Hello Everyone ! I am Aaryan Kakad and today I am going to tell how Anand Milk Union Limited (AMUL) helped 36 Lacs of Farmers.......
In Year 1946, Landless Labourer who were not having any land or wealth. They were taking out there cow's milk and selling, but that time milk would sell one day and didn't sell another day. They would have to travel very long for that. Now what should they do? If they would take loan and buy cows, the money lender will ask them to pay more interest. If they would go on there bike and sell milk, for buying bike they would again have to take loan for that. Now I am going to tell how Anand Milk Union Limited was established.
The middle men who were buying milk from the farmers and selling them in the market, they should not take the profit. That's why, one day Tribhuvan Das Patel went to meet Sardar Vallabh Bhai Patel. After they met, Morarji Desai and Tribhuvan Das Patel encouraged Sardar Vallabh Bhai Patel saying that " Aapko Sahkarita Ki Tayyari Karni Padegi".
That time there was a British Company named as 'Polson'. Gujarat's Farmers raised a Co-operative Movement against this company.
Dr. Verghese Kurian, he was Junior Manager there. He was a intelligent man. He studied from USA's Top Universities, he done Graduation, Post-Graduation and also Docterate. He was having many Job Offers but he was inspired by the people that you are the only person who can take this co-operative mission ahead.
One day, Tribhuvan Das Patel and Dr. Verghese Kurian went to the villages and saw how milk will be put in the trucks, how they should gather people, how best hay would be given to the cattle of the farmers.
In starting 10 to 15 years he made a successful foundation and a repeatable process. That's why the people who were having one cow they were buying 20 to 50 cows. Now that farmer's were only having there own television, own mobile, own car, and also own house.
It was given by whom? It was given by Anand Milk Union Limited which was Amul. In 1950, India was milk deficit country means there was no sufficient milk. It was very less that we had to import milk from New Zealand.
Now India is the largest milk producer in the world. Very much milk is sufficient with that we also import large quantity of milk. Any company which starts has a great leadership, great philosophy and also a great thinking.
Dr. Verghese Kurian's Philosophy was "Value for Many, Value for Money". Means who are selling milk 'farmers' should get their value for their milk and who buy the milk should also like the milk. Today farmer's get the most money from Anand Milk Union Limited which is Amul.
R.S. Sodhi is the current Managing Director (MD) from 6 to 7 years. He took the company to the next level. He has the best leadership. He also worked with Dr. Verghese Kurian for 30 years.
Amul increased the volume very much, that's why the cost per packet and cost per litre gets decreased. And they give maximum benefit to the farmer's.
They are having three steps:
1. Milk Procurement means taking the milk from the farmer's.
2. Milk Processing in this they process the milk.
3. Milk Packaging for selling the milk they pack it in this process.
In this they get their 15% cost, when they give money to their distributor and everybody in that there 5% goes. And remaining 80% they give it to the farmer's.
Amul was only selling 300 litres in 1947 and now it sells 3 Crore Litres of Milk. How did Amul get its name? One day in early 50's Dr. Verghese Kurian was thinking what to keep the name of the company. One day he met his chemist, and the chemist asked him what is your company's name. Dr. Verghese Kurian told that Anand Milk Union Limited, then chemist told we can do it abbreviation, AMUL means Price Less.
By turnover Amul is on Rs. 38000 Crore, Nestle is on Rs. 10886 Crore, Mother Dairy is on Rs. 7850 Crore, Parag is on Rs. 1778 Crore and Kwality is on Rs. 978 Crore.
On most favoured butter segment,
1. Amul
2. Mother Dairy
3. Brittania
4. Kwality
On Most selling Ice Cream brands in India
1. Amul
2. Baskin - Robbins
3. Kwality Walls
4. Mother Dairy.
5. Vadilal
Amul takes milk from 36 Lacs of Farmers and from 18,500 villages, 3 Crore Litre Milk and has a Turnover of Rs. 35000 Crore.
What is their Expansion Strategy?
They start from Village Level, means they take milk from their and sell some milk there. Then they go to district level, means they take milk to districts and sell. Then start selling at state level and then international level means export of milk.
Dr. Verghese Kurian is the Father of White Revolution of India. R.S. Sodhi has done massive growth in the company by increasing:
1. Procurement
2.Expansion in Processing
3.He has increased Farmer's Income by 4 Times.
4. Increased Turnover by 238%.
5. 50 New Products in Last 7 Years.
6. Expansion in Distribution.
Thanks........
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