In 2009, Reliance Dairy Foods Ltd (Reliance Dairy), a subsidiary of Reliance Retail , forayed into the Indian branded dairy market, offering products such as packaged milk, curd, sweeteners, and skimmed milk powder. Reliance Dairy operated a pan-India dairy procurement, processing, and distribution platform under the Dairy Life and Dairy Pure brands. Its backend operations were strong as it procured milk at the grass-root level from farmers in remote villages. It offered higher margins to retailers and 10% extra milk to customers. With its strong supply chain and branding strategy, the company tried to capture the market. However, sustaining itself in the dairy business was difficult as the market was highly competitive and flooded with several brands such as Amul , Mother Dairy , and Nestlé. In April 2017, Reliance Diary was acquired by Hyderabad-based dairy company Heritage Foods Limited (Heritage). Heritage planned to achieve breakeven in Reliance’s dairy business by closing down milk procurement on loss making routes and shifting the processing and packaging of milk from third party facilities to Heritage’s own facilities, said analysts.

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