Banas Dairy to Expand French Fries Capacity to Five Tonnes
Potato farmers in Banaskantha will gain improved access to value-added markets as Banas Dairy increases its French fries processing capability from two to five tonnes per hour, supported by an investment of Rs.51.65 crore. On October 30, Prime Minister Narendra Modi will virtually inaugurate the processing plant in Sanadar, located in the Deodar taluka of Vav-Tharad district.
The expansion, which commenced in April 2026, aims to enhance potato processing facilities in Banaskantha, a major potato-producing district in India, while providing broader market prospects for local farmers.
The district's cultivation of processing-grade potatoes has expanded significantly over the last 25 years, increasing from approximately 400 hectares to 61,016 hectares. In 2024-25, Banaskantha yielded about 1.87 million tonnes of potatoes, achieving a productivity level of roughly 30 tonnes per hectare.
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Banas Dairy launched its French fries venture in 2019 under the Amul brand and has established a comprehensive seed-to-fry approach. It encompasses disease-free planting material, certified seed production, farmer procurement, and processing to help guarantee that potatoes satisfy industrial processing standards.
A crucial aspect is its advanced procurement pricing system, where prices are set when farmers receive the seeds. Banas Dairy conveyed a price variation of around Rs.1.83 crore to potato growers in 2023-24. The declared buyback prices were Rs.13 per unit for 2024-25 and Rs.14 per unit for 2025-26.
The dairy set up a 10,000-tonne cold storage facility in 2024 and signed an MoU with Bharatiya Beej Sahakari Samiti Ltd in November 2025 to enhance the availability of certified seeds.
The expansion of the plant occurs alongside increasing prospects in value-added potato exports. India shipped roughly 2.77 lakh tonnes of these goods valued at about Rs.2,744.50 crore in 2025-26. The closeness of Kandla and Mundra ports may enhance access to international markets.
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Banas Dairy utilizes organic processing waste to generate biogas, reintegrating leftover materials into farming lands. The enlarged facility is anticipated to enhance local processing capabilities and link farmers to wider markets.
The growth occurs alongside increasing prospects in the market for enhanced potato products. In 2025-26, India exported nearly 2.77 lakh tonnes of processed potato items valued at about Rs.2,744.50 crore.
The increased processing capability at Sanadar is anticipated to enhance Banas Dairy’s functions and assist in linking Banaskantha’s potato farmers to broader markets. The site's closeness to Kandla and Mundra ports provides a logistical benefit for exports.
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Banas Dairy seeks to enhance the value chain for processing-grade potatoes and boost regional value addition by integrating quality seeds, structured procurement, storage facilities, and increased processing capabilities.