Home About IUP Magazines Journals Books Amicus Archives
     
A Guided Tour | Recommend | Links | Subscriber Services | Feedback | Subscribe Online
 
The Analyst Magazine:
Amuls Infighting : No Taste of India
:
:
:
:
:
:
:
:
:
 
 
 
 
 
 
 

With the exit of "The Milkman", the dairy turns sour.We are not getting the right price for our products and making a loss of nearly 10%. In such a situation, we have no other option but to develop our own marketing and distribution network.

 
 
 

For several years Amul has been one of the most talked about success stories from India, winning millions of hearts, minds and market share. According to The Economic Times, Brand Equitys annual survey of Indias Most Trusted Brands, Amul is the 12th Most Trusted Brand among consumer product brands of Indian origin. However, given the present "conflicts" between the federation and its members, which have dealt a severe blow to its image, Amul must resolve to get out of this mess fast.

Operation Flood, a revolution in itself, was initiated by Dr. Verghese Kurien, the former Chairman of National Dairy Development Board (NDDB) who implemented it successfully over a period of 26 years in three phases. Dr. Kurien made innovative use of a World Bank loan, to accelerate the revolution. During its first phase, Operation Flood linked consumers in India's metropolitan cities: Delhi, Mumbai, Kolkata and Chennai. Surplus amount of dairy products imported from Europe was deployed as an investment in building India's dairy industry. The 126,000 mt of skimmed milk powder and 42,000 mt of butter oil, obtained from the EEC countries as food aid, were utilized to finance the program. For the first time in Indian history, food aid was witnessed as a vital resource of investment. Initiated in the year 1981, the aim of Operation Flood II was to build a National Milk Grid by connecting 136 rural milk sheds in 22 Indian states. As a result, there was a phenomenal increase in the milk sheds from 18 to 136. During the Phase 3 program, emphasis was given to R&D in animal health and nutrition. It enabled dairy cooperatives to rapidly build up the basic infrastructure to procure more and more milk daily.

The dairy cooperative movement in India took the shape of an apex cooperative organization called the Gujarat Co-operative Milk Marketing Federation (GCMMF), which gave birth to "Amul". GCMMF is a lean organization comprising of 12 affiliated member dairies/district milk unions, with each having its own manufacturing unit. Over the course of time, Amul helped in transforming milk from a commodity into a brand. "The Taste of India" created a wave in the Indian market with its commitment to quality and value for money. The success of Amul can be attributed to its strong advertising strategies and implementation of the latest technologies. The successful utilization of IT to bridge the Digital Divide gave a giant leap to the brand to capture majority of the consumer market.

 
 
 

The Analyst Magazine, Amuls Infighting, Distribution Network, Brand Equity, National Dairy Development Board, NDDB, Milk Marketing Federations, Advertising Strategies, Indian Market, Consumer Markets, Marketing Strategy, Amul Campaigns, Gujarat Co-operative Milk Marketing Federation, GCMMF, Milk Marketing, Marketing Companies.