Banas Dairy Goes High-Tech with Automated Warehouse; PM Modi to Inaugurate Facility

Palanpur: Prime Minister Narendra Modi will inaugurate an automated warehousing system at Banas Dairy’s ultra-high-temperature (UHT) plant in Palanpur on October 30, 2026. Developed at a cost of ₹31.14 crore, the Automated Storage and Retrieval System (ASRS) is designed to streamline the storage, tracking and dispatch of dairy products through advanced machinery and software.

The facility features steel racks rising up to nine levels, with a storage capacity of 11,000 pallets. The system will use automated cranes, shuttles, robots and conveyors to store and retrieve products, reducing manual intervention, minimising errors and improving operational efficiency.

Mother-child shuttle technology

The warehouse features a multi-deep ASRS equipped with a mother-child shuttle mechanism. The mother shuttle transports child shuttles to different rack lanes, while the child shuttles move inside the racks to place or retrieve pallets and boxes from designated locations.

The automated process is expected to accelerate warehouse operations and improve inventory management by enabling the system to locate specific products and batches quickly.

Storage of all UHT products

The warehouse will store products manufactured at Banas Dairy’s UHT plant, which was established in Palanpur in 2015. The plant uses ultra-high-temperature processing to extend the shelf life of milk and dairy products to up to six months without refrigeration or preservatives, according to the information provided by the dairy.

Products such as Cow-Buffalo Gold milk, high-protein lassi, Tru beverages and Tea Special will be stored at the facility.

The UHT plant processes approximately 5.5 lakh litres of milk daily and generated annual revenue of around ₹1,050 crore in 2025-26. Its products, including milk, Tru beverages, masala buttermilk, high-protein drinks and ghee, are distributed across India and exported to Singapore, the Maldives, the United Arab Emirates and Malaysia.

The plant is already operating at around 90% of its certified maximum capacity on a monthly average basis.

Automated tracking from packaging to dispatch

Under the conventional warehousing system, pallets arriving from packaging lines are moved and arranged using forklifts. Workers must maintain records of storage locations and locate specific batches when orders are ready for dispatch. As production increases, these processes can lead to space constraints, longer retrieval times and a greater possibility of human error.

The new ASRS will automate these operations. Pallets arriving from packaging lines will be placed in designated rack locations by automated machinery, while their positions will be recorded in computer software. When a particular product or batch is required, the system will locate it and transport it to the dispatch section.

The software will enable end-to-end tracking from packaging to dispatch, allowing staff to quickly identify the location of a batch for quality checks or distribution.

Warehouse to become an integrated supply chain hub

The new system is expected to transform the warehouse from a conventional storage facility into an automated, data-driven link between production and the market. By improving storage utilisation, inventory visibility and dispatch speed, the technology could help the dairy manage higher production volumes and streamline its supply chain.

The installation marks an expansion of automation at Banas Dairy, which has traditionally focused on milk processing and packaging. The adoption of ASRS extends these technological upgrades to warehousing and logistics.

Banas Dairy’s turnover exceeds ₹21,200 crore

Established in 1969, Banas Dairy collects an average of 83 lakh litres of milk daily from more than 4.5 lakh livestock-rearing members through 1,505 village-level dairy cooperative societies.

The organisation’s annual turnover exceeded ₹21,200 crore in 2024-25. Around 82% of its total income is returned directly to farmers as financial compensation, according to the information provided.

The latest warehousing project is part of broader efforts to introduce technology-driven and scientific practices across dairy farming and allied activities in Banaskantha district, a press release said. DeshGujarat