Danone CEO: “We Will Be Globally Irrelevant Without a Strong Presence in India”

Danone SA, the global food giant, must establish a robust presence in India to remain relevant on the world stage, according to Antoine de Saint-Affrique, the company’s CEO. In an exclusive interview, de Saint-Affrique emphasized India’s critical role in Danone’s long-term global strategy, stating, “If we are not big in India, in 10, 15, or 20 years, we will be irrelevant as a global player. It’s as simple as that.”
The CEO’s visit to India underscores Danone’s commitment to expanding its footprint in the country, which is fast becoming one of the largest and most dynamic markets for consumer goods. “India is at the very top of our priorities,” said de Saint-Affrique, adding that the nation’s stable political climate and focus on infrastructure make it an attractive hub for growth.
While Danone operates globally across four key segments—essential dairy, plant-based products, specialized nutrition, and water—in India, the company has primarily concentrated on specialized nutrition. Popular products such as Protinex, Dexolac, Activia yoghurt, Aptamil baby food, and Evian water dominate the brand’s portfolio in the Indian market.
Danone entered India’s nutrition sector in 2012 after acquiring Wockhardt Group’s nutrition portfolio. This followed the company’s earlier exit from its dairy venture after struggling to compete with local cooperatives like Amul and Mother Dairy.
Despite its exit from dairy, de Saint-Affrique highlighted the immense potential in the categories Danone is already involved in. “We haven’t even scratched the surface in categories like medical nutrition, where we are global leaders. There is still so much potential in what we already have,” he remarked.
Danone has committed over Rs 20 million to expanding its factory in Lalru, Punjab, to scale up its specialized nutrition business. With 23 million babies born in India annually and a rapidly ageing population—nearly half a billion people are expected to turn 65 by 2030—the company sees vast opportunities to expand its presence in the baby and adult nutrition segments.
India’s role in Danone’s growth strategy is further reinforced by the company’s careful planning around local production. “We produce largely in India, for India, leveraging our ecosystem in a very systematic way,” said de Saint-Affrique. He also noted India’s increasing openness to global markets, which aligns with Danone’s strategy of scaling operations in the country.
Despite Danone’s global leadership in the dairy segment, the company currently has no plans to re-enter India’s dairy market. De Saint-Affrique declined to comment on India’s tariff policies on dairy products, noting that Danone does not have fresh dairy operations in all countries. “We will not share any plans for categories we might enter. But we are very actively working to make India as large as it should be for Danone.”
Danone’s cautious approach to dairy reflects the broader sensitivities surrounding the sector in India. On Wednesday, India’s commerce and industry minister Piyush Goyal reiterated the government’s stance on dairy, stating that it remains a sensitive industry, and India does not intend to offer duty concessions on dairy products in free trade agreements.
Danone competes with multinational giants like Nestlé and Abbott in India’s baby and adult nutrition markets, but the company is determined to deepen its footprint in the coming years. While Danone has yet to explore its full potential in categories like medical nutrition, de Saint-Affrique is confident that the company’s existing portfolio has immense room for growth.
With India’s expanding consumer base and the company’s renewed focus on specialized nutrition, Danone’s investment in the country is poised to grow. De Saint-Affrique concluded, “The culture of India, and what it can bring to the global stage, is totally in line with the needs of other countries. This is a discrepancy we cannot live with for long, and we are actively working to address it.”
As Danone charts its path forward, the company’s strategic vision for India will be key to ensuring its continued relevance in the global market.
Source: Agronfoodprocessing

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