CHAPTER-II

COMPANY PROFILE

2.1 INTRODUCTION TO THE INDUSTRY:-

India is one of the largest milk productions in the world with an annual production of
84.6 million M.T. India is "The oyster" of the global dairy industry. It offers opportunities galore
to entrepreneurs worldwide, who wish to capitalize on one of the world's largest and fastest
growing markets for milk and milk products. A bagful of ' pearls ' awaits the international dairy
processor in India The India. The Indian dairy industry is rapidly growing, trying to keep pace
with the galloping progress around the world. Dairy developments have its profound impact on
the economy and nutrition levels of the country. Greater improvement opportunities through
dairy industry.

India's dairy sector is expected to triple its production in the next 10 years in view of expanding
potential for export to Europe and the West. Also India is the lowest cost producer of per liter of
milk in the world, at 27 cents, compared with the U.S' 63cents, and Japan's $2.8 dollars Also to
take advantage of this lowest cost of milk production and increasing production the country
multinational companies are planning to expand their activities here.

The "Operation Flood" was launched in the year 1970; it was basically aimed at increasing the
production of milk and increasing the per capita consumption of milk. The per capita
consumption of milk has been increased from 112 grams in 1970-71 to 265 grams in 2008-09
from 2015-16 to 225 grams in 2016-17
 2.2 INTRODUCTION TOORGANISATION:-

1) Name : Kolhapur Zillah Sahakari Dudh Utpadak Sangh

Ltd., Kolhapur

(GOKUL DAIRY)
2) Location : B-1, M.I.D.C., Gokul sShirgaon, Kolhapur -
416234, Maharashtra, India.

3) Establishment : 6th March, 1963.

4) Constitution : Co-operative Society.

5) Working Hours : 24 hours (In 3 shifts)
(Monday to Saturday)
Office – 10:30am to 5.30pm
6) Weekly Holiday : Sunday
7) Phone Number : (0231) 2672311 (5 lines)

8) Fax : (0231) 2672374

9) Brand : GOKUL

10) Website : www.gokulmilk.coop.

11) Email : Chairman:-chairman@gokulmilk.coop
Managing Director:- md@gokulmilk.coop
Sales:-Sales@gokulmilk.coop

12) Annual Turnover : Rs.1800 Cores

.
2.3 BRIEF HISTORY OF THE ORGANISATION:-

The Kolhapur district Co-operative Milk producers Union Ltd., Kolhapur was establish
on 16th March, 1963 under the Co-operative Act. It made a operate beginning by collecting 700
liters of milk per day from 22 societies. Most success stories have a humble beginning and also it
has been with Kolhapur Zillah Dudh Utpadak Sangh Ltd.

On 16th March 1963 a spark stormed a fire to help the While Revolution revolt heavily,
when on this day came into being the “ Kolhapur Zillah Shakaris Dudh Utpadak Sangh Ltd.,”
with the introduction of its popular brand of Gokul Milk and its wide range of Dairy
products in to the market.

The Kolhapur Zilla Shakari Dudh Utpadak Sangh Ltd., established on 16th March 1963
under Co-operative Societies Act (Regd. No. KPR-PRD (A 102), made a moderate beginning
by collecting 700 liters of milk per day from 22 societies. The basic function of the union during
the formative years was to procure the milk and supply it to the government dairy in Tarabai
Park, Kolhapur. This modus operandi continued for many years.

In 1978, The National Diary Development Board included Kolhapur District under
operation Flood area this was the beginning of a new era for the milk union. The project was
financed by the National Diary Development Board(NDDB). On turnkey basis NDDB
constructed a 2 lack liters per day capacity dairy plant at Gokul- Shirgaon. Similarly, at
Gadhinglaj and Bidri chilling centers of 75,000 and 50,000 liters / day capacity were also
constructed with the help of NDDB. Two more chilling centers at Go gave and at Tawarewadi
have proposed under operation flood - III program of National Dairy Development Board. The
expansion of Cattle Feed Plant from 100 MTD to 200 MTD has been completed during Oct.,
1992, under the financial assistance from National Dairy Development Board under OF-II
program.

The dairy was commission towards the end of 1985. Meanwhile, with the efforts of the
National Diary Development Board, the government milk scheme in Kolhapur was handed over
to the Kolhapur Dudh Sangh in 1985. With commissioning of a new dairy at Gokul Shirgaon,
the government became defunct. During 1985, the average mlik procurement was 114836 liters
per day with 676 village level societies affiliated to the Dudh Sangh.

Therefore, the raise in procurement every year has been very fast and 2015-16 the
average procurement was 14 Lakh liters per day. In the year 2016-17, maximum milk
procurement touched figure is 15,00,000 liters per day.

2.4 ACHIEVEMENTS OR AWARDS:-

Gokul Dudh Sangh, thanks to its high production standard and exemplary performance
has won the National Productivity Council Award 11 times since year 1988-99 Under
guidance and assistance from NDDB &FAO, Gokul implemented a Quality management
System. The System contributed towards improving quality of the plant and its output not only
up to the National standards but well enough to compete at International levels. It also got ISO-
9002 Certification in the year of 1998. Here are some details of the awards that we have own
over past years.
NATIONAL PRODUCTIVITY COUNCIL AWARD(1st PRIZE)

The above image denotes 1stprize for National Productivity Council Award. The 1st
Prize was won for the following years

 1989-1990.
 1991-1992.
 And 1993-94 (own for both Dairy and Cattle feed categories).

NATIONAL PRODUCTIVITY COUNCIL AWARD (2nd PRIZE)

The above image denotes 2nd prize for National Productivity Council Award. The 1st Prize was
won for the following years
  1992-1993 (own for both Dairy and Cattle feed categories).
 1994-1995 (own for both Dairy and Cattle feed categories).
 1996-97.

MERIT CERTIFICATE AWARDS

The above image denotes the Merit Certificate award, this was won for the following years:-

 1993-1994.
 1994-1995.

2.5 OBJECTIVIES :-

 To organize the co-operative structure of milk producers at the village level.

 Development of infrastructure for procurement of Milk in rural areas of Kolhapur
District to ensure an assured market for Milk producers throughout the year, as well as
good remunerative prices.
 Fulfill the growing need for Milk & milk product of the consumers in Maharashtra and
elsewhere.
 Supplement the program extension & inputs, with particular reference to feed and fodder
production an intensive breeding program me for Milk animals to increase Milk
Production.
 Imparting training for developing human resource at rural level for effective leadership,
Management skills and improvement of services to rural Milk Producers.
  Procuring milk throughout the year at morning and evening from milk producers by
organizing dairy co-operative societies on ‘AMUL PATTERN’ & providing
remunerative rate and regular market to the milk produced by the members.
 Paying good remunerative rate to farmers based on the quality i.e. fat & S.N.F.( Solid
Not Fat) percentage in the milk.
 Channel zing technical inputs such as:
 Artificial insemination.
 Supply balanced cattle feel to the farmer producer at no loss profit base.
 To ensure supply of improved varieties of fodder seeds & seeding at subsidized
rates.
 Supervision by trained officer of the union & guiding about clean milk production
& modern dairy husbandry practices.
 Developing leadership in the economic up lift of the producers & making the
farmer producers self reliant economical

2.6.1 VISION:-

Kolhapur Zilla Sahakari Dudh Utpadak Sangh Ltd., Kolhapur, commonly known as
Gokulis a farmar’s This professionally managed organization dealing with more than 3,00,000
rural milk producers. This professionally managed organization is working under able and
dynamic leadership of its chairman, Mr. Diliprao B. Mane-Patil and its annual turnover is of Rs.
450Crores.

On the merit of its excellent performance, the organization has won Indian National
productivity Council Awards for 11 times during last 11 years.

It is highly cautions in observing strict quality control norms in its various operations .
To get ISO – 1400 certification in the upcoming year.

While striving hard to provide utmost satisfaction to its esteemed customers it is also
constantly endeavoring to improve the quality of life of its rural producer members through
execution of unique village development programs i.e. Gokul Gram VikasYojana.
 In order to enhance Milk production. The Sangh provides on credit, quality Cattle feed
on a’ no profit no loss’ basis as well as free A. H. services & nominally charged A. I. services
to the Producer members.

All- round achievements of organization is cumulative outcome of visionary directions

from its members of Board of Directors, Managing Director, dedicated work put up by its able
and devoted staff and last but most important one is whole hearted involvement of its member
producers in policies of organization.

2.6.2 MISSION :-

The mission identifies the basic function or task of an enterprise or agency or any part of
it. Every kind of organized operation has, or at least should have if it is to be meaningful, a
purpose or mission. In every social system, enterprises have a basic function or task that is
assigned to them by society.

So, people sometimes think that the mission of a business, as well as its objective, is to
make a profit. It is true that every kind of enterprise must have, a ‘surplus’ in business, a ‘profit’
goal or objective if it is to survive and do the task society entrusted to it.

Thus, The Kolhapur ZillaSahakariDudhUtpadakSangh Ltd. .has following mission

statement:

 We Endeavor to satisfy the taste and nutritional requirements of the customers through
excellence in marketing by Gokul team, and committed to offering quality products that
provide best value for product..
2.6.3 QUALITY POLICY :-

The Kolhapur Zilla Sahakari Dudh Utapadak Sangh Ltd. Prefers the quality in their
products and delivery system. There is a separate department to maintain the quality of the milk
and products and also which always engaged in research and development.

 To ensure pure, hygienic milk and milk products through continuous improvement of
quality standards.
 In 1998, the Kolhapur Zilla Sahakari Dudh Utapadak Sangh Ltd. Got ISO- 9002
certification and it is the result of the quality maintenance of the union.
 The Kolhapur Zilla Sahakari Dudh Utapadak Sangh Ltd. Got ISO -9001:2000 & ISO -
15000: 1998 for three years.2016-17 this year ISO 22000/2005

2.6.4 VALUES :-

The Kolhapur Zilla Sahakari Dudh Utapadak Sangh Ltd. has the following values towards the
society and towards its workers:

 Co- operation
 Discipline
 Cleanliness
 Total quality maintenance
 Honesty

2.7: PRODUCT PROFILE :-

The Gokul Dudh Sangh Products are extremely popular in the Local & Distant Markets.
Branded as Gokul Products, they include Milk, Shrikhand, Ghee, Table Butter, and Skimmed
Milk Powder & White Butter.

Moreover, Skimmed Milk Powder is IS- Part I & Part –II Extra Grade, Which is on its way to
capture the globle market. In 1988, Liquid Milk Marketing was launched in Mumbai by the
DudhSangh. Sales initially were 16,000 Liters/ Day. Today, Standard, Cow & Toned Milk
together account for more than 3.5 Lakh Liters/Day . In 1993 Gokul Milk was launched in Pune
where the sales are 20,000 Liters/ Day. The present sale in local Milk market is 70,000
Liters/Day . Thus, the following chart explains the different types of products of Gokul Dairy:

Products:

1. Gokul Milk(FCM,Cow,Standered ,tonne) 6. GokulPaneer

2. Gokul Skimmed Milk Powder ( Std. grade & 7. GokulDahi
Extra grade)
3. Gokul Ghee(cow ghee,buffalo) 8. GokulLassi

4. GokulShrikhand 9. Gokul Cooking butter

1.Full cream shrikhand
2.Amba shrikhand
3 Iaichi Shrikhand
5. Gokul table Butter 10. Gokul butter milk
2.8: AREA OF OPERATION – REGLONAL :-

The Kolhapur Milk Union covers all the twelve talukas as follows:

1) Karvir
2) Kagal
3) Chandgad
4) Gadhinglaj
5) Ajara
6) Radhanagari
7) Gaganbavada
8) Bhudargad
9) Shahuwadi
10) Panhala
11) Shirol
12) Hatkanagale
 However, 41 Villages from Hatkanagale and Panhalatalukas are affiliated to Warana
Milk Producers Union. So, It has covered all the major areas of the Kolhapur district by
operating at regional level.

2.9: OWNERSHIP PATTERN:

The Kolhapur District Co-operative Milk Producers Union Ltd., builds and runs under the
co-operative institutions such as:

 It is working as a District Co-operative Society. ( DCS)

 It is also works under National Dairy Development Board. ( NDDB) because, NDDB
has played very important role in the development and progress of Gokul has been quite
successful in implementation of operation flood phase-1 and phase-II . This resulted
increation of tremendous milk production.

2.10: COMPETITON ANALYSIS:

The Kolhapur people taste new brands of milk every year right now/ till date there are 16
competitors in the market apart from Gokul. There 5 major brands which are very competitive
for Gokul are Amul, Shahu, Warana and loose milk.
2.11: BOARD OF DIRECTORS:

1 Shri. Vishwasrao N. Patil Chairman

2 Shri. Arun D. Narke Director
3 Shri. Ranjitsinh V. Patil Director
4 Shri Ravindra P. Apte Director
5 Shri. Arun G. Dongale Director
6 Shri. Vishwas S. Jadhav Director
7 Shri. Dhairyashil D. Desai Director
8 Shri. Deepak B. Patil Director
9 Shri. Pandurang D. Dhundre Director
10 Shri. Uday.N.Patil Director
11 shri. Rajesha .N.ptil Director
12 Shri. Balaso.N.Khade Director
13 Shri. Amarsinh.S.Patil Director
14 Shri. Satyajit S.Patil Director
15 Shri.Vilas A Kamble Director
16 Sou. Anuradha B. Patil Director
17 Smt. Jayshri A.Patil-chuyaker Director
18 Shri. Vijay B. Desai Director
19 Shri. Ramraj B.Desai-khupekar Director
20 Shri. D. V. Ghanekar Managing Director
2.12: PRODUCTION &SALES ( FROM 2009 TO 2016)

GHEE

Year Production Sales

2009-2010 449k.l. 138k.l.

2010-2011 299k.l. 319k.l.

2011-2012 177k.l. 182k.l.

2012-2013 203k.l. 220k.l.

2013-2014 228k.l. 217k.l.

2014-2015 238k.l. 255k.l.

2015-2016 197k.l. 197k.l.

Kl = Kilo liter
 MILK POWDER

Year Production Sales

2009-2010 2401 m.t. 1506 m.t.

2010-2011 2286 m.t. 1698 m.t.

2011-2012 1473 m.t. 689 m.t.

2012-2013 3820 m.t. 2001 m.t.

2013-2014 2626 m.t. 514 m.t.

2014-2015 2063 m.t. 1048 m.t.

2015-2016 2699 m.t. 375 m.t.

m.t = Metric tons
 SHRIKHAND

Year Sales
Production

2009-2010 119 m.t. 104 m.t.

2010-2011 109 m.t. 106 m.t.

2011-2012 145 m.t. 142 m.t.

2012-2013 131 m.t. 131 m.t.

2013-2014 131 m.t. 128 m.t.

2014-2015 161 m.t. 157 m.t.

2015-2016 147 m.t. 140 m.t.

m.t = Metric tons
 Butter

Year Production Sales

2009-2010 2723 m.t. 2700 m.t.

2010-2011 2404 m.t. 487 m.t.

2011-2012 1869 m.t. 1277 m.t.

2012-2013 3569 m.t. 1436 m.t.

2013-2014 2808 m.t. 2351 m.t.

2014-2015 2378 m.t. 1271 m.t.

2015-2016 3206 m.t. 1316 m.t.

m.t = Metric tons

2.13: MILK SALES (2016-17):-

Sr. No. Particulars Milk Sale(Ll)

1 Local Sale 541

2 Pune 508

3 Mumbai 2301

Total 3350

LL : Lakh Liters

2.14: FINANCIAL STATUS (2016-17):-

Sr. No. Particulars Rs. (In Crores)

1 Authorized share Capital 51.00

2 Paid Up Share Capital 34.61

 3 Net Profit 4.11

4 Turnover 450.00

The above diagram represents the workflow model of The Kolhapur District Co-operative Milk
Product Union., Kolhapur. First, the milk comes from the DCS and then the procured milk is
tested and also Fat and SNF are tested.

After testing the milk has to be chilled and stored. Pasteurization, separation and
Homogenization is done. After Homogentation the milk has to be stored and then it packed and
finally dispatched to the existing market.
2.15: FUTURE GROWTH AND PROSPECTS :-

The government of Maharashtra and NDDB has signed a memorandum of understanding

during February 2000, for further strengthening the dairy development activities in Maharashtra
with an outlay of Rs. 250 crores. Consequent to the announcement of new lending terms and
conditions by NDDB through an evolution of an action plan – perspective 2010 to enable dairy
co-operative to face the challenges of an increased demand for milk . Enhancing productivity,
managing quality and building national information network plans are under Implementation.
Thus, The Kolhapur District Co-operative Milk Producers Union Ltd., has the following has
some activities for future growth and it has bright future in the dairy sector.

 Preparing for ISO-9001 certification.

 Marketing quality improvement.
 Developing HACCP ( Hazards Analysis and Critical Control Points.)
 Getting export grade milk powder

2.16: SUBSIDIARIES &ASSOCIATES :-

 Mahalaxmi Cattle feed Plant, Gadmudshingi, Tal karvir, Dist Kolhapur.

 Chilling center, Lingnur, Tal Gadhinglaj, Dist. Kolhapur.
 Chilling center, Borvde (Bidri) , Tal Kagal.
 Chilling center, Tavrevadi, Tal Chandgad.
 Chilling center, Gogve, Tal Shahuwadi.
 Chilling center,Shirol Satellite Dairy.
 VashiBranch,Mafcoyard, Navi Mumbai.
 Pune Branch,Manjri, Pune

2.17: ORGANIZATION STRUCTURE:-

These are the policies & procedures which govern the way in which organization
actswithin its environment. The organization as well as the group & ownership structure are
Included here The. Functional excellence can only be achieved if there is sufficient integrity
focus within each business unit & structuring& organization is there if not an easy task. The
 Kolhapur District Co-operative Milk Producers Union Ltd., has the following organization
structure.

ORGANIZATION STRUCTURE -

BOARD OF DIRECTORS

MANAGING DIRECTOR

G. M. DAIRY G. D. DAIRY

Admin Magr. Purchase Magr. Dairy Magr.Engg.Magr.

Markt. Magr. Finance Magr. Quality Control Magr. ProcessMagr.

Procurement .Mgr A& H .Mgr.

Asst. Manager Asst. Manager

Senior Officer Senior Officer

Officer Officer Supervisor /Plant Operator

Dy. Officer Forman /Lab. Asst. / Clerk

Sr. Clerk Worker

Clerk Help

Peon / Watchman