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I wish to express my deep gratitude to Mr. Vinay Chamoli, assistant Professor,
Quantum University ,Roorkee, Uttarakhand for providing me such a great topic
to study.
I am thankful to all those who helped and supported me in
this study work.
Source of data-
iffco.in
indiacooperative.com.
Times Of India.
google.com.
ANAND MILK UNION
COOPERATIVE
3
AMUL (ANAND MILK UNION
LIMITED)
a) Formed in 1946,at Anand Dist. (Bombay Region)
now in Gujarat state.
b) It is managed by Gujarat Co-Operative Milk
Marketing federation (GCMMF).
c) Dr. Verghese Kurien & Tribhuvandas Patel are the
key people behind the success of AMUL.
d) Name sourced from Sanskrit word ‘AMULYA’
means priceless.
e) Jointly owned by 2.6 million milk producer in
Gujarat.
f) Overseas the milk market of UAE, USA, New
Zealand and many other countries.
4
5
TO ESTABLISH ANY
BUSINESS
SUCCESSFULLY THE
STUDY OF 4 P’S
(PRODUCT, PRICE, PLACE
AND PROMOTION) IS
MOST IMPORTANT.STUDY
OF AMUL COOPERATIVE
MODEL IS AS FOLLOWS:-
6
• TRACKS CONSUMER NEED,
THEIR CHANGING LIFESTYLE
AND DEVLOPS PRODUCTS
ACCORDINGLY.
• PRODUCT SPECIFICATION- IT
MEETS THE AGMARK
STANDARDS.
• PRODUCT PERSONALITY- IT IS A
UNISEX PRODUCT.
• USP(UNIQUESELLING POINT)-
THE USP OF AMUL IS ITS TASTE,
IT IS MADE BY FRESH CREAM BY
MODERN BUTTER MAKING
MACHINES.
7
AMUL
MILK DRINKS
AMUL FRESH
MILK.
AMUL
MILKSHAKE.
AMUL MASTI.
AMUL FRESH
MILK.
AMUL GOLD
MILK.
AMUL SHAKTI
TONED MILK.
MILK
PRODUCTS
AMUL BUTTER.
AMUL INSTANT
FULL CREAM.
AMUL FRESH
SLIM AD TRIM
MILK.
AMUL
CHOCOLATE.
AMUL ICE
CREAM.
8
• THE MAIN USP OF BRAND IS
LOW PRICING.
• MILK COST, LABOUR COST,
PROCESSING COST,
TRANSPORTATION, SALES
PROMOTION COST AND TAXES
INCLUDES 20% OF MONEY i.e.
80% WHICH DIRECTLY GOES
TO SHARE HOLDERS i.e.
FARMERS
MARKET SHARE OF AMUL
9
CATEGORY MARKET SHARE MARKET POSITION
BUTTER 85% 1
MILK POWDER 40% 1
CHEESE 50% 1
ICE-CREAM 24.75% 2
SWEETS 50% 1
CHOCOLATE DRINKS 90% 1
CHOCOLATES 10% 3
10
• AMUL HAS A VERY STRONG
MARKETING CHANNEL.
• THE GCMMF HAS A
NETWORK OF MORE THAN
3500 DISTRIBUTERS AND
MORE THAN 5 LAKH RETAIL
OUTLETS.
• MORE THAN 2.8MILLION
FARMERS OF 12 DISTRICTS
ARE OPERATIONAL.
• AMUL HAS 47 DEPOTS.
Village Cooperative
Societies (No Chilling
Unit)
RETAIL
ER
Village
Cooperative With
Chilling Unit
HOME DELIVERY
CONTRACTORS
Local Milk
Related Business
NETWORK
SERVICES
I. VETERNIARY
SERVICES .
II. ANIMAL
HUSBANDRY.
III. ANIMAL FEED
FACTORY.
IV. AGRI.
UNIVERSITY.
V. RURAL MGT.
INSTITUTE.
VI. TRUCKING
FACILITY.
MILK
PROCESSINGUNI
ON AND WARE
HOUSING.
WHOLESALE
RS
MILK SOLD TO VILLAGE
AND LOCAL RESIDENTS
CONSUME
WAREHOUS
ES
CHILLING
PLANT
PLACE STRATEGY
FARMER
12
• IT USES A VARIETY OF MEDIA TO
COMMUNICATE.
• MOST FAMOUS IS BILLBOARD
CAMPAIGN.
• IT INTRODUCES VARIOUS
CONTESTS TIME TO TIME
WHICH ATTRACTS PEOPLE .
• IT SPONSORS VARIOUS
COMPETITIONS AND
PROGRAMMES ON NATIONAL TV
CHANNELS.
AMUL SPECIAL TYPE PROMOTION WITH HOT TOPIC OF THE TIME. 13
14
INDIA WAS BENIFITED IN
FOLLOWING WAYS-
15
• POWERED UP WHITE REVOLUTION IN INDIA.
• FIRST SCHEME WHICH PROMOTED THE
ESTABLISHMENT OF COOPERATIVE SOCIETIES IN
INDIA.
• FIRST TIME FARMERS FOUGHT FOR THEIR
RIGHTS.
• INDIA GOT FIRST POSITION IN MILK AND MILK
PRODUCT PRODUCTION.
• THE MILK QUALITY WAS MAINTAINED UNDER LOW
PRICES.
• MANY OTHER MILK COOPERATIVE WERE MADE
AS SUDHA IN BIHAR,ANANDA IN UP, AANCHAL IN
UTTARAKHAND(UCDF Ltd).
INDIAN FARMER FERTILIZER
COOPERATIVE LIMITED
16
17
• IFFCO is a multistate cooperative society
registered on 3rd NOV 1967, commercial
production started in the year 1975.
• Produces 10 million tonnes of fertilizer per
year.
• Contribute about 20% to the total ‘n’ and
25% to the total p2o5 produced in the
country.
• Market fertilizer through 38,955 member
cooperative societies.
• Sales, services and support to the farmers
18
ACCORDING TO INITIAL AT PRESENT
MEMBERSHIP
57 (COOPERATIVE
SOCIETIES)
38,955 (
COOPERATIVE
SOCIETIES)
SHARE CAPITAL
0.005 MILLION USD
(1967-68)
106 MILLION USD
PRODUCTION
0.18 MILLION MT
(1975-76)
7.01 MILLION MT
TURNOVER
588 MILLION USD
(1989-90)
2300 MILLON USD
19
COOP. FOR
OWNERS
• NEED MORE PROFIT/ EXPANSIONS.
COOP. FOR
MARKETEERS
• NEED QUALITY PRODUCT.
• COMPETITIVE DISTRIBUTION.
COOP FOR
CONSUMERS
• NEED ASSURED QUALITY, COST
EFFECTIVE PRICES.
• TIMELY DELIVERY, SUPPORT FOR
BETTER CROP YIELD.
20
• Regular dividend on investment.
IFFCO pays maximum dividend to
member societies.
• Joint ventures and expansions of
existing fertilizer units.
• For sustainable growth, better
return and better business
activities work regularly.
• All member societies have their
representative and their regular
meetings are taken.
• The selection of core members is
completely democratic, election
takes place every year in which
political parties also participates.
21
• Produces quality fertilizer.
• Marketing through the
cooperative network only.
• Provides transportation
services for interior areas.
• Network of warehouse
cooperative is preferred.
• Financial support to weak
cooperatives.
22
• Educates farmers on innovative
farming techniques.
• Ensure timely availability of
fertilizers to the farmers at doorstep.
• Direct sale through own outlets
farmers service centers.
• Community development support.
• Environment protection and energy
conservation.
23
S.NO
.
NAME OF JOINT VENTURE DETAILS
1)
OMAN INDIAN FERTILIZER
COMPANY (OMIFCO)
A. Annual production of 1.6 million MT urea and
0.25 million MT ammonia.
B. A project of around 892 million USD.
2)
INDUSTRIES CHIMIQUES DEU
SENEGAL (ICS)
A. IFFCO holds around 20% of share.
B. IFFCO picks 0.5 million MT phosphoric acid
under long term buy back agreement.
3)
INDO – EGYPTIAN FERTILIZER
COMPANY
A. Build up to 0.5 million MT phosphoric acid per
annum.
B. IFFCO hold 76% shares.
4)
PHOSPHORIC ACID PLANT AT
JORDAN
A. Signed an MOU with Jordan Phosphate Mine
Company to set up a 1500 tonnes phosphoric
acid per day.
B. IFFCO holds 52% equity.
IFFCO TOKYO GENERAL A. To provide economic support to farmers.
24
• INITIATIVES FOR AGRICULTURE AND
RRAL DEVLOPMENT-
1. NATIONAL COMMODITY AND
DERIVATIVE EXCHANGE LIMIITED.
2. NATIONAL COLLATERAL
MANAGEMENT SERVICES LIMITED.
• INITIATIVE FOR SOCIO – ECONOMIC
DEVLOPMENT-
1. IFFCO KISAN SEWA TRUST.
2. INDIAN FARM FORESTRY
DEVLOPMENT CO – OPERATIVE
LIMITED.
3. IFFCO FOUNDATION.
Cooperative model of amul iffco

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Cooperative model of amul iffco

  • 1.
  • 2. 2 I wish to express my deep gratitude to Mr. Vinay Chamoli, assistant Professor, Quantum University ,Roorkee, Uttarakhand for providing me such a great topic to study. I am thankful to all those who helped and supported me in this study work. Source of data- iffco.in indiacooperative.com. Times Of India. google.com.
  • 4. AMUL (ANAND MILK UNION LIMITED) a) Formed in 1946,at Anand Dist. (Bombay Region) now in Gujarat state. b) It is managed by Gujarat Co-Operative Milk Marketing federation (GCMMF). c) Dr. Verghese Kurien & Tribhuvandas Patel are the key people behind the success of AMUL. d) Name sourced from Sanskrit word ‘AMULYA’ means priceless. e) Jointly owned by 2.6 million milk producer in Gujarat. f) Overseas the milk market of UAE, USA, New Zealand and many other countries. 4
  • 5. 5 TO ESTABLISH ANY BUSINESS SUCCESSFULLY THE STUDY OF 4 P’S (PRODUCT, PRICE, PLACE AND PROMOTION) IS MOST IMPORTANT.STUDY OF AMUL COOPERATIVE MODEL IS AS FOLLOWS:-
  • 6. 6 • TRACKS CONSUMER NEED, THEIR CHANGING LIFESTYLE AND DEVLOPS PRODUCTS ACCORDINGLY. • PRODUCT SPECIFICATION- IT MEETS THE AGMARK STANDARDS. • PRODUCT PERSONALITY- IT IS A UNISEX PRODUCT. • USP(UNIQUESELLING POINT)- THE USP OF AMUL IS ITS TASTE, IT IS MADE BY FRESH CREAM BY MODERN BUTTER MAKING MACHINES.
  • 7. 7 AMUL MILK DRINKS AMUL FRESH MILK. AMUL MILKSHAKE. AMUL MASTI. AMUL FRESH MILK. AMUL GOLD MILK. AMUL SHAKTI TONED MILK. MILK PRODUCTS AMUL BUTTER. AMUL INSTANT FULL CREAM. AMUL FRESH SLIM AD TRIM MILK. AMUL CHOCOLATE. AMUL ICE CREAM.
  • 8. 8 • THE MAIN USP OF BRAND IS LOW PRICING. • MILK COST, LABOUR COST, PROCESSING COST, TRANSPORTATION, SALES PROMOTION COST AND TAXES INCLUDES 20% OF MONEY i.e. 80% WHICH DIRECTLY GOES TO SHARE HOLDERS i.e. FARMERS
  • 9. MARKET SHARE OF AMUL 9 CATEGORY MARKET SHARE MARKET POSITION BUTTER 85% 1 MILK POWDER 40% 1 CHEESE 50% 1 ICE-CREAM 24.75% 2 SWEETS 50% 1 CHOCOLATE DRINKS 90% 1 CHOCOLATES 10% 3
  • 10. 10 • AMUL HAS A VERY STRONG MARKETING CHANNEL. • THE GCMMF HAS A NETWORK OF MORE THAN 3500 DISTRIBUTERS AND MORE THAN 5 LAKH RETAIL OUTLETS. • MORE THAN 2.8MILLION FARMERS OF 12 DISTRICTS ARE OPERATIONAL. • AMUL HAS 47 DEPOTS.
  • 11. Village Cooperative Societies (No Chilling Unit) RETAIL ER Village Cooperative With Chilling Unit HOME DELIVERY CONTRACTORS Local Milk Related Business NETWORK SERVICES I. VETERNIARY SERVICES . II. ANIMAL HUSBANDRY. III. ANIMAL FEED FACTORY. IV. AGRI. UNIVERSITY. V. RURAL MGT. INSTITUTE. VI. TRUCKING FACILITY. MILK PROCESSINGUNI ON AND WARE HOUSING. WHOLESALE RS MILK SOLD TO VILLAGE AND LOCAL RESIDENTS CONSUME WAREHOUS ES CHILLING PLANT PLACE STRATEGY FARMER
  • 12. 12 • IT USES A VARIETY OF MEDIA TO COMMUNICATE. • MOST FAMOUS IS BILLBOARD CAMPAIGN. • IT INTRODUCES VARIOUS CONTESTS TIME TO TIME WHICH ATTRACTS PEOPLE . • IT SPONSORS VARIOUS COMPETITIONS AND PROGRAMMES ON NATIONAL TV CHANNELS.
  • 13. AMUL SPECIAL TYPE PROMOTION WITH HOT TOPIC OF THE TIME. 13
  • 14. 14
  • 15. INDIA WAS BENIFITED IN FOLLOWING WAYS- 15 • POWERED UP WHITE REVOLUTION IN INDIA. • FIRST SCHEME WHICH PROMOTED THE ESTABLISHMENT OF COOPERATIVE SOCIETIES IN INDIA. • FIRST TIME FARMERS FOUGHT FOR THEIR RIGHTS. • INDIA GOT FIRST POSITION IN MILK AND MILK PRODUCT PRODUCTION. • THE MILK QUALITY WAS MAINTAINED UNDER LOW PRICES. • MANY OTHER MILK COOPERATIVE WERE MADE AS SUDHA IN BIHAR,ANANDA IN UP, AANCHAL IN UTTARAKHAND(UCDF Ltd).
  • 17. 17 • IFFCO is a multistate cooperative society registered on 3rd NOV 1967, commercial production started in the year 1975. • Produces 10 million tonnes of fertilizer per year. • Contribute about 20% to the total ‘n’ and 25% to the total p2o5 produced in the country. • Market fertilizer through 38,955 member cooperative societies. • Sales, services and support to the farmers
  • 18. 18 ACCORDING TO INITIAL AT PRESENT MEMBERSHIP 57 (COOPERATIVE SOCIETIES) 38,955 ( COOPERATIVE SOCIETIES) SHARE CAPITAL 0.005 MILLION USD (1967-68) 106 MILLION USD PRODUCTION 0.18 MILLION MT (1975-76) 7.01 MILLION MT TURNOVER 588 MILLION USD (1989-90) 2300 MILLON USD
  • 19. 19 COOP. FOR OWNERS • NEED MORE PROFIT/ EXPANSIONS. COOP. FOR MARKETEERS • NEED QUALITY PRODUCT. • COMPETITIVE DISTRIBUTION. COOP FOR CONSUMERS • NEED ASSURED QUALITY, COST EFFECTIVE PRICES. • TIMELY DELIVERY, SUPPORT FOR BETTER CROP YIELD.
  • 20. 20 • Regular dividend on investment. IFFCO pays maximum dividend to member societies. • Joint ventures and expansions of existing fertilizer units. • For sustainable growth, better return and better business activities work regularly. • All member societies have their representative and their regular meetings are taken. • The selection of core members is completely democratic, election takes place every year in which political parties also participates.
  • 21. 21 • Produces quality fertilizer. • Marketing through the cooperative network only. • Provides transportation services for interior areas. • Network of warehouse cooperative is preferred. • Financial support to weak cooperatives.
  • 22. 22 • Educates farmers on innovative farming techniques. • Ensure timely availability of fertilizers to the farmers at doorstep. • Direct sale through own outlets farmers service centers. • Community development support. • Environment protection and energy conservation.
  • 23. 23 S.NO . NAME OF JOINT VENTURE DETAILS 1) OMAN INDIAN FERTILIZER COMPANY (OMIFCO) A. Annual production of 1.6 million MT urea and 0.25 million MT ammonia. B. A project of around 892 million USD. 2) INDUSTRIES CHIMIQUES DEU SENEGAL (ICS) A. IFFCO holds around 20% of share. B. IFFCO picks 0.5 million MT phosphoric acid under long term buy back agreement. 3) INDO – EGYPTIAN FERTILIZER COMPANY A. Build up to 0.5 million MT phosphoric acid per annum. B. IFFCO hold 76% shares. 4) PHOSPHORIC ACID PLANT AT JORDAN A. Signed an MOU with Jordan Phosphate Mine Company to set up a 1500 tonnes phosphoric acid per day. B. IFFCO holds 52% equity. IFFCO TOKYO GENERAL A. To provide economic support to farmers.
  • 24. 24 • INITIATIVES FOR AGRICULTURE AND RRAL DEVLOPMENT- 1. NATIONAL COMMODITY AND DERIVATIVE EXCHANGE LIMIITED. 2. NATIONAL COLLATERAL MANAGEMENT SERVICES LIMITED. • INITIATIVE FOR SOCIO – ECONOMIC DEVLOPMENT- 1. IFFCO KISAN SEWA TRUST. 2. INDIAN FARM FORESTRY DEVLOPMENT CO – OPERATIVE LIMITED. 3. IFFCO FOUNDATION.