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Amul (Anand Milk Union Limited)
Type Cooperative
Industry Dairy/FMCG
Founded 1946
Headquarters Anand, Gujarat, India
Key people Chairman, Gujarat Co-operative
Milk Marketing Federation Ltd.
(GCMMF)
Products See complete products listing
Revenue US$2.15 billion (201213)
Employees 750 employees of Marketing Arm.
However, real pool consist of 3
million milk producer members
[1]
Website www.amul.com
(http://www.amul.com/)
The Amul Plant at Anand showing the
milk silos
Amul
From Wikipedia, the free encyclopedia
Amul is an Indian dairy cooperative, based at Anand in the
state of Gujarat, India.
[2]
The word amul () is derived
from the Sanskrit word amulya (), meaning
invaluable.
[3]
The co-operative was initially referred to as
Anand Milk Federation Union Limited hence the name
AMUL.
Formed in 1946, it is a brand managed by a cooperative
body, the Gujarat Co-operative Milk Marketing Federation
Ltd. (GCMMF), which today is jointly owned by 3 million
milk producers in Gujarat.
[4]
Amul spurred India's White Revolution, which made the
country the world's largest producer of milk and milk
products.
[5]
In the process Amul became the largest food
brand in India and has ventured into markets overseas.
Dr Verghese Kurien, founder-chairman of the GCMMF for
more than 30 years (19732006), is credited with the
success of Amul.
[6]
Contents
1 History
2 About GCMMF
3 The three-tier "Amul Model"
3.1 District Cooperative Milk Producer's
Union (Dugdh Sangh)
3.2 State Cooperative Milk Federation
(Federation)
4 Impact of the "Amul Model"
4.1 The Amul brand
5 Products
6 UHT products and impact
7 Any Time Milk (ATM) Machine
8 Mascot
9 Advertising
10 In popular culture
11 References
12 External links
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History
Amul the co-operative registered on 1 December 1946 as a response to the exploitation of marginal milk producers
by traders or agents of the only existing dairy, the Polson dairy, in the small city distances to deliver milk, which
often went sour in summer, to Polson. The prices of milk were arbitrarily determined. Moreover, the government
had given monopoly rights to Polson to collect milk from Anand and supply it to Bombay city.
[7][8]
Angered by the unfair trade practices, the farmers of Kaira approached Sardar Vallabhbhai Patel under the
leadership of local farmer leader Tribhuvandas K. Patel. He advised them to form a cooperative and supply milk
directly to the Bombay Milk Scheme instead of Polson (who did the same but gave them low prices).
[9]
He sent
Morarji Desai to organise the farmers. In 1946, the milk farmers of the area went on a strike which led to the
setting up of the cooperative to collect and process milk.
[8]
Milk collection was decentralized, as most producers
were marginal farmers who could deliver, at most, 12 litres of milk per day. Cooperatives were formed for each
village, too.
[10]
The cooperative was further developed and managed by Dr.Verghese Kurien with H.M. Dalaya. Dalaya's
innovation of making skim milk powder from buffalo milk (for the first time in the world) and a little later, with
Kurien's help, making it on a commercial scale,
[11]
led to the first modern dairy of the cooperative at Anand, which
would compete against established players in the market.
The trio's (T. K. Patel, Kurien and Dalaya's) success at the cooperative's dairy soon spread to Anand's
neighbourhood in Gujarat. Within a short span, five unions in other districts Mehsana, Banaskantha, Baroda,
Sabarkantha and Surat were set up.
[8]
To combine forces and expand the market while saving on advertising and
avoid competing against each other, the GCMMF, an apex marketing body of these district cooperatives, was set
up in 1973. The Kaira Union, which had the brand name Amul with it since 1955, transferred it to GCMMF.
[12]
In June 2013, it was reported that the Kaira District Cooperative Milk Producers Union Limited, better known as
Amul Dairy, had signed a tripartite agreement to start a dairy plant in Waterloo village in upstate New York. The
plant will initially manufacture paneer and ghee. Amul will use an existing dairy plant owned by New Jersey-based
NRI Piyush Patel for manufacturing. The plant is strategically located, as it close to supply centres from where raw
material is procured, and is near New Jersey, which has a large Indian population.
[13]
Amul said that it will be able to produce and supply Amul products in the US as well as Canada and export it to
Europe, under the arrangement.
Adding to the success, Dr. Madan Mohan Kashyap (faculty Agricultural and Engineering Department, Punjab
Agricultural University Ludhiana), Dr. Bondurant (visiting faculty) and Dr Feryll (former student of Dr Verghese
Kurien), visited the Amul factory in Gujarat as a research team headed by Dr. Bheemsen. Shivdayal Pathak (ex-
director of the Sardar Patel Renewable Energy Research Institute) in the 1960s. A milk pasteurization system at the
Research Centre of Punjab Agricultural University (PAU) Ludhiana was then formed under the guidance of
Kashyap. it is good product .
About GCMMF
Main article: GCMMF
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The GCMMF is the largest food products marketing organisation of India. It is the apex organisation of the dairy
cooperatives of Gujarat. It is the exclusive marketing organisation for products under the brand name of Amul and
Sagar.
[14]
Over the last five and a half decades, dairy cooperatives in Gujarat have created an economic network
that links more than 3.1 million village milk products with millions of consumers in India.
[citation needed]
The daily
milk procurement of GCMMF is around 13 million liters per day. It collects milk from about 16914 village milk
cooperative societies, 17 member unions and 24 districts covering about 3.18 million milk producer members.
More than 70% of the members are small or marginal farmers and landless labourers including a sizeable population
of tribal folk and people belonging to the scheduled castes.
[14]
amul is very best.
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 federated into a milk federation at the state
level. Milk collection is done at the village dairy society, milk procurement and processing at the District Milk Union
and milk and milk products marketing at the state milk federation. The structure was 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.
The main functions of the VDCS are:
Collection of surplus milk from the producers of the village and payment based on quality and quantity,
Providing support services to the members like veterinary first aid, artificial insemination services, cattle-feed
sales, mineral mixture sales, fodder and fodder seed sales, conducting training on animal husbandry and
dairying,
Selling liquid milk for local consumers of the village,
Supplying milk to the District Milk Union.
District Cooperative Milk Producer's Union (Dugdh Sangh)
(RAW MATERIAL) The main functions of the union are:
Procurement of milk from the village milking societies of the district,
Arranging transportation of raw milk from the VDCS to the Milk Union,
Providing input services to the producers like veterinary care, artificial insemination services, cattle-feed
sales, mineral mixture sales, fodder and fodder seed sales,
Conducting training on cooperative development, animal husbandry and dairying for milk producers and
conducting skill development and leadership development training for VDCS staff and Management
Committee members,
Providing management support to the VDCS along with supervision of its activities.
Establish chilling centres and dairy plants for processing the milk received from the villages.
Selling liquid milk and milk products within the district
Process milk into milk products as per the requirement of State Marketing Federation.
Decide on the prices of milk to be paid to milk producers as well on the prices of support services provided
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to members.
State Cooperative Milk Federation (Federation)
The main functions of the federation are as follows:
Marketing of milk and milk products processed/manufactured by Milk Unions,
Establish a distribution network for marketing of milk and milk products,
Arranging transportation of milk and milk products from the Milk Unions to the market,
Creating and maintaining a brand for marketing of milk & milk products,
Providing support services to the Milk Unions and members like technical inputs, management support and
advisory services,
Pooling surplus milk from the Milk Unions and supplying it to deficit Milk Unions,
Establish feeder-balancing dairy plants for processing the surplus milk of the Milk Unions,
Arranging for common purchase of raw materials used in manufacture/packaging of milk products,
Decide on the prices of milk and milk products to be paid to Milk Unions,
Decide on the products to be manufactured at Milk Unions and capacity required for the same.
Conduct long-term milk production, procurement and processing as well as marketing planning.
Arranging finance for the Milk Unions and providing them technical know-how.
Designing and providing training in cooperative development and technical and marketing functions.
Conflict resolution and keeping the entire structure intact.
Today, there are around 176 cooperative dairy unions formed by 125,000 dairy cooperative societies, having a
total membership of around 13 million farmers on the same pattern, who are processing and marketing milk and
milk products profitably, be it Amul in Gujarat or Verka in Punjab, Vijaya in Andhra Pradesh, Milma in Kerala,
Gokul in Maharashtra, Saras in Rajasthan or a Nandini in Karnataka. This process has created more than 190
dairy processing plants spread all over India with large investments by these farmers' institutions. These
cooperatives today collect approximately 23 million kg of milk per day and pay an aggregate amount of more than
Rs. 125 billion to the milk producers in a year.
[citation needed]
Impact of the "Amul Model"
The effects of Operation Flood Programme are appraised by the World Bank in an evaluation report. It has been
proved that an investment of Rs. 20 billion over 20 years under Operation Flood in the 1970s and 80s has
contributed in increase of Indias milk production by 40 million metric tonnes (MMT), i.e., from about 20 MMT
pre-Operation Flood to more than 60 MMT at the end of Operation Flood.
Thus, an incremental return of Rs. 400 billion annually have been generated by an investment of Rs. 20 billion over
20 years. Indias milk production continues to increase and now stands at 90 MMT(as of 2012). Despite this
fourfold increase in production, there has not been a drop in the prices of milk during the period while production
has continued to grow.
Due to this movement, the countrys milk production tripled between the years 1971 and 1996. Similarly, the per
capita milk consumption doubled from 111 gm per day in 1973 to 222 gm per day in 2000.
The Amul brand
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GCMMF (AMUL) has the largest distribution network for any FMCG company. It has nearly 50 sales offices
spread all over the country, more than 5000 wholesale dealers and more than 700000 retailers.
Amul became the world's largest vegetarian cheese
[15]
and the largest pouched-milk brand.
AMUL is also the largest exporter of dairy products in the country. AMUL is available today in over 40 countries
of the world. AMUL is exporting a wide variety of products which include whole and skimmed milk powder,
cottage cheese (Paneer), UHT milk, clarified butter (Ghee) and indigenous sweets.
The major markets are USA, West Indies, and countries in Africa, the Gulf Region, and SAARC neighbours,
Singapore, The Philippines, Thailand, Japan and China, and others such as Mauritius, Australia, Hong Kong and a
few South African countries. Its bid to enter the Japanese market in 1994 did not succeed, but it plans to venture
again.
[16]
In September 2007, Amul emerged as the leading Indian brand according to a survey by Synovate to find out
Asia's top 1000 Brands.
[17]
In 2013, Amul was named the Most Trusted brand in the Food and Beverages sector in The Brand Trust Report,
published by Trust Research Advisory.
[18]
Products
Amul's product range includes milk powders, milk, butter, ghee, cheese, Masti Dahi
(http://www.amul.com/cooking-mastidahi.html), Yoghurt (http://www.amul.com/desserts-yogi-yoghurt.html),
Buttermilk, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, flavoured milk, basundi, Amul Pro brand
and others. Amul PRO is a recently launched brown beverage just like bournevita and horlicks offering whey
protein, DHA and essential nutrients. In January 2006, Amul launched India's first sports drink, Stamina, which
competes with Coca Cola's Powerade and PepsiCo's Gatorade.
[19]
Amul offers mithaimate which competes with Milkmaid by Nestle by offering more fat at lower price.
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; and
Kool Cafe, ready to drink coffee.
Amul's icecreams are made from milk fat and thus are icecreams in real sense of the word, while many brands in
India sell frozen desserts made from vegetable fat.
Amul's sugar-free Pro-Biotic Ice-cream won The International Dairy Federation Marketing Award for
2007.
[citation needed]
UHT products and impact
Over the years Amul has been witnessing strong growth in this portfolio,with the segment growing at 53%,
[20]
as a
result of growing consumer awareness and demand for good quality milk,the urban population has especially been
showing great interest in long life UHT products like Amul Taaza,which are packed in Tetra Pak cartons,which
undergoes UHT treatment to remove all harmful microorganisms while retaining the nutrition in the milk.Today Amul
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An Amul butter ad on Pakistan's
Kargil War fiasco. The image shows
the "Amul baby" between George
Fernandes and Atal Bihari Vajpayee.
sells around 4-500,000 litres of UHT milk and other value added products per day and forecast this demand to
continue growing at 25%.The UHT products have enabled Amul to position itself as the market leader in packaged
milk segment by penetrating the deeper and vast markets by maintaining long shelf life of milk,without the need of
maintaing cold supply chains.
[21]
Any Time Milk (ATM) Machine
Amul has installed a "Any Time Milk" machine dispenses a 300-ml pouch of fresh milk for Rs 10, at Anand's Amul
Dairy. As a first step, Amul plans to install six such ATMs in Anand itself. According to Rahul Kumar, MD of Amul
Dairy, Amul wants to add a whole range of dairy products, which could be dispensed through these machines.
[22]
Mascot
Since 1967
[23]
Amul products' mascot has been the very recognisable "Amul baby" or Amul girl (a chubby butter
girl usually dressed in polka dotted dress) showing up on hoardings and product wrappers with the tagline Utterly
Butterly Delicious Amul. The mascot was first used for Amul butter. In recent years in a second wave of ad
campaign for Amul products, she has been used for other products like ghee and milk.
Advertising
In 1966, Amul hired Sylvester daCunha, then managing director of the
advertising agency AS to design an ad campaign for Amul Butter.
daCunha designed a campaign as series of hoardings with topical ads,
relating to day-to-day issues.
[24]
It was popular and earned a Guinness
world record for the longest running ad campaign in the world. In the
1980s, cartoon artist Kumar Morey and script writer Bharat Dabholkar
had been involved with sketching the Amul ads; the latter rejected the
trend of using celebrities in advertisement campaigns.r credited chairman
Verghese Kurien with creating a free atmosphere that fostered the
development of the ads.
[25]
Despite encountering political pressure on several occasions, daCunha's
agency has made it a policy of not backing down. Some of the more controversial Amul ads include one
commenting on the Naxalite uprising in West Bengal, on the Indian Airlines employees strike, and one depicting the
Amul butter girl wearing a Gandhi cap.
[24]
Amul hired DraftFCB+Ulka for the brands of Amul milk, chocolates, paneer, ghee, ice-cream.
In popular culture
The establishment of Amul is known as White Revolution.
The White Revolution inspired the notable Indian film-maker Shyam Benegal to base his film Manthan (1976) on
it. It starred Smita Patil, Girish Karnad, Naseeruddin Shah and Amrish Puri. The film was financed by over five lakh
rural farmers in Gujarat who contributed Rs 2 each to its budget. Upon its release, these farmers went in truckloads
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to watch 'their' film, making it a commercial success.
[26][27]
Manthan was chosen for the 1977 National Film
Award for Best Feature Film in Hindi.
References
1. ^ http://www.amul.com/m/organisation
2. ^ Alexander Fraser Laidlaw. Cooperatives and the Poor. A development study prepared for the International
Cooperative Alliance and the Canadian International Development Agency, 1977.
3. ^ Amul The Taste of India. "Welcome to Amul The Taste of India" (http://www.amul.com/products.html).
Amul.com. Retrieved 12 July 2010.
4. ^ The Amul Story General Management Review (http://www.etgmr.com/GMRjan-mar04/art7.html)
5. ^ indiadairy.com (http://www.indiadairy.com/ind_world_number_one_milk_producer.html)
6. ^ Dasgupta, Manas (9 September 2012). "Kurien strode like a titan across the bureaucratic barriers and
obstacles" (http://www.thehindu.com/news/national/article3877337.ece?textsize=small&test=2). The Hindu
(Chennai, India). Retrieved 13 September 2012.
7. ^ George, Shanti (1985). Operation flood: an appraisal of current Indian dairy policy. Delhi: Oxford University
Press. ISBN 978-0-19-561679-8.
8. ^
a

b

c
Heredia, Ruth (1997). The Amul India story. New Delhi: Tata McGraw-Hill.
9. ^ Suhrud, Tridip (8 April 2006). "The magic of manthan" (http://www.tehelka.com/story_main17.asp?
filename=op040806the_magic.asp). Tehelka. Retrieved 2 February 2011.
10. ^ Thapar, Romila (2001). "Seminar, Issues 497508". Seminar.
11. ^ "Economic and political weekly, Volume 6, Part 4". Economic and Political Weekly 6. 1971.
12. ^ The Cheese Industry in India. Chillibreeze.
13. ^ "Amul to make paneer, ghee at NRI's dairy plant near New Jersey" (http://timesofindia.indiatimes.com/nri/us-
canada-news/Amul-to-make-paneer-ghee-at-NRIs-dairy-plant-near-New-Jersey/articleshow/20451567.cms). The
Times of India.
14. ^
a

b
[1] (http://www.amul.com/m/organisation)
15. ^ Economic Times (http://economictimes.indiatimes.com/articleshow/1288929.cms)
16. ^ Amul hopes to flow into Japanese market (http://dnaindia.com/report.asp?NewsID=1004828&CatID=4)
17. ^
http://www.synovate.com/news/article/extra/20070824/Asia's%20Top%201000%20brands%20fact%20sheet.pdf
18. ^ rediff.com (http://www.rediff.com/business/slide-show/slide-show-1-indias-top-20-brands-amul-
tops/20110707.htm); "India's top 20 brands: Amul is No. 1"
19. ^ Amul ready to take on Pepsi, Coke in sports drink segment (http://www.financialexpress.com/fe_full_story.php?
content_id=114144)
20. ^ [2] (http://articles.economictimes.indiatimes.com/2013-09-10/news/41937635_1_uht-milk-tetra-pak-ultra-high-
temperature)
21. ^ [3] (http://in.news.yahoo.com/video/amul-uht-quest-zero-adulterated-064035504.html)
22. ^ [4] (http://ibnlive.in.com/news/gujarat-just-like-atm-amul-launches-any-time-milk-machine-in-anand/447691-3-
238.html)
23. ^ The Amul Mascot Story Amul's website (http://www.amul.com/story.html)
24. ^
a

b
Varma, Mini. "The moppet who put Amul on India's breakfast table" (http://www.amul.com/story.html).
Amul. Retrieved 2 February 2011.
25. ^ Rao, Subha J. (15 December 2007). "Punch guru"
(http://www.hindu.com/thehindu/mp/2007/12/15/stories/2007121551330100.htm). The Hindu (Chennai, India).
Retrieved 2 February 2011.
26. ^ NDTV movies (http://www.ndtvmovies.com/newstory.asp?section=Movies&id=ENTEN20070021927) NDTV.
27. ^ Shyam Benegal at ucla.net (http://www.sscnet.ucla.edu/southasia/Culture/Cinema/Benegal.html) South Asia
Studies, University of California, Los Angeles (UCLA).
2/12/2014 Amul - Wikipedia, the free encyclopedia
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External links
amul.com (http://www.amul.com/), Official website
irma.ac.in (http://www.irma.ac.in/about/amul.html), History of Amul
amul.tv (http://amul.tv/)
thehindubusinessline.com (http://www.thehindubusinessline.in/2004/09/13/stories/2004091300610700.htm)
indiainfoline.com (http://www.indiainfoline.com/Markets/News/AMUL-Most-Trusted-among-Indias-Food-
and-Beverage-Brands/5068333116), "AMUL Most Trusted among Indias Food & Beverage Brands"
[5] (http://articles.economictimes.indiatimes.com/2013-09-10/news/41937635_1_uht-milk-tetra-pak-ultra-
high-temperature),[6] (http://in.news.yahoo.com/video/amul-uht-quest-zero-adulterated-064035504.html)
UHT products and impact
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Categories: Cooperatives in India Companies established in 1946 Companies based in Gujarat
Ice cream brands Economy of Gujarat Dairy products companies of India Indian brands
1946 establishments in India
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