Amul was formed in 1946 as a dairy cooperative in Anand, Gujarat and has since become the largest dairy cooperative in the world. It operates on a three-tier structure with village cooperatives feeding into district unions which are then part of the state-level Gujarat Cooperative Milk Marketing Federation. This unique cooperative model has empowered millions of small farmers, increased India's milk production dramatically, and made Amul a $5 billion brand while ensuring affordable, high quality products.
2. HISTORY OF AMUL
Amul(Anand Milk Union Limited) ,formed in 1946,is
a dairy cooperative movement in India.
It is managed by GCMMF(Gujarat Cooperative Milk
Marketing Foundation)
Amul is based in Anand , Gujarat and has been a
stellar example of a co-operative organisation’s
success in the long term. The Amul Pattern has
established itself as a uniquely appropriate model
for rural development.
Amul has spurred the White Revolution of India.
It is also the world’s biggest vegetarian cheese
brand.
3. AMUL IS THE LARGEST PRODUCER OF MILK AND
MILK PRODUCTS IN THE WORLD
The 'Taste of India' is now a $5 billion brand. The group turnover
of the Gujarat Co-operative Milk Marketing Federation (GCMMF) -
the body that markets brand Amul, and its member unions have
crossed Rs 33,000 crore ($5 billion).
In just last three years, Amul has achieved growth of 67 %
registering a turnover of Rs 23,004 crore during 2015-16.
4. VISION AND MISSION
TAGLINE – The taste of India.
USP: Quality with Affordability
VISION:
Amul’s vision is to provide more and more satisfaction to the
farmers, employees and distributers and quality and unity.
MISSION:
“We at GCMMF (Gujarat Co-operative milk Marketing
Federation) endeavour to satisfy the taste and nutritional
requirements of the customers of the world, through excellence in
marketing by our committed team. Through co-operative
networking, we are committed to offering quality products that
provide best value for money.”
“We the motivated and dedicated workforce at Amul are
committed to produce wholesome and safe foods of excellent
quality to remain market leader through development of quality
management system, state of art technology, innovation and eco-
friendly operations to achieve delightment of customers and milk
producers”.
5. OBJECTIVES OF AMUL
o The objective of Amul is to spur the White Revolution in
the country and make India the largest producer of milk
and milk products in the world.
The cooperative is shared between over 2.8 million
dairy producers and the three-tier Amul Model has
increased India's milk production on an incredible scale.
To capture the large share of the market.
To provide maximum customer satisfaction.
Continue product modification and improvement effort to
increase customer benefit and reduce cost.
To meet the highest international standards of quality.
To expand production capacity
6. THE AMUL MODEL
The Amul Model of dairy development is a three-tiered
structure with the dairy cooperative societies at the village level
federated under a milk union at the district level and a
federation of member unions at the state level.
Establishment of a direct linkage between milk producers and
consumers by eliminating middlemen
Milk Producers (farmers) control procurement, processing and
marketing
Professional management
The Amul model has helped India to emerge as the largest
milk producer in the world. More than 15 million milk producers
pour their milk in 1,44,500 dairy cooperative societies across
the country. Their milk is processed in 184 District Co-
operative Unions and marketed by 22 State Marketing
Federations, ensuring a better life for millions.
9. THE THREE-TIER AMUL MODEL: STRUCTURE
AND IMPACT
STRUCTURE:
The Village Dairy Cooperative Society is affiliated with the District Cooperative
Milk Producers' Union that, in turn, is linked with the State Cooperative Milk Federation.
This structure allows various functions to be delegated across the three tiers. For example,
milk collection is carried out at the Village Dairy Society level, milk procurement and
processing takes place at the District Milk Producers' Union level and milk and milk products
marketing occurs at the State Milk Federation tier.
Designating the functions in such a way avoids the problems of internal competition and
ensures that the economies of scale are achieved.
IMPACT:
This three-tier model has led to India increasing its production of milk by 40 million metric
tonnes. The model has been instrumental in improving the economy of India. However, it
has also introduced on a much bigger scale, an ingredient that has helped improve the
health and nutrition of many within the country.
The Amul model has been very successful in meeting its aim to increase India's production
of milk and milk products. The cooperative has had a huge impact on the country's economy
and spurred the White Revolution.
10. AMUL: SUCCESS STORY
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
3.6 million milk producers in Gujarat. Amul spurred
India's White Revolution, which made the country the
world's largest producer of milk and milk products.
Dr Verghese Kurien, founder-chairman of the GCMMF for
more than 30 years (1973–2006), is credited with the
success of Amul.
Brand Amul is already present in over 50 countries. In
India, it has 7,200 exclusive parlours.
11.
12. AMUL MASCOT
Creation of the Amul brand and its famous
mascot gave a rural revolution a durable
competitive edge.
The (original) Amul Girl was created by
Sylvester daCunha (daCunha Communications)
to counter the Polson dairy girl.
A seasoned marketer, Dr. Kurien gave DaCunha
Communications immense creative freedom to
release the Amul Girl ads without waiting to take
permission from the company.
The freedom is still maintained and is the the
reason the Amul Girl is never late with her take
on the world around, says the agency, led by
Rahul daCunha, son of Sylvester.
13. CHALLENGES FACED BY AMUL
INCREASING DEMAND – GCMMF Managing
Director R. S. Sodhi outlines the strategy to increase
milk procurement and processing to keep pace with
market requirements:
“What is the biggest challenge for Amul today?
With rising disposable incomes, there is growing
demand for milk and milk products. To meet this, we
need to expand our network of dairy farmers rapidly.
The challenge is to get the next generation of dairy
farmers interested in this occupation. Children of
dairy farmers are educated and do not want to get up
early in the morning to take out milk and repeat the
process in the evening all days of the year, with no
holidays. They prefer employment in factories with a
fixed pay and holidays. To get them to work for us is the
biggest challenge.”
14. AMUL’S RURAL MARKETING INITIATIVES
Amul in its continued endeavour to improve the socio-
economic conditions of rural people extended its expertise
in implementation of the Swarnjayanti Gram Swarozgar
Yojana (SGSY) of The Government of India (Ministry of
Rural Development) on their Special Project on “Improving
Socio-economic Conditions of BPL Families of Kheda
District through Animal Husbandry and Dairying” –
DAIRYING AS A TOOL FOR POVERTY ALLEVIATION.
Amul has covered under this programme more than 8,755
beneficiaries to whom milch animals were distributed in
the District of Kheda and stood as guarantor for the bank
loans. These beneficiaries were then given membership of
dairy co-operatives in order to bring these poor
households into mainstream economy by transforming
dairying into active income-generation enterprises. As part
of this programme 12,647 women and men were trained in
dairy husbandry in addition to construction of number of
cattle sheds, development of green fodder plots,
distribution of chaff cutters and stainless steel cans.
15. BENEFICIARIES:-
“The real beneficiaries of Amul cooperative model are millions of
Indian consumers who now have access to high quality and
hygienic milk and dairy products.”
Amul dairy has been key in uplifting the social and economic status of
women who are often the ones involved with dairy production. In fact,
Amul dairy purchases their milk exclusively from women. This has
helped increase the status of women and helped provide them with an
additional source of income for their family to alleviate poverty and
promote social justice.
Cooperatives such as Amul dairy have highlighted the importance of
small scale, family farms in providing food security and economic
empowerment to marginalized communities. It is now one of the world’s
largest producers in milk and milk products, and continues to develop a
positive brand image for India’s food product business.
16. IMPACT
Socio-economic empowerment -Especially
empowering rural women through employment
Exclusivity –Catering exclusively to the Indian
Market.
Presence – Amul with its wholesome Indianness
has mass appeal to Indian consumers for its
patriotic essence and single industry focus.
Trust factor – With its rich legacy and diverse
product offerings it has truly lived up to and almost
transformed into its tagline “The Taste Of India”