18-08-2012, 11:44 AM
AMUL PROBIOTIC AND SUGAR FREE PRODUCTS
1The Three-tier Amul Model.docx (Size: 664.61 KB / Downloads: 64)
Abstract
India is truly a complex nation that is why it is referred to as a sub-continent. The food habits of the one billion Indians varies by the availability of raw materials, cooking traditions, local spices, and interestingly their religious faiths. Today ice creams are equally popular among children and grown-ups. Eating ice creams have become an occasion for celebration. In India alone, the organized ice cream industry has a turnover of around Rs. 1000 Cr. and the market is witnessing a booming growth rate of 12-15% annually.
Sugar free and even probiotic, the ice cream is being dressed up to make it more healthful alternative to other normal sugared and non probiotic counterparts. With consumers slowly but surely moving away from calorific ice creams to healthier options every company wants to grab this opportunity and spread their wings to the maximum number of people. For that company needs better planning and research. Amul is one of the premium companies which stand upfront in this race.
Introduction
The growing understanding of the connection between diet and health-especially in a country with a rapidly growing 55-plus population that wants to stay healthy and active-has made natural and organic products the most dynamic area of the food retailing business many companies eyeing with great potential. The high-potential packaged Sugar free and Probiotic Market, which has names such as Amul, Nestle and Britannia vying for the consumer's attention, will witness a big-ticket entry shortly. Hence competition is expected to increase intensely with time. With many smaller and regional brands like Heritage are coming, its expected to influence the market in many ways and other major player have to deign better business model to sustain its market share.
Dahi, in particular, has been considered as a naturally healthy in India since ages, but sales have been largely confined to the unorganized sector and home preparation. Since its launch in 1996, Amul Ice Creams have consistently combated competition like Kwality Walls, Mother Dairy and other brands
Company Profile
Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products marketing organization. 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 quality products which are good value for money. 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 15,322 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 9.10 million liters of milk per day from their producer members, more than 70% of whom are small, marginal farmers and landless laborers and include a sizeable population of tribal folk and people belonging to the scheduled castes.
History
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). 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.
Angered by the unfair and manipulative trade practices, the farmers of Kaira District approached Sardar Vallabhbhai Patel 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). 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. Milk collection was also decentralized, as most producers were marginal farmers who were in a position to deliver 1-2 liters of milk per day. Village level cooperatives were established to organize the marginal milk producers in each of these villages.
SUSTAINABLE ECOLOGICAL DEVELOPMENT ‘GREEN AMUL GREEN INDIA’ CAMPAIGN
Dairy farming like agriculture is dependent on nature. It draws resource from the nature and needs nature’s support for its growth and development. Generally agriculture and dairying go hand in hand and are mutually beneficial activities in India. Over the years, due to intensive agriculture and deforestation, various natural resources have been depleted in Gujarat. We, therefore, gave a serious thought in this direction and discovered a novel idea for giving back to nature. The idea was Tree Plantation by milk producer members of Dairy Cooperatives on every Independence day.
The idea was put in to the practice first time in the year 2007. Immaculate planning was done to execute the idea of “One member One tree” plantation. On the day of plantation, after the flag hoisting ceremony, each milk producer member took an oath to plant a sapling and ensure that it grew in to a tree. The milk producers planted sapling on their own at their identified locations like their farm, near their home, on farm bunds, etc. and thus in Gujarat, they planted 18.9 lakh trees across 19 districts of Gujarat on our 60th Independence day, 15th August, 2007. This was just the beginning. Enthused by the success of the campaign, Milk Producers of Gujarat decided that every year they shall celebrate 15th August (Independence Day) as a “Go Green Revolution Day by Tree Plantation to Protect Mother Earth from Pollution, Climate Change and Global Warming”. On 15th August, 2008, a more ambitious target was planned and we planted around 52.74 lakh tree saplings on “One member, Three tree” basis across 21 districts of Gujarat.
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 Marketing at the State Milk Federation. This helps in eliminating not only internal competition but also ensuring that economies of scale are achieved. As the above structure was first evolved at Amul in Gujarat and thereafter replicated all over the country under the Operation Flood Program, 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.