SWOT ANALYSIS Strengths Demand Profile: Absolutely optimistic.

tic. Milk being a necessity product, the demand will stay and the sales at GCMMF are bound to increase over a period of time. Margins: Quite responsible, even on packed liquid milk. The margins are enough to limit the entry of potential entrants. Flexibility of product mix: Tremendous. With balancing equipment, GCMMF has kept adding a wide array of products to its product line. Availability of raw material: Abundant. Presently, more than 80 percent of milk

produced is flowing into the unorganized sector, which requires proper channelization. Amul & GCMMF have leveraged this and has got itself a strong base of suppliers Technical Manpower: Professionally trained, technical human resource pool, built over last 30 years is the strength that GCMMF has. The employees of GCMMF are highly recognized in the industry and have earned name for themselves as well as the federation. Enhanced Milk Production: Increase in the milk production with consequently increased availability of milk processing has led to increase in consumption and faster access to the consumers through effective distribution. The technology is brought from Denmark and the production of milk has benefitted from that. Transportation: The transportation facilities and the easy availability of the special trucks have provided a boost. Cold refrigerated trucks are there in place and the warehouses also have the cold storage facilities that facilitates the transportation. Vast Resources: Country has vast natural resources which offer immense potential growth and development for dairying. Moreover the financial resources available for the federation are immense and the reputation is such that in case of any further requirements, it can approach any institution and raise any form of capital. Increasing Purchase Power and changing tastes of the consumers: The purchasing power of the residents is increasing. As a result a lot of products are being consumed. Moreover, the consuming habits are changing. As a result, the demand for products such as butter and cheese is increasing at a very rapid rate.

Weaknesses: Perishability: Pasteurization has overcome this weakness partially. UHT gives milk long life. Still perishability is there at the milk vendors end. This does result in loss of some production. But Amul Dairy is taking steps to store milk at the vendors end. Surely, many new processes will follow to improve milk quality and extend its shelf life. Lack of control over yield: Theoretically, there is little control over milk yield. A lot depends upon the monsoon in the country. This is because of the quality of cattle feed that would be available will not have the required nutritional content. Steps are taken to provide awareness regarding these and the penetration of quality feed is being increased. Logistics of procurement: Woes of bad roads and inadequate transportation facility make milk procurement problematic. All these factors lead to perishability of the procured milk. But with the overall economic improvement in India, these problems would also et solved. Erratic power supply: The erratic power supply would cause harm in the processing of milk. Underdeveloped systems: There still exist underdeveloped raw milk collection systems in some parts of the country. However steps are being taken such as setting up of cold storage points at key collection centers to combat the situation. Lack of proper implementation: Dairy development programmes have not been fully implemented as per the needs of the region in different agro-climatic zones. Infrastructure: The infrastructure that is available is not upto the current world standards. Also lack of infrastructure for offering dairy business management prorammes to the trained personnel is creating a hindrance. Opportunities Failure is never final , and success never ending. Dr Kurein bears out this statement perfectly. He entered this industry when there were only threats. He met failure head-on, and now he clearly is an example of never ending process. If dairy entrepreneurs are looking for opportunities in India, the following areas must be tapped.

Competition: With so many newcomers enerin this industry, competition is becoming tougher day by day. By then competition has to be faced as a round reality. The market is large enough for many to carve out their niche. Moreover due to competition, there is a chance to beter serve the market with innovative products.

Value Addition: There is a phenomenal scope for innovations in product development, packaging and presentation. Given below are potential areas of value addition:

Steps should be taken to introduce value-added products like shrikhand, ice-creams, paneer, khoa, flavoured milk, dairy sweets etc. This will lead to a greater presence and flexibility in the market place along with opportunities in the field of brand building. Addition of cultured products like yoghurt and cheese lend further strength both in terms of utilization of resources and presence in the market place. Yet another aspect can be the addition of infant foods, eiatic foods and nutritional. Export Potential: Efforts to exploit export potential are already on. Amul is exporting to Bangladesh, Srilanka, Nigeria, and the Middle East. Following the new GATT treaty, opportunity will increase tremendously for the export of agri products in general and dairy products in particular. There is a strong basis of cost efficiency, which GCMMF can leverage in the world market. Markets: The market for traditional as well as processed dairy products is expandin both at domestic and international front. IT Support: Software is now available for project formulation for dairy enterprise. It has also computerized its production processes. Mother Dairy was the first fully computerized dairy in India. In its Anand plant all products are processed and computerized which does not have any hand touch during any stage of process.