SUMMARY
- Doodhvale Farms has secured $3 million in its Series A funding round led by Atomic Capital.
- It aims to take its expansion into the offline market and broaden its delivery networks.
- Singularity Early Growth Opportunities Fund, Bharat Founders Fund, among others also participated in the round.
Dairy and daily essential startup Doodhvale Farms has secured $3 million in its Series A funding round led by Atomic Capital. It aims to take its expansion into the offline market and broaden its delivery networks, Aman Jain, the company’s founder and CEO, has disclosed.
Established in 2019 by Sudhir Jain, Aman Jain, Ishu Jain, and Sanjay Jain, Doodhvale Farms is a vertically integrated provider of milk, dairy products, and daily essentials through its app and physical stores.
Singularity Early Growth Opportunities Fund, Bharat Founders Fund, Indigram Lab Foundation, and angel investors also participated in the round. With these funds, the company plans to expand its distribution channels, particularly in its offline operations, and enhance its online presence across more areas.
NCR-based Doodhvale Farms competes with established brands like Amul Saras, bigger market players such as Country Delight, Akshyakalpa, and Mother Dairy, as well as numerous unorganised milk farmers. It is focuses on quality and sourcing of its products as a key competitive advantage.
Jain shared, “Doodhvale Farms’ milk comes from a single source, it is essentially produced at a livestock farm rather than being collected from different village-level collection centres.”
These collection centers do not allow brands to oversee farming practices or enable consumers to trace their milk back to its origin. This approach also involves multiple vendors and agents managing different aspects, leading to delays between milk production and delivery.
Jain added that by maintaining a vertically integrated supply chain, Doodhvale Farms ensures full control over its products, from the type of feed given to the animals to the temperature at which milk and other items are stored and transported. This ensures the company can offer milk that is free from adulteration and free from antibiotics.
Currently, the farm-to-home supplier operates through its app-based subscription and exclusive brand outlets, offering over 100 different products, with various types of milk, paneer, khoya, paneer, and bread.
Apoorva Gautam, the Founder and Managing Partner at Atomic Capital, shared that the investors will closely monitor the company’s ability to acquire and retain customers efficiently, especially considering the perishable nature of its primary product, milk.
“We believe this is not a winner-take-all market and ultimately brands offering seamless experience and product quality will win,” shared Gautam, an investor in the firm.
Atomic Capital backs early-stage consumer startups and has a history of investing in the beauty and personal care sector, including the company Conscious Chemist.
The dairy startup sector has seen significant consolidation of late, with Milkbasket being acquired by Jio Mart in 2023, leading to a wave of redundancies in the sector. Similarly, Daily Ninja, which was acquired by BigBasket in 2020, ceased operations in 2019, transferring its assets to omnichannel meat retailer FreshToHome.
In October, Country Delight secured a debt financing of Rs 200 crore from Alteria Capital to support its brand expansion, marketing initiatives, and operational development.
Doodhvale Farms emphasizes on developing market-specific products instead of general merchandise that appeal to a wide range of areas. It is intensifying its efforts to increase its presence in the Delhi-NCR area and has a portfolio of traditional Indian snacks such as Mathura, Khoya Peda, Alwar Milk Cake, Punjabi Doda Barfi, among others, to meet the demand for authentic desi snacks.
