There are some businesses, where challenges are present all the year around. The difference is that as you scale the business, these challenges come down and then comes the inflection point where every incremental effort delivers much better results. But ironically, the biggest challenge is to scale the business itself. So, it is a kind of chicken and egg situation. Dairy sector is one such business that is probably the reason why it took decades for the best of the dairy industry players like Amul to reach a place where it has been able to reach today. Many may not know but dairy has been a sector where even the best of the foreign players who came to India in the last two had to sort of go back. It is local players who know the nuance of procurement the Indian way who have been able to scale up and probably reach a stage which is close to inflection point. Time to look at these stocks?
