Falling global milk prices has somewhat halted the high growth rate experienced by the dairy giant Amul in recent years. Amul has registered its slowest growth in the past eight years for 2014-15 due to a fall in global milk prices that impacted the rate of revenue increase at India’s gargantuan dairy brand for bulk commodities such as skimmed milk powder, whole milk powder and ghee, reports a news outlet based in Delhi.
Gujarat Cooperative Milk Marketing Federation ended the fiscal with revenue of Rs 20,730 crore, an increase of 14.2% over the previous year while it achieved a compounded growth rate of 20% over the past five years in marketing its Amul brand of milk and milk products.
According to GCMMF MD R.S.Sodhi, news outlet quotes, the total turnover of the Amul group, owned by close to 32 lakh farmers from 17 district cooperatives, including sale of liquid milk by member unions, other dairy products and cattle feed in their respective districts, is estimated at almost Rs 29,000 crore.
The cooperative dairy, which processes 154 lakh litres of milk procured from Gujarat and other states daily, is focusing on expanding its plant capacity by 14% to process 175 lakh litres of milk per day.
Mr.Sodhi said with the current expansion in setting green field projects and expanding existing units, Amul should achieve a turnover of Rs 25,000 crore in 2015-16.
”To expand its export market, which slumped by 53% to Rs 250 crore in 2014-15, Amul plans to focus on the SAARC and Middle East countries. “Pakistan, Afghanistan, Middle East are good markets to expand. ” said Sodhi.
