand at international forums like ANUGA in Germany and the World Ice Cream Expo in Italy, adopting global best practices for Indian consumers.. With strong distribution networks, consistent demand, and an expanding product portfolio, Hangyo is now strategically looking to deepen its presence in Tier and Tier cities.. This focus on smaller urban centers and semi-urban areas reflects the significant growth opportunities emerging in these regions, driven by rising disposable incomes and changing consumption patterns among a broader demographic.
Dairy Industry Outlook
The broader Indian dairy industry is also poised for robust growth. According to Crisil, dairy companies are likely to record an-% revenue growth in FY, driven by strong demand, an increasing share of value-added products (VAP), and higher milk prices.. Profitability is expected to improve by- basis points, aided by better realizations, healthy milk supply keeping procurement prices in check, and a favorable shift towards VAP, which fetches higher margins.. To capitalize on this healthy growth momentum, companies are expected to ramp up capital expenditure (capex) by 10 % this fiscal year..
Hangyo’s expansion aligns perfectly with these industry trends, positioning it to capture a larger share of the growing market for ice creams and other ready-to-eat dairy products. The company’s commitment to innovation, quality, and sustainable growth, coupled with its farmer-first philosophy, is expected to drive its next phase of expansion. With over 40,000 retail outlets and 450+ distributors, Hangyo has built a formidable distribution network, making it a trusted name in homes across its operating regions. This strategic move by Hangyo Ice Creams highlights the dynamic nature of India’s dairy sector and its potential for continued expansion into new markets and consumer segments.
