PRESENTATION 0NAMUL(ANAND MILK UNION LTD) Submitted by:- Ankur singla Ankush khullar Amit pathania Jaideep sharma Mohit kumar
AMUL Formed in 1946. Amul is derived from the sanskrit word “amoolya” meaning “precious”. It is a dairy cooperative in India. It is based in Anand , Gujrat.
It has spurred the WHITE REVOLUTION of India, which has made India the largest producer of milk and milk products in the world. Annual turnover of US $2.2 billion (2010– 11). Amul has entered overseas markets such as Mauritius, UAE, USA, Oman, Bangladesh, Australia, China, Singapore, Hong Kong and a few South African countries.
GCMMF – Over View GCMMF: Gujarat Cooperative Milk Marketing Federation GCMMF is Indias largest food products marketing organization. It is a state level apex body of milk cooperatives in Gujarat which aims to provide remunerative returns to the farmers and also serve the interest of consumers by providing quality products which are good value for money. CRISIL, Indias leading Ratings, Research, Risk and Policy Advisory company, has assigned its highest ratings of "AAA/Stable/P1+" to the various bank facilities of GCMMF.5
History of Amul Amul (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in India. It is managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF). AMUL is based in Anand, Gujarat and has been a sterling example of a co-operative organizations 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 worlds biggest vegetarian cheese brand.6
Distribution channel farmers Milk Sold to Village & Village co- Local Residents operative Village co- LocalRestaurants/Ot societies(with operative her Milk related chilling units) businesses societies(without chilling units) Milk Processing Union & Chilling Plants Warehouses GCMMF Warehouses Wholesalers/C&S
There are 3500 wholesale distributors in India. 47 depots with dry and cold warehouses to buffer inventory of the entire range of products. AMUL products are found in around 5 lacs retailers spread all over India.
AMUL GROWTHSales Turnover Of 1505 million US dollar in 2008-2009 Sales US $ (in million) 1600 1400 1200 1000 Sales US $ (in million) 800 600 400 200 0
Low Cost Strategy Amul adopted a low-cost price strategy to make its products. Affordable and attractive to consumers by guaranteeing them value for money.18
Strength• Largest food brand in India• High Quality, Low Price• Worlds Largest Pouched Milk Brand• Annual turnover of US $1504 million• Highly Diverse Product Mix• Robust Distribution Network
Weakness• Risks of highly complex supply chain system• Strong dependency on weak infrastructure• Alliance with third parties who do not belong to the organized sector
Opportunities• Penetrate international markets• Diversify products to enter new product categories• Expand existing categories like processed foods, chocolates etc
threats • Competitors - Hindustan Lever, Nestle and Britannia • Still competition from MNCs in butter • Growing price of milk and milk products • Ban on export of milk powder24
Amul being a domestic brand and with high market share in all its subsidary product departments but still there’s a big rush of big MNC’s like Macdonalds,Subway and various ice-cream giants..even domestic Mother Dairy also competeting in a big way..hence GCMMF(Amul) will have to maintain its strong roots and robust distribution network
To improve further Amul can try out the following ideas: I) Amul can venture out on new products like Toned milk, Condensed milk that can be used for sweets, Baby food products, II) There are certain product like Amul basundi, gulab jamoon, choclates etc which are not as popular as Amul ice cream. Amul must try to understand the cause of this through thorough market research and work on improving these products
Amul has risen from Indian soil and it remains Indian in every sense. There is ample scope in the low priced segment as also in other categories. Amul has the opportunity to capture the more evolved young adults and children who are open to new products provided they meet their expectations.
CONCLUSION Amul one of the fastest growing industries of India. This industry has revolutionized the Indian dairy sector and also brought it back from the brink of extinction . Also it was one of the first successful cooperative associations in India and also now the market leader in the dairy sector .28