Formation Of Amul Leading To White Revolution In India

The Kaira District Co-operative Milk Producers' Union was registered on December 1, 1946 as a response to exploitation of marginal milk producers by traders or agents of existing dairies in the small town named Anand (in Kaira District of Gujarat).[9] Milk Producers had to travel long distances to deliver milk to the only dairy, the Polson (brand) dairy in Anand. Often milk went sour as producers had to physically carry the milk in individual containers, especially in the summer season. The prices of buffalo and cow milk were arbitrarily determined. Moreover, the government at that time had given monopoly rights to Polson Dairy to collect milk from Anand and supply it to Bombay city in turn. [10][11] Angered by the unfair and manipulative trade practices, the farmers of Kaira District approached Sardar Vallabhbhai Patel (who later the first Home Minister of independent India) under the leadership of the local farmer leader Tribhuvandas Patel. Sardar Patel advised the farmers to form a Cooperative and supply milk directly to the Bombay Milk Scheme instead of selling it to Polson (who did the same but gave low prices to the producers).[12] He sent Morarji Desai (who later became Prime Minister of India) to organize the farmers. In 1946, the farmers of the area went on a milk strike refusing to be further oppressed. Thus the Kaira District Cooperative was established to collect and process milk in the District of Kaira in 1946.[11] Milk collection was also decentralized, as most producers were marginal farmers who were in a position to deliver 12 litres of milk per day. Village level cooperatives were established to organize the marginal milk producers in each of these villages.[13] The Cooperative was further developed and managed by Dr.Verghese Kurien along with Mr H.M Dalaya. Dr.Kurien, a World Food Prize and Magsaysay Award winner, was the pioneer of this White Revolution. The first modern dairy of the Kaira Union was established at Anand. Indigenous research and development and technology development at the Cooperative had led to the successful production of skimmed milk powder from buffalo milk for the first time on a commercial scale anywhere in the world. [14] The success of the dairy co-operative movement spread rapidly in Gujarat. Within a short span five other district unions Mehsana, Banaskantha, Baroda, Sabarkantha and Surat were organized.[11] In order to combine forces and expand the market while saving on advertising and avoid a situation where milk cooperatives would compete against each other it was decided to set up an apex marketing body of dairy cooperative unions in Gujarat. Thus, in 1973, the GCMMF was established. The Kaira District Co-operative Milk Producers Union Ltd. which had established the brand name Amul in 1955 decided to hand over the brand name to GCMMF (AMUL) Impressed with the development of dairy cooperatives in Kaira District and its success, Prime Minister Lal Bahadur Shastri, during his visit to Anand in 1964, asked Dr. Kurien to replicate the Anand type dairy cooperatives all over India. Thus, the National Dairy Development Board was formed and Operation Flood Programme was launched for replication of the Amul Model all over India.[16] In 1960s Dr M M Kashyap (faculty Agricultural and Engg Dept), Bondurant and Dr Feryll (ex student of Dr Verghese Kurien (AMUL) visited AMUL factory in Gujarat as a research team under the head ship of Dr Bheemsen Shivdayal Pathak (ex- Director Sardar Patel Renewable Energy Research Institute). A Pasteurisation system was then setup at the

research centre of the Punjab Agricultural University (PAU), under the guidance of Dr M M Kashyap.

GCMMF today
GCMMF is India's largest food products marketing organisation. [citation needed]. It is a state level apex body of milk cooperatives in Gujarat, which aims to provide remunerative returns to the farmers and also serve the interest of consumers by providing affordable quality products. GCMMF markets and manages the Amul brand. From mid-1990s Amul has entered areas not related directly to its core business. Its entry into ice cream was regarded as successful due to the large market share it was able to capture within a short period of time primarily due to the price differential and the brand name. It also entered the pizza business, where the base and the recipes were made available to restaurant owners who could price it as low as 30 rupees per pizza when the other players were charging upwards of 100 rupees.

Company info
The GCMMF is the largest food products marketing organisation of India. It is the apex organization of the Dairy Cooperatives of Gujarat. Over the last five and a half decades, Dairy Cooperatives in Gujarat have created an economic network that links more than 3.1 million village milk producers with millions of consumers in India. These cooperatives collect on an average 9.4 million litres of milk per day from their producer members, more than 70% of whom are small, marginal farmers and landless labourers and include a sizeable population of tribal folk and people belonging to the scheduled castes. The turnover of GCMMF (AMUL) during 201011 was 97.74 billion (US$1.77 billion). It markets the products, produced by the district milk unions in 30 dairy plants. The farmers of Gujarat own the largest state of the art dairy plant in Asia Mother Dairy, Gandhinagar, Gujarat which can handle 2.5 million litres of milk per day and process 100 MTs of milk powder daily

Impact of the "Amul Model"

The effects of Operation Flood Programme are more appraised by the World Bank in its recent evaluation report. It has been proved that an investment of Rs. 20 billion over 20 years under Operation Flood Programme in 70s & 80s has contributed in increase of Indias milk production by 40 Million Metric Tonne (MMT) i.e. from about 20 MMT in preOperation Flood period to more than 60 MMT at the end of Operation flood Programme. Thus, an incremental return of Rs. 400 billion annually have been generated by an investment of Rs. 20 billion over a period of 20 years. This has been the most beneficial project funded by the World Bank anywhere in the World. One can continue to see the effect of these efforts as Indias milk production continues to increase and now stands at 90 MMT. Despite this fourfold increase in milk production, there has not been drop in the prices of milk during the period and has continued to grow. Due to this movement, the countrys milk production tripled between the years 1971 to 1996. Similarly, the per capita milk consumption doubled from 111 gms per day in 1973 to 222 gms per day in 2000. Thus, these cooperatives have not just been instrumental in economic development of the rural society of India but it also has provided vital ingredient for improving health & nutritional requirement of the Indian society. Very few industries of India have such parallels of development encompassing such a large population.

These dairy cooperatives have been responsible in uplifting the social & economic status of the women folk in particular as women are basically involved in dairying while the men are busy with their agriculture. This has also provided a definite source of income to the women leading to their economic emancipation. The three-tier Amul Model has been instrumental in bringing about the White Revolution in the country. As per the assessment report of the World Bank on the Impact of Dairy Development in India, the Anand Pattern has demonstrated the following benefits: is has multi-dimensional impacts importance of getting government out of commercial enterprises importance of market failure in agriculture power & problems of participatory organisations importance of policy correct

Achievements of the "Amul Movement"

1. The dairy cooperatives have been able to maintain democratic structure at least at the grass-root level with the management committee of the village level unit elected from among the members in majority of the villages. 2. The dairy cooperatives have also been instrumental in bridging the social divide of caste, creed, race, religion & language at the villages, by offering open and voluntary membership.

Achievements of GCMMF
3.1 million milk producer member families 15,760 village societies 15 District Unions 9.4 million liters of milk procured per day 150 million (US$2.72 million) disbursed in cash daily GCMMF is the largest cooperative business of small producers with an annual turnover of 53 billion (US$959.3 million) The Govt. of India has honoured Amul with the Best of all categories Rajiv Gandhi National Quality Award. Largest milk handling capacity in Asia Largest cold chain network 48 Sales offices, 5000 wholesale distributors, 7 lakh retail outlets Export to 37 countries worth 150 crore (US$27.15 million) Winner of APEDA award for eleven consecutive years[17]

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National Dairy Development Board

The National Dairy Development Board is an institution of national importance set up by an Act of Parliament of India. The main office is located inAnand, Gujarat with regional offices throughout the country. NDDB's subsidiaries include Mother Dairy, Delhi. It was founded by Dr. Verghese Kurien and Dr. Amrita Patel is the current Chairman of the National Dairy Development Board, Anand. The National Dairy Development Board (NDDB) was created in 1965, fulfilling the desire of the then Prime Minister of India - the late Lal Bahadur Shastri - to extend the success of the Kaira Cooperative Milk Producers' Union (Amul) to other parts of India. That success combined the wisdom and energy of farmers with professional management to successfully capture liquid milk and milk product markets while supporting farmer investment with inputs and services. The major success of this mission was achieved through the World Bankfinanced Operation Flood, which lasted for 26 years from 1970 to 1996 and was responsible for making India the world's largest producer's of milk. This operation was started with the objective of increasing milk production, augmenting farmer income and providing fair prices for consumers. NDDB has now integrated 96,000 dairy co-operatives in what it calls the Anand Pattern, linking the village society to the state federations in a three-tier structure. NDDB launched its Perspective Plan 2010 with four thrust areas: Quality Assurance, Productivity Enhancement, Institution Building and National Information Network.

National Dairy Development Board

Type

Institution of National Importance

Industry

Dairy

Founded

1965

Headquarters

Anand, India

Key people

Chairman, Amrita Patel

Operation Flood
Operation Flood was a rural development programme started by India's National Dairy Development Board (NDDB) in 1970. One of the largest of its kind, the programme objective was to create a nationwide milk grid. It resulted in making India the largest producer of milk and milk products, and hence is also called the White Revolution of India. It also helped reduce malpractices by milk traders and merchants. This revolution followed the Indian Green Revolution and helped in accelerating organic, decentralized development across the board, alleviating poverty by offering gainful employment, and also providing access to better nutrition.

Introduction
Operation Flood has helped dairy farmers direct their own development, placing control of the resources they create in their own hands. A national milk grid links milk producers throughout India with consumers in over 700 towns and cities, reducing seasonal and regional price variations while ensuring that the producer gets a major share of the price consumers pay. The bedrock of Operation Flood has been village milk producers' co-operatives, which procure milk and provide inputs and services, making modern management and technology available to members. Operation Flood's objectives included: Increase milk production ("a flood of milk") Augment rural incomes Fair prices for consumers
[1]

Programme implementation
The Gujarat Co-operative Milk Marketing Federation Ltd. aka Amul, was the engine behind the success of the programme,[citation needed] and led the cooperative approach. Tribhuvandas Patel was the founder Chairman of Amul, while Verghese Kurien was the chairman of NDDB at the time when the programme was implemented. Verghese Kurien, who was then 33, gave the professional management skills and necessary thrust to the co-operative, and is considered the architect and Father of India's 'White Revolution' (Operation Flood) [2]. His work has been recognized by the award of a Padma Bhushan, the Ramon Magsaysay Award for Community Leadership, the Carnegie-Wateler Peace Prize, and the World Food Prize.[3][4] Operation Flood was implemented in three phases.

Phase I Phase I (19701980) was financed by the sale of skimmed milk powder and butter oil donated by the European Union (then the European Economic Community) through the World Food Programme. NDDB planned the programme and negotiated the details of EEC assistance. During its first phase, Operation Flood linked 18 of India's premier milksheds with consumers in India's major metropolitan cities: Delhi, Mumbai, Kolkata and Chennai. Thus establishing mother dairies in four metros. [1] Operation flood, also referred to as White Revolution is a gigantic project propounded by the Government of India for developing dairy industry in the country. The Operation Flood 1 originally meant to be completed in 1975, actually spanned the period of about nine years from 197079, at a total cost of Rs.116 crores.[citation needed] At start of operation Flood-1 in 1970 certain set of aims were kept in view for the implementation of the programmes. Improvement by milk marketing the organized dairy sector in the metropolitan cities Mumbai(then Bombay), Kolkata(then Calcutta), Chennai(then Madras) and Delhi. The objectives of commanding share of milk market and speed up development of dairy animals respectively hinter lands of rural areas with a view to increase both production and procurement. Phase II Operation Flood Phase II (19811985) increased the milksheds from 18 to 136; 290 urban markets expanded the outlets for milk. By the end of 1985, a self-sustaining system of 43,000 village cooperatives with 4,250,000 milk producers were covered. Domestic milk powder production increased from 22,000 tons in the pre-project year to 140,000 tons by 1989, all of the increase coming from dairies set up under Operation Flood. In this way EEC gifts and World Bank loan helped promote self-reliance. Direct marketing of milk by producers' cooperatives increased by several million litres a day. [1] Phase III Phase III (19851996) enabled dairy cooperatives to expand and strengthen the infrastructure required to procure and market increasing volumes of milk. Veterinary firstaid health care services, feed and artificial insemination services for cooperative members were extended, along with intensified member education. Operation Flood's Phase III consolidated India's dairy cooperative movement, adding 30,000 new dairy cooperatives to the 42,000 existing societies organized during Phase II. Milksheds peaked to 173 in 1988-89 with the numbers of women members and Women's Dairy Cooperative Societies increasing significantly. Phase III gave increased emphasis to research and development in animal health and animal nutrition. Innovations like vaccine for Theileriosis, bypassing protein feed and ureamolasses mineral blocks, all contributed to the enhanced productivity of milch animals