Aavin – Managing ways to safeguard from agitation by the farmers and having innovative plans for the expansion of its business

Of late, the Tamil Nadu Milk Producer’s Association had made a compulsion on part of Aavin dairy for procuring the integral milk supplied by the primary milk producers cooperative societies. The General Secretary of this association told that the respective district milk producers were turning down the total milk being supplied by the primary milk societies. This ongoing was brought to the notice to the State Dairy Development Minister on 2nd May, 2015, who in turn persuaded for procuring the entire stock of the milk as supplied by the primary milk societies.

Formerly, the private players belonging to this industry have scale downed the milk procurement by Rs.2 per litre. Considering the procurement of milk by Aavin dairy from the private players, the milk procurement had been increased to 30 Lakh Litres a day.                                                         .

Incongruity, the General Secretary of this Association, further made a proposal that Aavin dairy will be increasing its milk procurement capacity by 50 lakhs litres per day as a primary step and is ought to stop the milk procurement from the private dairy farmers. Further confusion may result in serious agitation of the farmers across the state.

Recently, the Kanyakumari District Milk Producers’ Cooperative Union (KDMCU) had launched over 15 varieties of ice cream from the Aavin brand on Friday, 8th May, 2015. As such the General Manager of KDMCU, PS Subdaramahadevan  aforementioned the fact that the high quality ice cream variations which are being produced at the Chennai plant of TNCMPF are spread  evenly to all the district headquarters in over 50 vehicles fitted with deep freezers.

The range of ice cream varieties priced between Rs.8 and Rs.30 would clash with the private players in the market. At the beginning the KDMCU, getting hold off 500 litres per day is expecting to increase this quantity in the coming days.

On 5th May, 2015, it was notified by the Minister for Dairy Development, BV Ramanaa that the production of dairy products by Aavin dairy is set for manifold increase by September as the new dairy, Aavin dairy ambattur with an investment of Rs.32.40 crore will become operational.

As such the manufacturing rate of Aavin dairy products like the ice cream would boost up from 1,500 to 15,000 litres per day, at the same time the paneer production may increase from 100 to 1,000 kg, following curd increased to be from 7,000 to 60,000 packets. Meanwhile probiotic lassi would increase phenomenally from 3,000 to 20,000 cups and this would be the same for buttermilk whose rate of production may increase from 20,000 to 50,000 packets.

Moreover, it was said by the Minister that the acquisition of the vehicles intended for cold storage facility would be at the cost of Rs.5 crore. Simultaneously, the capacity of the cold storage facility at Aavin dairy ambattur would be augmented from 3.5 lakh litres to 5 lakh litres, involving an expenditure of Rs.6.17 crore. Ramanaa further added that Aavin dairy is taking steps to increase its milk transaction, apart from the provision of Re.1 per litre as incentive to the consumer, a separate section has been created to supply milk required by the cooks, the place where it is utmost required. Lately, the total procurement of Aavin dairy has been recorded as 30.05 lakh litres a day.

In a word, it may be concluded that, the Tamil Nadu Milk Producer’s Association had made a compulsion on part of Aavin dairy for procuring the integral milk supplied by the primary milk producers cooperative societies. This was due to the fact that formerly, the private players belonging to this industry have scale downed the milk procurement by Rs.2 per litre. Considering the procurement of milk by Aavin from the private players, the milk procurement had been increased to 30 Lakh Litres a day.

Recently, the Kanyakumari District Milk Producers’ Cooperative Union (KDMCU) has launched over 15 varieties of ice cream from the Aavin brand on Friday, 8th May, 2015. On 5th May, 2015, it was notified by the Minister for Dairy Development, BV Ramanaa that the production of dairy products is set for manifold increase by September as the new dairy, set up at the Ambattur region with an investment of Rs.32.40 crore will become operational.