Instamart’s Milky Ways reinforces the role of quick commerce

Instamart, an Indian quick commerce platform, has launched ‘Milky Ways- Legen-dairy brands of India’- a new initiative that highlights its strong relationship with India’s dairy cooperatives and reinforces its commitment to continue to work in partnership with them. The initiative was launched in New Delhi by Union Minister of Food Processing Industries, Chirag Paswan. Instamart also signed an MoU with the Ministry of Cooperation, in the presence of prominent dairy cooperatives of India including National Dairy Development Board, Amul, Mother Dairy, and Milma.

Speaking at the launch Shriharsha Majety, co-founder and Group CEO, Swiggy said, “Milk and dairy are one of the highest selling categories on Instamart. More than one-third of orders on the Instamart platform have a milk or dairy component. We have strong associations with dairy cooperatives, and it is a matter of immense privilege for us that today leaders of NDDB, Amul, Mother Dairy, and Milma, have come together with us, to commit to strengthening this relationship.” 

Commenting on the MoU, Dr Ashish Bhutani, secretary, Ministry of Cooperation, said, “This collaboration is in sync with the Government of India’s mission of ‘Sahakar Se Samriddhi’. I am glad to observe that quick commerce platforms can open new avenues for dairy cooperatives.” 

Quick commerce services are increasingly becoming a preferred choice by Indian consumers amid the busy lifestyle and convenience it offers in cities and towns.  India’s Quick Commerce sector is growing at 24% CAGR YoY and is projected to reach US$ 35 billion by 2030, five times its existing size. Milk and Dairy products are some of the highest-selling categories in the Indian quick commerce sector. Industry reports indicate that more than 30% of daily quick commerce orders include milk or other dairy products.

Milk pouches and other dairy products of entities such as Amul, Mother Dairy, and various regional dairy cooperatives are very popular on Quick Commerce platforms. “These channels have significantly increased our product reach and sometimes, they help us reach areas that may not always be serviced by shops and markets,” remarked Manish Bandlish, MD, Mother Dairy.  

As per industry experts, Quick Commerce platforms account for almost 4-5% of total sales of milk cooperatives in India. This number is gradually increasing especially given city expansion, and urbanization where suburbs and newly established areas may not always have fully developed markets. “The rise of quick commerce and digital platforms like Instamart is enabling smaller cooperatives to reach wider audiences and promote their products. The quick commerce platforms offer direct, fast, and efficient routes to reach urban and semi-urban consumers. Platforms like Instamart have made dairy one of the most frequently purchased categories,” comments Dr Meenesh Shah, chairman and managing director, National Dairy Development Board (NDDB).

He further adds that in his interactions with dairy farmers, he is often informed that these platforms improve livelihoods and dairy farmers ask why these services aren’t available in smaller towns.

Instamart services are available in around 110 cities in India, a number that is rapidly growing too. Data shows that the demand for quick commerce services increases at times when neighborhood shops are either closed or have run out of stock. “We often witness demand for milk pouches after 11 AM, and post 8 PM when milk stocks are usually over in shops. Similarly, demand for other dairy products such as curd, paneer, butter, cheese, etc is high when there is an urgent or distress situation such as morning rush hours, late nights, or sudden arrival of guests,” said Amitesh Kumar Jha, CEO, Instamart. 

Sales through quick commerce channels have also led to better sales of products dairy cooperatives other than milk pouches. Yogurts, ice creams, protein shakes, chocolates, cheese, lassi and flavored milk, frozen peas, and other categories are witnessing increased popularity due to ease of discovery and improved accessibility. For example, Amul Chocolates are the highest-selling Stock Keeping Units (SKU) on quick commerce platforms. Jayen Mehta, MD and CEO, Amul, “While Amul has always been a distribution powerhouse, its partnership with platforms like Instamart represents how even legacy brands must lean into digital ecosystems. In Instamart, we have found the right partner. Amul benefits from hyperlocal delivery and broader reach, in turn, enabling us to take our innovations closer to consumers.”

Buoyed by the response that quick commerce platforms have received, many dairy cooperatives have increased their range, and some have increased their package sizes, especially for Quick Commerce. According to K S Mani, chairman, Milma, “Milma’s adaptation to the rise of quick commerce platforms like Instamart helped us cater to time-pressed consumers, offering convenience and extending our reach.”

Last year in a push to transform India’s dairy cooperative sector, the Government of India had launched White Revolution 2.0, a comprehensive initiative that focuses on four key areas – empowering women farmers, enhancing local milk production, strengthening dairy infrastructure, and boosting dairy exports.

“India stands at the threshold of a new era where rural prosperity, youth-led innovation, and global leadership must move together. The food processing sector, with rich potential, will be a critical driver of this transformation — creating value from farm to fork, and opening new doors for millions across the country. By leveraging digital innovation and quick commerce, we are strengthening the bridge between our farmers, cooperatives, and the modern consumer, ensuring that India’s produce reaches every corner of the country — and eventually, the world — with speed, quality, and pride.” Chirag Paswan, union minister of Food Processing Industries, Government of India said.