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Amul Dairy India truly honors its tag: Amul taste of India

Due to the bountiful inventory of the skim milk powder, the price of milk is going to remain stable despite the expected dip in supply and high demand during the summer season.

It had been rightly cited by the managing director of Sterling Agro, Kuldeep Saluja, that India, in spite of producing 100,000 tons of (SMP) Skim Milk Powder every year,   had not increased its export of SMP beyond 30,000 tons this financial year. Liquidation of SMP during the summer in the advent of shortage in milk supply seems to justify this burning issue. Also he added that in contrast to the firming up in the SMP prices as in last few auctions in New Zealand, fresh supplies are expected to flood the market starting from the end of this month by the EU. This is due to the abolition of milk quota by the European Union which would be effective from this month end.

It was told by the managing director of GCMMF, India’s largest milk cooperative, that in the last 3 auctions of New Zealand, there was an increase in the price of whole milk powder as high as 45% and the increase of the SMP was kept slightly low as 18%. He added that the domestic SMP which is priced at Rs.200 per kg at present is expected to reach Rs.275 per kg in the coming months. As such SMP thrives to be more profitable at Rs.200 a kg in the domestic market than the International market which would fetch Rs.180-190 a kg.

However the managing director of Hatsun Agro, RG Chandramogan had predicted a better prospectus for the Indian exports of SMP in the nearer future, provided that the International pricing of SMP firms up. But he uncertainly mentioned another fact that   a consistent drop in the production of milk during the summer may eventually change the pricing dynamics.

Contradictory, an industry insider who does not wants to bring his name to light mentioned that no such phenomenon regarding price fluctuations is going to happen especially in the months of May and June as the Cooperatives could not stop the procurement from the farmers, who are willing to supply milk to them, owing to the fact that, at presently it is priced at Rs.33-48 a Liter across the varying regions of our country. But the senior dairy analyst and assistant vice president, food and agribusiness research and advisory of Rabobank , Shiva Mughdil, had made it clear that there has been a slight recovery in the milk prices due to  lesser or no exports from the key Dairy  exporting nations like NewZealand and countries falling under European Union. Under this circumstantial situation, The Dairy Industry in India   should start exporting SMP   from the second half of 2015.

It has been candidly told by the GCMMF, the maker of the Amul Brand, that Amul had been promoted to fifteenth position   among the top dairy organizations in the world in 2014 from twentieth position within a time period of 2 years according to the statistical figures released by the International Farm Comparison Network (IFCN), which stands as the leading global dairy knowledge organization. Also it has been claimed that if the ranking had been done on the basis of milk solids, Amul would have been in top ten.

According to the report made by IFCN, it was found that Amul had outnumbered its milk procurement by 40% from 2007, having procured 4.8 billion liter milk in 2013-14. The Managing Director of Amul, RS Sodhi had credited the 33 lakh farmers of Gujrat, the so called owner of Amul   whose endeavoring role to accelerate the milk production had accomplished this result.

As such Amul turns out to be a strong dairy cooperative by booming its milk procurement from its farmers and also keeping the cost of milk to a satisfactory level.

Amul Dairy India has upheld its networking, pricing, and commitment to that level that every part of India is now aware of the brand and Amul, taste of India.



SOURCEeconomic times
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  • Amul
  • amul dairy india
  • dairy cooperative
  • milk
  • milk solids
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