Indian producer of Amul dairy brands reports a 17% increase in full year sales

INDIA – Indian dairy cooperative, Gujarat Co-operative Milk Marketing Federation (GCMMF), which markets the popular Amul brand of milk and dairy products has registered a 17% increase in its sales turnover to Rs. 385.42 billion (US$5.1b) in the financial year ended 31st March 2020.

According to the cooperative press-release, the group turnover of GCMMF and its constituent member unions, representing consolidated turnover of all products sold under Amul brand exceeded Rs. 520 billion (US$7b).

GCMMF aims to achieve a group business turnover of Rs. 1 trillion (US$13.35b) by 2024-25.

Amul was ranked 18th largest dairy organization of the world in the year 2011 and rising up to its current position as 9th largest dairy organization and targeting to enter top 3 dairy organization.

Its mantra of rapid expansion has yielded rich dividends with the Amul Federation’s sales turnover increasing almost 5 times, from Rs. 80.05 billion (US$1b) in 2009-10 to Rs. 385.42 billion (US$5.1b) in 2019-20.

Shri Ramsinhbhai P Parmar, Chairman, GCMMF has revealed that during the last ten years, the cooperative’s milk procurement has witnessed a phenomenal increase of 138% from 9.093 million Liters Per Day (LLPD) in the year 2009-10 to 21.6 million LLPD in the year 2019-20.

This enormous growth was a result of the high milk procurement price paid to its farmer-members which has increased by 127% from Rs. 337 (US$4.5) per Kg fat in the year 2009-10 to Rs. 765 (US$10.21) per Kg fat in the year 2019-20.

He further added that during the COVID-19 global pandemic, Amul cooperatives have converted the crisis into an opportunity.

In the lockdown period, milk unions of Gujarat procured an additional 3.5million litres of milk per day, which means, they have issued around Rs. 8 billion (US$106.8m) extra to the rural milk producers.

“During the lockdown, when many industries were completely shut and generated no business, our milk producer members, village dairy co-operative societies, milk union and GCMMF team remained steadfast in our operations even in this tumultuous time,” Shri Ramsinhbhai stated.

According to Shri Jethabhai Bharwad, Vice Chairman GCMMF, for the last 21 years, India continues to be the largest producer of milk in the world and is likely to retain its prime position with an annual growth rate of 5.5% during the last three to four years.

This is against global milk production, which is growing at 2.0% and India contributes almost 50% of the global growth in milk production.

The monetary value of milk produced in India is around Rs. 8 trillion (US$106.8b) which is more than the total value of all pulses and grain put together.

“As a nation, we are now completely self-sufficient in the dairy sector, since our dairy farmers produce enough milk to fulfil 100% of the country’s demand for milk and dairy products,” stated Shri Jethabhai.

ADVERT

The Honourable Prime Minister & Union Finance Minister of India has availed the Rs. 150 billion (US$2b) dairy infrastructure fund for the establishment of supply chain and dairy plants for enhancing the dairy and milk processing capacity.

With this fund, Indian Dairy industry is set to build around 40 million to 50 million litres of extra capacity which will translate to more jobs and livelihood for more people, especially in rural India.

In other related news, Shri Shamalbhai B Patel, Chairman, Sabarkantha Milk Union has been unanimously elected as the Chairman of Gujarat Cooperative Milk Marketing Federation (AMUL Federation).

His nomination was proposed by Shri Ramsinhbhai P Parmar, Chairman, Kaira milk union and supported by Shri Shankarbhai Chaudhary, Chairman, Banas milk union.

Also Shri Valamjibhai Humbal has been unanimously elected as the Vice Chairman of Gujarat Cooperative Milk Marketing Federation (AMUL Federation) today.

His nomination was proposed by Shri Jethabhai Bharwad, Chairman, Panchmahal milk union and supported by Shri Mohanbhai Bharward, Chairman, Ahmedabad milk union.

Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. SUBSCRIBE HERE

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.