Amul milk has become cheaper by one rupee across the country. Jayen Mehta, Managing Director of Gujarat Co-operative Milk Marketing Federation (GCMMF), has said that the prices of Amul Gold, Amul Shakti and Amul Fresh have been reduced. The new prices have been implemented from today i.e. 24 January.
Table of Contents
Amul Milk: Prices were increased before the results of the general elections
Last year, the Lok Sabha election results were announced on 4 June. Just 3 days before this, the price of Amul milk was increased, in which Amul Gold milk was increased by 2 rupees per liter. At the same time, the prices of Amul Shakti and T Special were also increased.
GCMMF had said – production cost increased
On increasing the prices last year, GCMMF had said that the prices have also been increased due to the increase in the cost of the company’s operation and production. However, this increase is only 3-4% of the overall MRP, which is much less than the food inflation rates. It should also be noted here that there was no increase in prices since February 2023.
Amul Milk: Amul’s model works at three levels:
1. Dairy Co-operative Society
2. District Milk Union
3. State Milk Federation
All the farmers of the village producing milk are members of the Dairy Co-operative Society. These members elect representatives who together manage the District Milk Union.
The District Union processes milk and milk products. After processing, Gujarat Co-operative Milk Marketing Federation Limited works as a distributor and delivers these products to the market.
Professionals are hired to manage the supply chain. About 15 lakh people get employment directly or indirectly in the collection, processing and distribution of milk.
Amul’s model has become a case study in business schools. In this model, the dairy remains under the control of the farmers. This model shows how the profit reaches the lowest part of the pyramid.
How is lakhs of litres of milk collected?
- There are 18,600 milk co-operative societies and 18 district unions in 33 districts of Gujarat. More than 36 lakh farmers are associated with these societies, who produce milk.
- The hustle and bustle to collect milk starts from 5 am itself. Farmers milk the cattle and fill it in cans. After this, the milk is brought to the collection centre.
- By around 7 am, there is a long queue of farmers at the collection centre. Society workers measure the quantity of milk and the fat content is also measured. This system is completely automated.
- The milk output of every farmer is saved in the computer. The income of farmers depends on the quantity and fat content of milk. Farmers are paid on a fixed date every month.
- An app has also been created for farmers, in which they get information about payment ranging from milk quantity and fat. The payment is transferred directly to the bank account of the farmers.
