The Gujarat Cooperative Milk Marketing Federation (GCMMF), the country's largest milk marketing federation, had a turnover

of Rs 5,255 crore during 2007-08 and this would grow to Rs 6,000 by the end of this fiscal. The largest milk brand in Asia, today Amul is the largest exporter of dairy products in the country. Amul is today available in over 40 countries. It is exporting a wide variety of products. The major markets are the US, West Indies, countries in Africa, the Gulf region, the Saarc neighbours, Singapore, the Philippines, Thailand, Japan and China, according to B M Vyas, managing director, GCMMF. In an interview to Financial Express, Vyas said, "We have demonstrated that if a level-playing field is provided, Indian dairy products are successful in the global market. Growth in consumer pack exports has been creditable and we have consolidated our exports." From conventional milk products like paneer and cheese, the brand has evolved over over time and now caters to the wellness market as well with its sugar-free and probiotic milk products. According to Vyas, the company is continuously introducing innovative products that meet the aspirational needs of the consumers. Amul has introduced a range of milk-based products such as flavoured milk, buttermilk, yoghurt, probiotic products and energy drinks. "Although if you analyse the household expenditure of Indian homes, the bulk of the money is spent on milk and products like butter, ghee, cheese, and a very small amount on items like ice creams and pizzas. However, it is important for us to register our presence in the entire food basket of the Indian household where and dairy product is involved. Our recent forays into pizzas, paranthas is through our Amul parlours, which are one-stop shops for all our products. We have plans for creating a large chain of such outlets to be managed mainly by franchisees throughout the country. Currently, we have 1,500 parlours and plan to open 10,000 of them by 2010," Vyas said. Amul liquid milk contributes as much as Rs 2,000 crore to GCMMF's sales. Apart from this, direct sale by District Cooperative Milk Producers Unions accounts for another Rs 1,500 crore. With the introduction of pouch milk in towns like Jaipur, Kanpur, Lucknow, Bhopal and Pune, besides the metros of Delhi, Kolkata and Mumbai, Amul liquid milk has crossed the boundaries of Gujarat. During 2007, the 13-member unions of GCMMF took a revolutionary step forward by integrating liquid milk marketing operations in all districts of Gujarat under the common brand name of Amul. Consequently, Amul has now emerged as the largest milk brand in Asia. Amul is an institution covering 13,000 villages benefiting 2.7 million farmers. "We would want this coverage to expand further with more farmers to join the Amul umbrella nationally. Coming to business, we would be handling more than twice the quantity of milk and our sales turnover would be nearly Rs 20,000 crore in the next five years." India is a developing country. Therefore, the focus is India. However, if there was a need to export in order to attain equilibrium in the domestic market, it would be under Amul brand in consumer packs only and that too to cater to the Taste of India. "India is the largest milk producer in the world and GMCCF is the largest food products marketing organisation in India. We are confident that Amul would emerge as the world's largest food products organisation in the not too distant future," Vyas said.

The Birth of Amul

It all began when milk became a symbol of protest Founded in 1946 to stop the exploitation by middlemen Inspired by the freedom movement

The seeds of this unusual saga were sown more than 65 years back in Anand, a small town in the state of Gujarat in western India. The exploitative trade practices followed by the local trade cartel triggered off the cooperative movement. Angered by unfair and manipulative practices followed by the trade, the farmers of the district approached the great Indian patriot Sardar Vallabhbhai Patel for a solution. He advised them to get rid of middlemen and form their own co-operative, which would have procurement, processing and marketing under their control. In 1946, the farmers of this area went on a milk strike refusing to be cowed down by the cartel. Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai and Tribhuvandas Patel, they formed their own cooperative in 1946. This co-operative, the Kaira District Co-operative Milk Producers Union Ltd. began with just two village dairy co-operative societies and 247 litres of milk and is today better known as Amul Dairy. Amul grew from

strength to strength thanks to the inspired leadership of Tribhuvandas Patel, the founder Chairman and the committed professionalism of Dr Verghese Kurien,who was entrusted the task of running the dairy from 1950. The then Prime Minister of India, Lal Bahadur Shastri decided that the same approach should become the basis of a National Dairy Development policy. He understood that the success of Amul could be attributed to four important factors. The farmers owned the dairy, their elected representatives managed the village societies and the district union, they employed professionals to operate the dairy and manage its business. Most importantly, the co-operatives were sensitive to the needs of farmers and responsive to their demands. At his instance in 1965 the National Dairy Development Board was set up with the basic objective of replicating the Amul model. Dr. Kurien was chosen to head the institution as its Chairman and asked to replicate this model throughout the country.

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

GCMMF

Gujarat Cooperative Milk Marketing Federation Ltd. (GCMMF), is India's largest food product marketing organisation with annual turnover (2012-13) US$ 2.54 billion. Its daily milk procurement is approx 13 million lit per day from 16914 village milk cooperative societies, 17 member unions covering 24 districts, and 3.18 million milk producer members. It is the Apex organisation of the Dairy Cooperatives of Gujarat, popularly known as 'AMUL', 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. Its success has not only been emulated in India but serves as a model for rest of the World. It is exclusive marketing organisation of 'Amul' and 'Sagar' branded products. It operates through 48 Sales Offices and has a dealer network of 5000 dealers and 10 lakh retailers, one of the largest such networks in India. Its product range comprises milk, milk powder, health beverages, ghee, butter, cheese, Pizza cheese, Ice-cream, Paneer, chocolates, and traditional Indian sweets, etc GCMMF is India's largest exporter of Dairy Products. It has been accorded a "Trading House" status. Many of our products are available in USA, Gulf Countries, Singapore, The Philippines, Japan, China and Australia. GCMMF has received the APEDA Award from Government of India for Excellence in Dairy Product Exports for the last 13 years. For the year 2009-10, GCMMF has been awarded "Golden Trophy" for its outstanding export performance and contribution in dairy products sector by APEDA. For its consistent adherence to quality, customer focus and dependability, GCMMF has received numerous awards and accolades over the years. It received the Rajiv Gandhi National Quality Award in1999 in Best of All Category. In 2002 GCMMF bagged India's Most Respected Company Award instituted by Business World. In 2003, it was awarded the The IMC Ramkrishna Bajaj National Quality Award - 2003 for adopting noteworthy quality management practices for logistics and procurement. GCMMF is the first and only Indian organisation to win topmost International Dairy Federation Marketing Award for probiotic ice cream launch in 2007. The Amul brand is not only a product, but also a movement. It is in one way, the representation of the economic freedom of farmers. It has given farmers the courage to dream. To hope. To live. GCMMF - An Overview

Year of Establishment Members No. of Producer Members No. of Village Societies Total Milk handling capacity per day Milk Collection (Total - 2012-13) Milk collection (Daily Average 2012-13)

1973 17 District Cooperative Milk Producers' Unions (16 Members & 1 Nominal Members) 3.18 Million 16,914 16.8 Million litres per day 4.66 billion litres 12.7 million litres

Cattlefeed manufacturing Capacity 5890 Mts. per day Sales Turnover -(2012-13) Rs. 13735 Crores (US $ 2.54 Billion)