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• Amul is the largest food brand in India and world's Largest Pouched
Milk Brand with an annual turnover of US $1050 million (2006-07).
Broad product line : Milk powders, milk, butter, ghee, cheese, curd,
• Handling of milk in Co-operative Milk Unions established all over the country on a
small scale in the early stages.
• Long distance refrigerated rail-transport of milk from Anand to Bombay since
1945
• Pasteurization and bottling of milk on a large scale for organized distribution was
started at Aarey (1950), Calcutta (Haringhata, 1959), Delhi (1959), Worli (1961),
Madras (1963) etc.
Establishment of Milk Plants under the Five-Year Plans for Dairy Development all over
India. These were taken up with the dual object of increasing the national level of milk
consumption and ensuing better returns to the primary milk producer. Their main aim
was to produce more, better and cheaper milk.
As the number of district unions increased, the Kaira cooperative was transformed into
the Gujarat Milk Marketing Federation Ltd (GCMMF) under the chairmanship of Kurien.
GCMMF coordinated the operations of the union and marketed milk and milk products.
As the operations were based in Anand, Gujarat, this came to be known as the Anand
model. This model was replicated across India. In 1965, NDDB was formed under the
chairmanship of Kurien and was mandated with the task of building cooperative dairies
across the country. Operation Flood was launched in 1970, which sought to establish
dairy cooperatives across India, get rid of middlemen, remove seasonal price variations
and make it economically viable for farmers to undertake production and distribution of
milk. Operation Flood achieved phenomenal success: trebling India's annual milk
production from 21 million tonnes in 1968 to 74 million tonnes in 1999. Nearly 9 million
small producers in 74,000 villages began supplying hygienic and fair priced milk to 300
million consumers and earning revenues of Rs 25 billion in the process.
Of the Rs 2 billion invested by World Bank in the second phase of Operation Flood, the
net return to the rural economy has been in the region of Rs 240 billion.per year over a
period of ten years or a total of Rs 2.4 trillion in all. No other development programme in
the world has achieved such success. Several countries like Sri Lanka, Bangladesh,
Nepal, the Philippines, Malaysia and some African countries have decided to implement
similar projects. The third phase of Operation Flood, implemented during 1985-96
aimed at consolidating the achievements of the first two phases. Infrastructure was
strengthened, production enhanced and animal healthcare and nutrition improved. The
Operation Flood III programmes was funded by a World Bank credit of US $365 million
and food aid worth Rs 2226 million. By May 1995, Rs 15.78 billion had been invested in
the three phases of Operation Flood. By the time the third phase came to an end, milk
processing capacity had grown to 17.2 million litres per day. Chilling capacity of 6.9
million litres per day had been added and milk powder production capacity of 839
tonnes per day had been set up. By 1999, average milk procurement by the
cooperatives had grown to 10.2 million litres per day, of which 9.4 million litres was
marketed as liquid milk. The remainder was converted into milk powder, butter, cheese,
ghee and other traditional milk products.
NDDB has been focusing on intensive R&D activities in animal husbandry through the
late 1990s. It has set up an embryo transfer lab at Sabarmati Ashram Gaushala in
Ahmedabad. NDDB has also been working on improving nutrition quality of the normal
cattle feed. NDDB has made it possible to transport milk over long distances by using
over 140 insulated rail milk tankers, each with a capacity of 40,000 litres. This has
enabled the National Milk Grid to supply milk to milk-deficient regions in the country.
Milk Production
1997 – 74.3 mT
India contributes to world milk production rise from 12-15 % & it will increase upto 30-
35% (year 2020)
• Average Productivity
• 2.4 kg/day or 732 kg/lactation/cow
1950 132 gm
1997 214 gm
2020 290 gm
Out of a total production of 88 mt of milk, 46per cent is consumed as liquid milk. Less
than 30 per cent of milk production – i.e. 26.4 mt – is packaged. Currently barely 778
out of 3,700 cities and towns are served by the milk distribution network, dispensing
hygienically packed wholesome, quality pasteurized milk. According to one estimate,
the packed milk segment would double in the next five years.
The effective milk market is largely confined to urban areas, inhabited by over 25 per
cent of the country's population. In urban India, an estimated 50 per cent of the total
milk produced is consumed by a population of roughly about 350 million. The expected
rise in urban population would be a boon to Indian dairying. Of the three A's of
marketing - availability, acceptability and affordability, the dairy sector is at an
advantage since Indians are a milk loving people. However what continues to be a
challenge is the affordability factor. Volume sales could dramatically increase if small
packs of 250 ml or less is made available. Sales of milk powders in mini-sachets, for
two cups of tea or coffee, could also help in increasing volumes.
Flavoured Milk is increasingly becoming the toast of the milk market. The overall market
for flavoured milk in India is estimated to have grown 27 per cent in value terms in
2004-05. Milk-based drinks are the flavour of the season as consumers seek healthy
lifestyles. Nestle’s Fruit and Milk and Amrit Foods’ Gagan are the two brands that have
a significant presence in this segment
Diet Milk, Fortified Milk and other such niche categories are expected to grow. Gagan,
the Amrit Foods brand, has launched a Diet Milk which is recommended for people with
high cholesterol and blood pressure since it has just 0.5 per cent fat content. This is a
long shelf life product.
Ultra Heat Treatment (UHT) milk or long-shelf-life milk sales is estimated to be in the
region of 70 million litres and the segment is growing at a healthy pace of 20-25 per
cent per year.
Packaged curd and curd products – such as lassi, buttermilk, chhas, set dahi, mishti
doi, etc. – are new products and are witnessing a rapid pace of growth. In terms of
volumes this just comprises 5 per cent of dairy products, but they are growing at 10 per
cent per annum. Flavoured yoghurt, which is popular in the West, however, has not
been successful in India.
Traditional products, such as paneer, mithai, khoa and khoa-based sweets, which are
available in the unorganised market, is a huge segment. Apart from Amul which has
launched paneer and its Mithaee brand which offers traditional Indian sweets, the
organised sector has not tapped into the potential that this sub-category offers.
Dairy Products
• The organised cheese market including its variants like processed cheese,
cheese spreads, mozzarella, flavoured and spiced cheese, is valued at around
Rs 4.5 billion. Processed cheese at 60 per cent of the overall market (6000
tonnes) is estimated at Rs 2.7 billion and is growing at about 15 per cent
annually. Cheese spread has a share of around 30per cent of the total processed
cheese market. Demand for processed cheese is an urban phenomenon and the
demand for cheese cubes, slices and tins is growing. The flavoured cheese
segment however has been declining. The demand for cheese is projected to
grow from about Rs. 4.50 billion in 2003-04 to Rs. 6 billion in 2006-07 and to
over Rs 11 billion by 2014-15. Cheese is becoming a popular item in the menu
of all relatively affluent families. Slowly but surely, it will penetrate into the rural
markets. While the cheese market was growing at 20.6 per cent during the
1996-97 to 2001-02 period, the growth rate between 2004-05 and 2009-10 is
estimated at 9.4per cent. Amul, the GCMMF brand, continues to dominate the
market. Britannia Industries, which sells processed cheese under the Milkman
brand, is another key player. Foreign brands like The Laughing Cow and the
Dabur India-Bongrain joint venture, Dabon International's Le Bon has also
grabbed a significant share of the market. Other foreign players too have
prepared plans to launch their products.
• The market for dairy whiteners-creamers and condensed milk is valued at Rs 3
billion, with volumes of about 200 metric tonnes in 2004. The segment is growing
at the rate of 8-9 per cent over a 5-year period. Volumes are projected to go up
to 284 metric tonnes by 2008-09. Nestle India (Everyday), Britannia and
GCMMF’s Amul are the key players in this segment. Sapan, Vijaya, Mohan,
Parag and other regional players too have entered the fray with their dairy
whiteners and most are available in pouches and tetrapacks. There are plans to
introduce mini-portion cups as well. Amul has nearly 45per cent share of the
market followed by Nestle at 23 per cent. Britannia is the No. 3 player.
• The ice cream market is estimated to be in the region of Rs 15 billion per annum,
of which the organised sector is about Rs 9 billion (40 million litres). The
unorganised market is shrinking. A key issue in the ice cream industry is the
increase in excise levy – there have been six such hikes in five years. From a
specific levy of Rs 2 per litre in February 1994, it as been increased to 16per cent
ad valorem (equivalent to Rs 12 per litre) in 2000-01. GCMMF’s share in value
terms is estimated at 27 per cent of the organised market, while Hindustan
Lever’s share has declined to just 8 per cent. Mother Dairy has a share of 7 per
cent and Vadilal too has 7per cent share.
Regulatory Environment
The dairy industry was de-licensed in 1991 with a view to encourage private
investment and flow of capital and new technology in the segment. Although
de-licensing attracted a large number of players, concerns on issues like
excess capacity, sale of contaminated- substandard quality of milk etc
induced the Government to promulgate the MMPO (Milk and Milk Products
Order) in 1992. Milk and Milk Products Order (MMPO) regulates milk and milk
products production in the country. The order requires no permission for
units handling less than 10,000 litres of liquid milk per day or milk solids up
to 500 tpa. MMPO prescribes State registration to plants producing between
10,000 to 75,000 litres of milk per day or manufacturing milk products
containing between 500 to 3,750 tonnes of milk solids per year. Plants
producing over 75,000 litres per day or more than 3,750 tonnes per year of
milk solids have to be registered with the Central Government.
All milk products except malted foods are covered in the category of
industries for which foreign equity participation up to 51per cent is
automatically allowed. Ice cream, which was earlier reserved for
manufacturing in the small-scale sector, has now been de-reserved. As
such, no licence is required for setting up of large-scale production facilities
for manufacture of ice cream. Subsequent to de-canalization, exports of
some milk based products are freely allowed provided these units comply
with the compulsory inspection requirements of concerned agencies like:
National Dairy Development Board, Export Inspection Council etc. Bureau of
Indian standards has prescribed the necessary standards for almost all milk-
based products, which are to be adhered to by the industry.
The response to these provided stimulus for further growth. For example, as the
movement spread in the district, it was found that the Bombay Milk Scheme could
not absorb the extra milk collected by the Kaira Union in winter, when the production
on an average was 2.5 times more than in summer. Thus, even by 1953, the farmer-
members had no assured market for the extra milk produced in winter. They were
again forced to sell a large surplus at low rates to the middlemen. The remedy was
to set up a plant to process milk into products like butter and milk powder. A Rs 5
million plant to manufacture milk powder and butter was completed in 1955. In 1958,
the factory was expanded to manufacture sweetened condensed milk. Two years
later, a new wing was added for the manufacture of 2500 tons of roller-dried baby
food and 600 tons of cheese per year, the former based on a formula developed
with the assistance of Central Food Technological Research Institute (CFTRI),
Mysore. It was the first time anywhere in the world that cheese or baby food was
made from buffalo milk on a large, commercial scale. Another milestone was the
completion of a project to manufacture balanced cattle feed. The plant was donated
by OXFAM under the Freedom From Hunger Campaign of the FAO.
To meet the requirement of milk powder for the Defense, the Kaira Union was asked
by the Government of India in 1963 to setup additional milk drying capacity. A new
dairy capable of producing 40 tons of milk powder and 20 tons of butter a day was
speedily completed. It was declared open in 1965. The Mogar Complex where high
protein weaning food, chocolate and malted food are being made was another
initiative by Amul to ensure that while it fulfilled the social responsibility to meet the
demand for liquid milk, its members were not deprived of the benefits to be had from
the sale of high value-added products.
The Union runs a semen production center where it maintains high pedigreed Surti
buffalo bulls, Holstein Friesian bulls, Jersey bulls and 50 per cent crossbred bulls. The
semen obtained from these bulls is used for artificial breeding of buffaloes and cows
belonging to the farmer members of the district. The artificial insemination service has
become very popular because it regulates the frequency of calving in cows and
buffaloes thus reducing their dry period. Not only that, a balanced feed concentrate is
manufactured in the Union's Cattle Feed Plant and sold to the members through the
societies at cost price.
Impressive though its growth, the unique feature of the Amul sagas did not lie in the
extensive use of modern technology, nor the range of its products, not even the rapid
inroads it made into the market for dairy products. The essence of the Amul story lies in
the breakthrough it achieved in modernizing the subsistence economy of a sector by
organizing the rural producers in the areas
The Kaira experiment: A new beginning in more ways than one.
A system which involves participation of people on such a large magnitude does not
confine itself to an isolated sector. The ripples of its turbulence affect other areas of
the society as well. The cooperatives in the villages of Kaira are contributing to
various desirable social changes such as:
• The yearly elections of the management committee and its chairman, by the
members, are making the participants aware of their rights and educating
them about the democratic process.
• Perpetuating the voluntary mix of the various ethnic and social groups twice-
a-day for common causes and mutual betterment has resulted in eroding
many social inequilibria. The rich and the poor, the elite and the ordinary
come together to cooperate for a common cause.
• Live exposure to various modern technologies and their application in day-to-
day life has not only made them aware of these developments but also made
it easier for them to adopt these very processes for their own betterment. One
might wonder whether the farmer who knows almost everything about
impregnating a cow or buffalo, is also equally aware of the process in the
humans and works towards planning it.
• More than 900 village cooperatives have created jobs for nearly 5000 people
in their own villages -- without disturbing the socio-agro-system -- and thereby
the exodus from the rural areas has been arrested to a great extent.
• The income from milk has contributed to their household economy. Besides,
women, who are the major participants, now have a say in the home
economy.
Independent studies by various individuals and institutions have shown that as high
as 48 per cent of the income of the rural household in Kaira District is being derived
from dairying. Since dairying is a subsidiary occupation for the majority of the rural
population, this income is helping these people not only to liberate themselves from
the stronghold of poverty but also to elevate their social status.
Amul is one of the best examples of co-operative achievement in the developing
world. "Anyone who has seen ... the dairy cooperatives in the state of Gujarat,
especially the highly successful one known as AMUL, will naturally wonder what
combination of influences and incentives is needed to multiply such a model a
thousand times over in developing regions everywhere." The Amul Pattern has
established itself as a uniquely appropriate model for rural development. Amul has
spurred the White Revolution of India, which has made India the largest producer of
milk and milk products in the world. It is also the world's biggest vegetarian cheese
brand.
Amul is the largest food brand in India and world's Largest Pouched Milk Brand with
an annual turnover of US $1050 million (2006-07). Currently Amul has 2.6 million
producer members with milk collection average of 10.16 million liters per day. Dr
Verghese Kurien, former chairman of the GCMMF, is recognized as the man behind
the success of Amul. On 10 Aug 2006 Parthi Bhatol, chairman of the Banaskantha
Union, was elected as the chairman of GCMMF.
AMUL TODAY:
GCMMF-Operations
• India’s largest food products marketing organization
• 4 Distribution Highways
• 20 Product Groups
• 400+ SKUs
• 34 Supply Centers
• 50 Sales Offices
• 300 member sales team
• 5000 Stockiest
• 700,000 Retail outlets
• Rs 4,500 crore (US$ 1 billion) annual Sales Turnover.
• Practicing just in time supply chain management with six sigma accuracy.
• Amul Butter
• Amul Lite Low Fat Bread spread
• Amul Cooking Butter
Cheese Range:
Milk Powders:
Fresh Milk:
Curd Products:
Brown Beverage:
Milk Drink:
Health Beverage:
Amul
1956
Milk
Ice cream Chocolates Shrikhand Fresh Milk Cheese Ghee
Power Breadspread
1996 1973 1980 1956 1962 1956
1958
Gulabjamun Condensed
Softy Mix Eclairs Amul WMP Paneer Amul Lite
mix Milk
2001 2001 1960 1997 1994
1999 1996
Amul pizza
Kulfi Mix Buttermilk Amulya Margarine
Shakti Cheese
2001 1998 1987 2004
2003 1998
Flavoured Instant
Basundi Frozen Pizza
Milk FCMP
2005 2002
2001 2002
Fresh Gouda
Khoa
Cream Cheese
2006
2002 2002
Kool Cafe
2005
GCMMF: PRODUCT PORTFOLIO
CATEGORY BRAND NAME MKT SH % RANK
IMF AMULSPRAY 65 #1
DAIRY WHITENER AMULYA 60 #1
FCMP AMUL WMP 80 #1
SMP SAGAR SMP 40 #1
BUTTER AMUL BUTTER 80 #1
BREADSPREAD AMUL LITE 80 #1
CHEESE AMUL CHEESE 60 #1
CHEESE SPREAD AMUL CH SP. 90 #1
EMMENTAL SWISS CHEESE 90 #1
MOZARELLA PIZZA CHEESE 75 #1
MILK AMUL - #1
GHEE SAGAR GHEE 10 #1
AMUL GHEE 8 #2
ICE CREAM AMUL ICECREAM 40 #1
CONDENSED MILK MITHAI MATE 50 #1
ETHNIC SWEET AMUL SHRIKHAND 50 #1
CHOCOLATES AMUL CHOCOLATES 10 #3
BROWN BEV NUTRAMUL 15 #4
100
OTHERS
0 MARKET
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Exports
Besides India, Amul has entered overseas markets such as Mauritius, UAE, USA,
Bangladesh, Australia, China, Singapore, Hong Kong and a few South African
countries. Its bid to enter Japanese market in 1994 had not succeeded, but now it
has fresh plans of flooding the Japanese markets. Other potential markets being
considered include Sri Lanka.
Key strengths
Amul Emmental Cheese has brought a real Swiss taste to cheese that is made in India.
This excellence in cheese making has been joined by the new Amul Pizza Cheese.
Adding to the popular Amul Processed Cheeses has helped Amul to solidify its market
leadership, despite aggressive competing brands.
Amul Malai Paneer, long shelf-life Amul Taaza UHT milk, the recently-launched "Ready-
to-eat" Amul Masti Dahi (Curd), Amul Mithaee Gulabjamuns, Amul Gulabjamuns Mix all
demonstrate the application of innovative technology in commercial manufacturing and
national marketing of traditional Indian products. These products satisfy consumers'
taste while ensuring Amul quality, hygiene and, most important, value-added for milk
producers.
Mother Dairy, Gandhinagar: The Mother Dairy is the solution in Amul’s strategy to
eliminate the uncertainties of cyclical fluctuations, so common in Amul’s country's milk
production. Amul’s goal is to collect every last drop of milk that its farmers want to pour,
at a remunerative price. they are committed to giving their farmer owners a fair price for
their produce and to protecting them from nature's vagaries. Amul’s aim, as a Co-
operative enterprise, is to return the maximum possible to Amul’s farmers, but without
exploiting the consumer. It is Amul’s aim that whether in times of plenty or scarcity,
neither the producer, nor the consumer, will go home, empty handed.
Pouches are the most popular, convenient and accepted packaging for marketing of
liquid milk. The Packaging Film Project (PFP) was established to give a competitive
edge to the Co-operative Dairy, by ensuring access to the best quality food grade
packaging pouch film, for high speed pouch filling machines, that operate at speeds 75
per cent higher than at present.
The PFP plant has achieved full capacity utilization and we expect to double the
capacity in the coming year. Productivity has been enhanced by minimizing setup time,
by sharp reduction in pouch leakage, by better preventive maintenance, all achieved by
solid teamwork.
Total Quality Management: For the last five years, we at GCMMF, Amuls twelve
member dairies, their 10,000 village cooperative societies and 3,500 dealers have
pursued excellence through "Total Quality Management". . A unique feature of our TQM
Approach is the process of policy deployment known as Hoshin Kanri. This involves
strategy formulation and implementation, involving every member of the value chain. 00.
Export
Amul has received the Government of India's APEDA award for excellence in exports
of dairy products. During the year our products made a debut in Singapore, Philippines,
Saudi Arabia and Tanzania, receiving a very encouraging consumer response.
Distribution Network
GCMMF's total number of Wholesale Dealers now stands at 3,500 extending our reach
to more than 5 lac retailers. All our Wholesale Dealers have computerized operations
with e-mail connectivity for greater speed and faster response time. As impressive as
these statistics are, they don't tell the most important part of the story: it is the staunch
support, brand loyalty and commitment of our Wholesale Dealers and Retailers, that
makes it possible for products to reach consumers in the remotest parts of our country.
People, today, talk of e-commerce as a tool of the future. The Internet, they say, will
change everything - the freedom of choice, the way markets function, the nature of
work, the meaning of leisure, the empowerment of Consumers. The Information
Implosion rapidly expands the choices available to the consumers. Past objectives will
be shaped by future solutions. The quickest, as also the best interaction, will take place
in Cyberspace. All these activities are geared towards matching and satisfying the
perceived as well as latent needs of consumers, through the effective use of information
technology. In this Information-Communication-Entertainment Age, the barriers between
the business organization and consumers, between manufacturers and end-users are
all breaking down.
Amul is India's first food brand to have a dedicated website -- www.amul.com. Today, they
operate India's first national cyber store, functioning in some 120 cities, and an Amul
Cyber store Gifting Service capable of serving consumers in more than 220 of our
cities, on specific occasions. This has been made possible by creating an IT network,
which links their production, centers with sales offices and dealers by VSAT and e-mail
connectivity. Their website has brought us closer to customers, improving interactivity,
brand salience and the shopping basket experience. In fact, Amul are consciously
targeting 'Generation@' like never before. Notable firsts among Amul’s web-
achievements are:
Its advertising has also started using tongue-in-cheek sketches starring the Amul
baby commenting jovially on the latest news or current events. The pun in her words
has been popular. The Amul ads are one of the longest running ads based on a
theme, now vying for the Guinness records for being the longest running ad
campaign ever. Sylvester daCunha, was the managing director of the advertising
agency, ASP, that created the campaign in 1967 whose charm has endured fickle
public opinion, gimmickry and all else.
Amul: Brand Management
• Brand as Product
• Product Scope
• Product Attributes
• Quality/Value
• Uses & Users
• Brand as Organization
• Organization attributes
• Local v/s Global
• Brand as Person
• Brand Personality
• Brand - Customer relationship
• Brand as Symbol
• Visual imagery and metaphors
• Brand Heritage
Next Steps
The second tier is the district co-operative that processes milk into milk products,
markets locally and sells surplus to the state co-operative for national and international
marketing. There are 12 district co-operatives each being managed by a 15-member
board elected by the college comprising the nominated representatives or chairmen of
the village co-operatives.
Third tier is the state level co-operative - the Gujarat Co-operative Milk Marketing
Federation (GCMMF) responsible for national and international marketing of milk and
milk products produced and sold to it. The GCMMF is managed by the board
democratically elected by and from amongst the chairmen of the district co-operatives.
The entire three-tier structure with the GCMMF at its apex, is a unique institution
because it encompasses the entire chain from production of raw material to reaching
the consumer with the end product. Every function involves human intervention: 23.60
lakh primary milk producers; 35,000 rural workmen in more than 11,400 village
societies; 12,000 workers in 15 dairy plants; 750 marketing professionals; 10,500
salesmen in distribution network and 600,000 salesmen in retail network. Accumulation
of human capital is sine qua non for the development and growth of any enterprise or
economy. The GCMMF is sensitive towards CSR. It believes that technology and capital
are replicable inputs but not the human capital. Since men are the basis for achieving
the CSR, the GCMMF lays emphasis on their development into competent, courteous,
credible, reliable, responsive communicators and performers.
CSR-sensitive Business Philosophy
The first step towards discharging the CSR is the business philosophy of the GCMMF. It
is two-fold: one, to serve the interests of milk producers and second, to provide quality
products to consumers as value for money. Evolution of an organizational system has
ensured that the corporate social responsibility towards the primary milk producers,
village and the ecological balance is fulfilled. The milk producers are paid for their milk
in accordance with market forces and realisation of value for their produce. Invariably
the price paid to the member-producers in Gujarat is higher by 15 per cent than the
national average.
The GCMMF has identified the distributors and retailers are its important link in its
vendor supply chain. Through surveys the GCMMF found that 90% of the distributors do
not get any opportunity of exposure to latest management practices. The GCMMF
realised that it was a corporate social responsibility to strengthen the core business
processes of its distributors so as to keep them in mainstream business and compete
with those with formal training in management. The GCMMF has developed and trained
all its distributors through Value-Mission-Strategy Workshops, competence building,
Amul Yatra, Amul Quality Circle meetings, computerisation, and electronic commerce
activities.
Earnings:
Nurturing its primary members - the milk producers - is the first mission of the GCMMF.
Discharge of this responsibility is reflected in the manner in which the GCMMF conducts
its business and shares its earnings. The milk from the village co-operatives is
purchased at an interim price. So as to maximise the earnings of the milk producers the
GCMMF changes the product profile during the fiscal and directs its sales and
marketing activities towards those products that would bring in maximum returns. True!
Every business organization follows the same principle. But the GCMMF follows it with
the central interest of the producers. During the fiscal, as the GCMMF finds that from its
earnings it is possible to pay more to the producers for milk, the final price is declared
higher than the interim price being paid. Before the GCMMF closes its financial
accounts the co-operatives are paid ’price difference’, the amount between the interim
price and the final price. Thus profit of the GCMMF is very low. The net profit (PADT) of
the GCMMF during 2003-04 was Rs 7.31 crore against a turnover of Rs 2,947 crore, a
meagre 0.25%. Further out of the net profit of Rs 7.31 crore, Rs 4 crore was given as
share dividend to the co-operatives. To fulfill its corporate social responsibility towards
its milk producers and co-operatives the GCMMF works on razor thin profits and
retention of funds.
CSR-staff
The GCMMF hires and trains people to take advantage over its competitors. It has
developed in-house modules for training and competence buil-ding to improve and up
grade of their knowledge; communication skills to understand the customer, be
responsive to customer requirements, and communicate clearly for trouble shooting of
problems. They are expected to be courteous, frie-ndly, respectful, and considerate to
the customer. To improve the credibility and trustworthiness of the managers it is
important they perform consistently and accurately every time and at all times. The
structure of salary and perquisites is altogether different. The first and foremost the staff
must get satisfaction from the job they. They are recognised for their contribution
(Climate Survey) CSR-AMUL WAY
Sales turnover
AHMEDABAD: The Gujarat Cooperative Milk Marketing Federation, which markets the
`Amul' brand products in the country, has won a major battle against an Ahmadabad-
based pharmaceutical company, which was allegedly giving misleading advertisements
on butter.
A federation spokesman said the campaign would have hurt the sensibilities of
vegetarians and thus affected Amul butter sales.
Anand, Gujarat, June 24: Gujarat Co-operative Milk Marketing Federation (GCMMF)
popularly known for its products brand name Amul has become India's first billion dollar
co-operative unit after touching the record annual turnover of Rs 5,255.41 crores
(52.554 billion rupees).