MARKET meltdown and economic crisis seem to be the buzzwords for most
corporations around the world. But not for home-grown Amul cooperative.
The Gujarat Cooperative Milk Marketing Federation (GCMMF), which is
built on Amul pattern, and its allied13 dairies, has reported a total
turnover of close to Rs 10,000 crore.
The lion’s share towards the turnover has been contributed by four
biggest district unions of Mehsana, Banaskantha, Sabarkantha and Anand.
That does not mean the smaller unions like Baroda, Rajkot, the
Panchmahals have not registered an impressive growth rate. The GCMMF
registered a 28% growth to touch record turnover of Rs 6,705 crore in
2008-09 — an increase of nearly Rs 1,450 crore over the previous year.
The unduplicated group turnover of GCMMF and its 13 dairy cooperatives
touched Rs 10,000 crore, if local milk and milk products and cattlefeed
business by district unions are also taken into account.
GCMMF-affiliated district union has farmer membership base of about 27
lakh through the network of 13,141 points. The Amul pattern is an
integrated cooperative structure that procures, processes and markets
milk and milk products. GCMMF markets liquid milk and milk products
under the brandname Amul and Sagar while district unions procure,
process and market milk in their respective local markets.
Mehsana District Co-op Milk Producers Union registered the highest
turnover of Rs 1,750 crore for the fiscal 2008-09, up from Rs 1,485
crore in 2007-08. Banaskantha Union too reported turnover of Rs 1,550
crore, from 1,177 crore in 2007-08. Cattlefeed business contributed Rs
200 crore each for Mehsana and Banaskantha unions. Banaskantha Union
and GCMMF chairman Parthibhai Bhatol said, ”We are set to expand
cattlefeed facilities besides augmenting the dairy infrastructure.
Banas Dairy is expected to maintain the same growth rate during the
current fiscal.”
“Amul pattern, developed by Tribhovandas Patel and milkman Verghese
Kurien, is rapidly growing despite the market turbulence that has taken
toll on some of the largest corporate houses. In 2006-07, the
unduplicated group turnover stood at about Rs 6,000 crore while GCMMF
reported sales turnover of Rs 4,286 crore. In the recent past, district
unions’ local business of liquid milk, milk products and cattlefeed has
gone up considerably,” said a top GCMMF official. He added that the
group turnover is likely to only increase in days to come as majority
of district unions are expanding their activity base.
Kaira Union that kicked off cooperative movement in the dairy sector is
soon going to launch cookies after the successful launch of bread and
buns. Kaira Union registered sales turnover of Rs 1,350 crore for the
fiscal 2008-09 against Rs 1,077 crore in 2007-08.
“In the last seven months, we installed at least one bulk cooler a day
and intend to equip all our village societies with the same. We will be
the first entity to have a bulk cooler at every procurement point,”
Kaira Union MD Rahul Kumar said.
Baroda Union that markets Sugam brand of dairy products in Vadodara
reported turnover of Rs 400 crore, up from Rs 340 crore in 2007-08.
Baroda Union chairman Madhu Shrivastava stated that plans are afoot to
launch drinking water and tomato sauce.
Surat Union that markets Sumul brand of dairy products in South Gujarat
reported sales turnover of 775 crore in 2008-09, up by 10% from 700
crore in 2007-08.
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