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This project AMUL DAIRY CO-OPERATIVE is a result of cooperation, hard work and good wishes of many people. I would like to thank our project guide Prof. Shreya for her involvement in our project work and timely assessment that provided inspiration and valued guidance throughout my study. I am highly indebted to Dr. Mrs. Shakuntala A. Singh, Principal K.G. Joshi College of Arts & N.G. Bedekar College of Commerce, for giving us an opportunity to do a project. I would like to thank Prof. Mr.D.M. Murdeshwar, course coordinator, for his friendly guidance and constant encouragement. I would like to express our gratitude towards our parents, our teachers of K.G. Joshi College of Arts & N.G. Bedekar College of Commerce, the library staff and our college friends whose co-operation, encouragement and efforts have helped us in giving the final shape and structure to the project. My thanks and appreciations also go to our college mates and to all those people who have willingly helped me out with their abilities.



Amul ("priceless" in Sanskrit. The brand name "Amul," from the Sanskrit "Amoolya," (meaning Precious) was suggested by a quality control expert in Anand.),[1] formed in 1946, is a dairy cooperative in India. It is a brand name managed by an apex cooperative organization, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.8 million milk producers in Gujarat, India.[2] Amul is based in Anand, Gujarat and has been an example of a cooperative organization's success in the long term. "Anyone who has seen the dairycooperatives 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."[3] 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[citation needed]. It is also the world's biggest vegetarian cheese brand .[4] Amul is the largest food brand in India and world's Largest Pouched Milk Brand with an annual turnover of US $1700 million (200910).[5] Currently Unions making up GCMMF have 2.9 million producer members with milk collection average of 9.10 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 succeed, but now it has fresh plans entering the Japanese markets.[6] 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.

WORKING OF AMUL DAIRY COOPERATIVE MEMBERS The seeds of this unusual saga were sown more than 65 years back in Anand, a small town in the state of Gujarat in western India. The exploitative trade practices followed by the local trade cartel triggered off the cooperative movement. Angered by unfair and manipulative practices followed by the trade, the farmers of the district approached the great Indian patriot Sardar Vallabhbhai Patel for a solution. He advised them to get rid of middlemen and form their own co-operative, which would have procurement, processing and marketing under their control. In 1946, the farmers of this area went on a milk strike refusing to be cowed down by the cartel. Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai and Tribhuvandas Patel, they formed their own cooperative in 1946. This co-operative, the Kaira District Co-operative Milk Producers Union Ltd. began with just two village dairy co-operative societies and 247 litres of milk and is today better known as Amul Dairy. Amul grew from strength to strength thanks to the inspired leadership of Tribhuvandas Patel, the founder Chairman and the committed professionalism of Dr Verghese Kurien,who was entrusted the task of running the dairy from 1950. The then Prime Minister of India, Lal Bahadur Shastri decided that the same approach should become the basis of a National Dairy Development policy. He understood that the success of Amul could be attributed to four important factors. The farmers owned the dairy, their elected representatives managed the village societies and the district union, they employed professionals to

operate the dairy and manage its business. Most importantly, the co-operatives were sensitive to the needs of farmers and responsive to their demands. At his instance in 1965 the National Dairy Development Board was set up with the basic objective of replicating the Amul model. Dr. Kurien was chosen to head the institution as its Chairman and asked to replicate this model throughout the country. FINANCIAL CAPITAL AMUL is the cooperative sector. It is the institution of the farmer, for the farmer and from thefarmer. The AMUL gives pleasure to the farmer to change the own price, which was not possiblein earlier years. This union was born on 14th December 1946. The union provides facilities to itsmembers like more return, satisfactory price, insemination, first aid, group Insurance, cattle foodat concessional price etc. AMUL dairy has five main departments like Finance, Personal,Commercial, Milk Procurement and Production. The finance departmentDoes the clerical work and takes care of inflow and outflows of the cash. The other work of Finance Department is to audit of annual work. The Personal Department handles the work regarding personal like the work regarding personal like appointment, requirement, promotion,transfer, dismissal, demotion, performance appraisal etc. The commercial department conductsall promotional activities of local area. The pricing decision of buttermilk is taken at commercialdepartment. The marketing work is handling by GCMMF. The production department producesthe product the product with the help of latest technologies. The production is done according toISO marks requirement. The milk procurement department gets the milk every day two timesfrom 92 routes and 1084 societies. For the maintenance of qualities of milk there are 167 chillingunits.This report contains how Amul was born, its measures of success in terms of sales turnover and 3 Cs model, the reason f or such a success

4 Ps of marketing, taste of competition, the financialissues related and the weaknesses and threats associated. This report has also highlighted Amuls foreign ventures and what in my perspective; Amul could do to grow more

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, Gujarats 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.

AMUL DAIRY COOPERATIVE should focus on total quality management of a product Their main objective should be customer oriented and secondary objective should be profit-oriented They should help the farmers with capital needs because it is by them from them nd for them Employee training must be proper and compete the other firms to gain competitive marketing environment