The Dairy Development Department was established in Tamil Nadu in the year 1958 to oversee and regulate milk production and commercial distribution in the state. The Dairy Development Department took over control of the milk cooperatives. It was replaced by the Tamil Nadu Cooperative Milk Producers Federation Limited in the year 1981. On 1 February 1981, the commercial activities of the cooperative were handed over to Tamil Nadu Co-operative Milk Producers' Federation Limited which sold milk and milk products under the trademark "aavin". Tamil Nadu is one of the leading states in India in milk production with about 14.5 million liters per day.
'Aa' or 'ஆ' in Tamil means 'பசு (cow)' and 'பால்' means 'milk'. 'Pasuvin paal' ('ஆவின் பால்') translates to 'cow's milk' ('பசுவின் பால்').
The Tamil Nadu Co-operative Milk Producers' Federation Limited is an apex body of 17 District Cooperative Milk Producers' Unions. It is headquartered located at Aavin Illam, Madhavaram, Chennai and has four dairy plants at the following locations in Chennai.
These dairies collect milk from district unions, process and pack in sachets and send for sale to the consumers. The Ambattur product Dairy is engaged in the manufacture of milk products. The first Hi-Tech Aavin parlour in Coimbatore will open in March 2021.