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Hatsun Agro Product — The Largest Private Player in a Dairy Sector Dominated by Cooperatives

2026.09.19

Article summary

Hatsun Agro Product is a Chennai-headquartered dairy company and the largest in the private sector in India. Its founder is R.G. Chandramogan. He started making ice candy in 1970 with ₹13,000, then switched to the milk-based ice cream brand "Arun" in 1981. From there the company expanded into Arokya milk, curd, ghee and paneer, and it also runs the premium ice cream stores "Ibaco" and the direct retail network "HAP Daily." Consolidated revenue for FY2026 (fiscal year ended March 2026) was ₹9,959.22 crore (1 crore = 10 million rupees), up 14.5% year on year, with net profit of ₹356.20 crore. In January 2025 it acquired Milk Mantra in Odisha for ₹233 crore, gaining a foothold in eastern India (merged with an effective date of April 1, 2025). In Indian dairy, where cooperatives are strong, what sets the company apart is that it built its own milk collection network.

This article is based on what we could verify As of September 19, 2026 This page is based on the disclosures and news reports from each company that we were able to confirm as of that date. Amounts in the text follow the notation commonly used in India, with ₹1 crore = 10 million rupees, and yen figures are approximations calculated at a little over 1.7 yen to the rupee. Store counts, funding raised, and results at Indian companies change over short periods, so when making a business decision, please check the latest information in primary sources such as each company's own announcements.

Hatsun Agro Product is a South Indian dairy company that owns Arun in ice cream and Arokya in milk. In Indian dairy farming, where cooperatives are strong, it is the largest private player.

Company profile

Item	Details
Legal name	Hatsun Agro Product Limited
Headquarters	Chennai, Tamil Nadu
Founder	R.G. Chandramogan
Consolidated revenue	₹9,959.22 crore (FY2026, year ended March 2026; up 14.5% year on year, about ¥173.3 billion). FY2025 was ₹8,700 crore
Net profit	₹356.20 crore (FY2026)
Main brands	Arun Ice-creams, Arokya, Hatsun, Ibaco, HAP Daily, Havia, Milky Moo
Listing	Listed on the BSE and NSE

Cooperatives and private companies collect milk differently

Cooperatives such as Amul (GCMMF) hold a large position in India's dairy sector. Farmers invest as members, and payment for collected milk is returned to them, with a collection point in each village. Private companies can't enter this network, so they have to build their own relationships with farmers.

Hatsun has built this up in South India. It has assembled everything in-house, from milk collection to manufacturing to retail, growing into one of the few private companies large enough to compete with cooperatives on the same footing.

It started with frozen treats. In 1970, R.G. Chandramogan set up a roughly 250 square foot plant in Royapuram, Chennai with ₹13,000 and began making water-based ice candy. Because sales were heavily seasonal, he switched to milk-based ice cream in 1981, which became Arun. From there the business widened into milk, curd (dahi), ghee, paneer and yogurt. It also runs the premium ice cream stores "Ibaco" and its own retail network "HAP Daily."

It bought a company to enter East India

Consolidated revenue for FY2026 (year ended March 2026) was ₹9,959.22 crore, up 14.5% year on year, with net profit of ₹356.20 crore. In January 2025 it acquired Odisha-based dairy company Milk Mantra for ₹233 crore to gain a foothold in East India. Milk Mantra was merged into Hatsun with effect from April 1, 2025.

For a dairy company to cross into a new region, acquiring the local milk-collection network is the fastest route. Milk can't travel far, so it has to be collected close to where it's sold. That the acquisition target was the collection network rather than a plant reflects the nature of this industry.

Points for Japanese companies

When working with dairy in India, negotiations proceed differently with cooperatives (such as Amul) versus private companies (such as Hatsun). Cooperatives prioritize the interests of member farmers, so negotiating terms with an outside company takes time. Private companies are easier to negotiate terms with, but fall short of cooperatives in securing collection volume.

When considering contract manufacturing or joint product development, the first step is to determine the required volume and items, then check whether a private company can supply that scale. For ice cream or chilled desserts, facilities at a private company like Hatsun are often sufficient.