The firm has established India's first and only manufacturing facility to produce high quality whey protein and introduced various whey protein products in the market including "Avvatar", a branded B2C product. Through the commissioning of the lactose plant, the company is now intending to add higher value to whey permeates that are generated during the filtration process of whey protein.

“Globally, the lactose market size stood at $1.2 billion in 2018 and is projected to grow to $1.5 billion by 2026, exhibiting a CAGR of 3.7% during this period. The Indian lactose market size is ~40,000-45,000 MT and is valued at Rs 500 crore (~$70 million), with a major part of the requirement being met through imports. This provides a huge opportunity for import substitution for players like Parag Milk Foods that has end-to-end manufacturing capabilities to tap into. The company has a fully integrated value chain with control over key processes from procurement and supply chain to processing and distribution, maintaining highest standards of quality and delivery throughout. The company's best practices and state-of-the-art infrastructure makes it the partner-of-choice for leading MNC players and is there by confident of reaping the benefits of further value addition in its health & nutrition business,” the company said in a statement on Wednesday.

Parag Milk Foods is engaged in manufacturing and processing of milk and milk products. The company offers a range of products, which include cheese, ghee, whey proteins, paneer, curd, yoghurt, milk products, liquid milk, milk-based beverages and milk powders.

On a consolidated basis, the company's net profit dropped 44% to Rs 15.9 crore on a 22.2% fall in net sales to Rs 498.23 crore in Q2 September 2020 over Q2 September 2019.