AMUL BUTTER PROJECT FILE
- 1. History Type Cooperative Industry Dairy Founded 1946 Headquarters Anand, India Key people Chairman, Kaira District Cooperative Milk Producers' Union Limited. (KDCMPUL) Products See complete products listing. Revenue INR (Indian Rupee) 67.11 billion, $1.33 billion USD (in 2008-09) Employees 735 employees of Marketing Arm. However, real poolconsistof 2.8 million milk producers Website www.amul.com
- 2. The Amul Plant at Anand featuring the Milk Silos Amul ("priceless" in Sanskrit. The brand name "Amul," from the Sanskrit "Amoolya," was suggested by a quality control expert in Anand.), formed in 1946, is a dairy cooperative in India. It is a brand name managed by an apex cooperative organisation, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.8 million milk producers in Gujarat, India. AMUL is based in Anand, Gujarat and has been an example of a co-operative organization's success in the long term. It is one of the best examples of co- operative achievement in the developing economy. "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 Unions making up GCMMF have 2.8 million producer members with milk collection average of 10.16 million litres per day. 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 did not succeeded, but now it has fresh plans entering the Japanese markets. Other potential markets being considered include Sri Lanka. Dr Verghese Kurien, former chairman of the GCMMF, is recognised as a key person behind the success of Amul. On 10 Aug 2006 Parthi Bhatol, chairman of the Banaskantha Union, was elected chairman of GCMMF. Company Information
- 3. The Gujarat Cooperative Milk Marketing Federation Ltd, Anand (GCMMF) is the largest food products marketing organisation of India. It is the apex organization of the Dairy Cooperatives of Gujarat. This State has been a pioneer in organizing dairy cooperatives and our success has not only been emulated in India but serves as a model for rest of the World. Over the last five and a half decades, Dairy Cooperatives in Gujarat have created an economic network that links more than 2.8 million village milk producers with millions of consumers in India and abroad through a cooperative system that includes 13,141 Village Dairy Cooperative Societies (VDCS) at the village level, affiliated to 13 District Cooperative Milk Producers’ Unions at the District level and GCMMF at the State level. These cooperatives collect on an average 7.5 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 2008-09 was Rs. 67.11 billion. It markets the products, produced by the district milk unions in 30 dairy plants, under the renowned AMUL brand name. The combined processing capacity of these plants is 11.6 million litres per day, with four dairy plants having processing capacity in excess of 1 million Litres per day. 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. During the last year, 3.1 billion litres of milk was collected by Member Unions of GCMMF. Huge capacities for milk drying, product manufacture and cattle feed manufacture have been installed. All its products are manufactured under the most hygienic conditions. All dairy plants of the unions are ISO 9001-2000, ISO 22000 and HACCP certified. GCMMF (AMUL)’s Total Quality Management ensures the quality of products right from the starting point (milk producer) through the value chain until it reaches the consumer. Ever since the movement was launched fifty-five years ago, Gujarat’s Dairy Cooperatives have brought about a significant social and economic change to our rural people. The Dairy Cooperatives have helped in ending the exploitation of farmers and demonstrated that when our rural producers benefit, the community and nation benefits as well.
- 4. The Gujarat Cooperative Milk Marketing Federation Ltd. cannot be viewed simply as a business enterprise. It is an institution created by the milk producers themselves to primarily safeguard their interest economically, socially as well as democratically. Business houses create profit in order to distribute it to the shareholders. In the case of GCMMF the surplus is ploughed back to farmers through the District Unions as well as the village societies. This circulation of capital with value addition within the structure not only benefits the final beneficiary – the farmer – but eventually contributes to the development of the village community. This is the most significant contribution the Amul Model cooperatives has made in building the Nation. The Birth of Amul and development of India’s Dairy Cooperative Movement The birth of Amul at Anand provided the impetus to the cooperative dairy movement in the country. The Kaira District Cooperative Milk Producers’ Union Limited was registered on December 14, 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). Milk Producers had to travel long distances to deliver milk to the only dairy, the Polson Dairy in Anand. Often milk went sour as producers had to physically carry the milk in individual containers, especially in the summer season. These agents arbitrarily decided the prices depending on the production and the season. Milk is a commodity that has to be collected twice a day from each cow/buffalo. In winter, the producer was either left with surplus / unsold milk or had to sell it at very low prices. Moreover, the government at that time had given monopoly rights to Polson Dairy (around that time Polson was the most well known butter brand in the country) to collect milk from Anand and supply it to Bombay city in turn. India ranked nowhere amongst milk producing countries in the world in 1946. The Three-tier "Amul Model" The Amul Model is a three-tier cooperative structure. This structure consists of a Dairy Cooperative Society at the village level affiliated to a Milk Union at the District level which in turn is further federated into a Milk Federation at the State level. The above three-tier structure was set-up in order to delegate the various functions, milk collection is done at the Village Dairy Society, Milk Procurement & Processing at the District Milk Union and Milk & Milk Products
- 5. Marketing at the State Milk Federation. This helps in eliminating not only internal competition but also ensuring that economies of scale is achieved. As the above structure was first evolved at Amul in Gujarat and thereafter replicated all over the country under the Operation Flood Programme, it is known as the ‘Amul Model’ or ‘Anand Pattern’ of Dairy Cooperatives. Responsible for Marketing of Milk & Milk Products Responsible for Procurement & Processing of Milk Responsible for Collection of Milk Responsible for Milk Production Village Dairy Cooperative Society (VDCS) The milk producers of a village, having surplus milk after own consumption, come together and form a Village Dairy Cooperative Society (VDCS). The Village Dairy Cooperative is the primary society under the three-tier structure. It has membership of milk producers of the village and is governed by an elected Management Committee consisting of 9 to 12 elected representatives of the milk producers based on the principle of one member, one vote. The village society further appoints a Secretary (a paid employee and member secretary of the Management Committee) for management of the day-to-day functions. It also employs various people for assisting the Secretary in accomplishing his / her daily duties. The main functions of the VDCS are as follows: Collection of surplus milk from the milk producers of the village & payment based on quality & quantity Providing support services to the members like Veterinary First Aid, Artificial Insemination services, cattle-feed sales, mineral mixture sales, fodder & fodder seed sales, conducting training on Animal Husbandry & Dairying, etc. Selling liquid milk for local consumers of the village Supplying milk to the District Milk Union Thus, the VDCS in an independent entity managed locally by the milk producers and assisted by the District Milk Union. Achievements of GCMMF 2.8 million milk producer member families 13,759 village societies 13 District Unions
- 6. 8.5 million liters of milk procured per day Rs. 150 million disbursed in cash daily GCMMF is the largest cooperative business of small producers with an annual turnover of Rs. 53 billion 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, 3000 Wholesale Distributors, 5 lakh retail outlets Export to 37 countries worth Rs. 150 crores Winner of APEDA award for nine consecutive years Products Amul's product range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, flavoured milk, basundi, Nutramul brand and others. In January 2006,
- 7. Amul plans to launch India's first sports drink Stamina, which will be competing with Coca Cola's Powerade and PepsiCo's Gatorade . In August 2007, Amul introduced Kool Koko, a chocolate milk brand extending its product offering in the milk products segment. Other Amul brands are Amul Kool, a low calorie thirst quenching drink; Masti Butter Milk; Kool Cafe, ready to drink coffee and India's first sports drink Stamina. Amul's sugar-free Pro-Biotic Ice-cream won The International Dairy Federation Marketing Award for 2007. Amul Butter The moppet who put Amul on India's breakfast table 50 years after it was first launched, Amul's sale figures have jumped from 1000 tonnes a year in 1966 to over 25,000 tonnes a year in 1997. No other brand comes even close to it. All because a thumb-sized girl climbed on to the hoardings and put a spell on the masses. AMUL BUTTER is made from Butter, Common Salt, permitted natural colour- Annatto. Composition: Milk Fat 80% Moisture 16% Salt 2.5% Curd 0.8% Calorific Value: 720 kcal./100g Special Features: Made from fresh cream by modern continuous butter making machines. Marketed in India since 4 decades. Product Specification:
- 8. Meets AGMARK standard and BIS specifications No.IS:13690:1992 Awards GCMMF bags APEDA AWARD for 11th year in a row Rajiv Gandhi National Quality Award – 1999 Amul Pro-Biotic Ice-cream Gets No. 1 Award At World Dairy Summit The Gujarat Co-operative Milk Marketing Federation (GCMMF) has been honoured at the CIO 100 Symposium & Award Ceremony on August 19, 2003, at the Broadmoor in Colorado Springs, Colorado, USA. Shri Subbarao Hegde, Head of IT had been to USA and received
- 9. the said Award on behalf of GCMMF. The photograph link of the recipient of the CIO award along with CIO Magazine's Editor in Chief, Abbie Lundberg, can be seen at Here is a list of the few of the Amul parlours operating across the various parts of the country 1. Indian Institute of Management, Ahmedabad 2. New Delhi Railway Station PF6/7 & PF10/11 3. National Institute of Design 4. Infosys Technologies in Bangalore, Mysore & Pune 5. Wipro, Bangalore 6. Indian Institute of Management, Kolkata 7. Ahmedabad Airport 8. Koyambedu Bus Station, Tamilnadu 9. Savitha Dental College, Chennai 10. IIT, Guwahati "Amul Preferred Outlets (APOs)” are an excellent business opportunity for budding entrepreneurs. To create your APO you just need to visit www.amul.com and follow the Amul parlour link for online application You may also send us an email at retail@amul.coop or write to us at : Retail Cell Gujarat Co-operative Milk Marketing Federation Ltd. Amul Dairy Road, Anand- 388001 Ph: (02692) 258506,7,8&9 Events at Amul April 29, 2010 Amul Bags International Dairy Federation Award And Srishti G-cube Award For Good Green Governance – 2009 April 20, 2010 Visit of Senior Officials from Kenya Mar 19, 2010 Visit of Women Journalists from Nepal Mar 05, 2010 Visit of Her Excellency, Gennet Zewide, Ambassador to Ethiopia in India
- 10. Feb 24, 2010 27th Hoshin Kanri Meeting At Anand Jan 08, 2010 5th Amul Milk Hoshin Kanri meeting at Anand Dec 28, 2009 Crisil ratings for Gujarat Co-operative Milk Marketing Federation Dec 19, 2009 14th Amul Ice Cream Hoshin Kanri Meeting Dec 10, 2009 Visit of Shri Kandasamy, Hon’ble Minister for Welfare and Cooperation, Govt. of Pondicherry Oct 09, 2009 Amul Vidya Award 2009 : Prize Distribution Function at Tumkur on 9th Oct 2009 Oct 04, 2009 Amul Vidya Award 2009 : Prize Distribution Function at Nagpur on 4th Oct 2009 Sep 26, 2009 Amul Vidya Award 2009 : Prize Distribution Function at Udaipur on 26th Sep 2009 Sep 17, 2009 26th Hoshin Kanri Meeting At Anand Sep 16, 2009 Visit of Prime Ministerial Delegation from Tanzania August 18, 2009 GCMMF bags APEDA AWARD for 12th year in a row August 04, 2009 Visit of Ministerial Delegation from Chhattisgarh July 03, 2009 Amul & IBM sign IT services agreement to fuel future growth June 27, 2009 Shri B M Vyas, MD, GCMMF gets prestigious ‘Charotar Ratna’ Award June 05, 2009 GCMMF (AMUL) Beats Recession, Achieves, A Turnover Of Rs. 6700 Crores May 31, 2009 Visit of Ministerial Delegation from Uganda May 29, 2009 14th Annual Kaizen Celebration February 21, 2009 25th Hoshin Kanri Meeting At Anand February 07, 2009 Indian Dairy Association (IDA) Honours B. M. Vyas for his Outstanding Role January 08, 2009 IAS Officer Trainees of the 2008 batch