The Taste of India Contents Chapt er no. Tit le Page no. 1 General Introduction 5 Introduction to the Topic 5 Profile of the Industry 7 Company Profile 11 Product Profile 19 2 Theoretical Background of the Study 25 3 Design of the Study 28 4 Analysis & Interpretation 37 5 Findings, Suggestions & Conclusions 60 Annexure: a) Bibliography b) Questionnaire 64-66 DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 1
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Project Consumer Bonding Towards Amul Milk Milk Products
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The Taste of India
Contents
Chapter no.
Title Page no.
1 General Introduction 5
Introduction to the Topic 5
Profile of the Industry 7
Company Profile 11
Product Profile 19
2 Theoretical Background of the Study 25
3 Design of the Study 28
4 Analysis & Interpretation 37
5 Findings, Suggestions & Conclusions 60
Annexure: a) Bibliography b) Questionnaire
64-66
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 1
The Taste of India
List of Tables:
Table no. Contents Page no.
5.1 Classification of Customers Based On Sex 33
5.2 Analysis of Occupation of the Respondents 355.3 Analysis of Monthly Income of the
Respondents36
5.4 Analysis of Factors to Buy AMUL Milk and
Milk Products
38
5.5 Opinion of the Respondents Regarding
Quality
39
5.6 Analysis of Consumption of Average Milk per
Day
40
5.7 Analysis of Purchase Duration of the AMUL
Milk & Milk Products
42
5.8 Analysis of Rating Towards AMUL Milk & Milk products
43
5.9 Analysis of problems in Amul Milk Products 45
5.10 Analysis of Availability of Products from
Dealers
46
5.11 Analysis of Value for Money Paid by the Respondents
48
5.12 Analysis of Recommendations 49
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 2
The Taste of India
List of Graphs:
Graph no. Contents Page no.
5.1 Classification of Customers Based On Sex 345.2 Analysis of Occupation of the Respondents 35
5.3 Analysis of Monthly Income of the Respondents
37
5.4 Analysis of Factors to Buy AMUL Milk and Milk Products
38
5.5 Opinion of the Respondents Regarding
Quality
40
5.6 Analysis of Consumption of Average Milk per
Day
41
5.7 Analysis of Purchase Duration of the AMUL
Milk & Milk Products
43
5.8 Analysis of Rating Towards AMUL Milk & Milk products
44
5.9 Analysis of problems in Amul Milk Products 46
5.10 Analysis of Availability of Products from
Dealers
47
5.11 Analysis of Value for Money Paid by the Respondents
49
5.12 Analysis of Recommendations 50
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 3
The Taste of India
ACKNOWLEDGMENT
I would like to take this opportunity to express my since gratitude to all those who
guide me in right direction to complete this report.
I express my deep sincere gratitude to mr…………………. principal of vidyavahini first
grade collage tumkur for his encouragement throughout the course of this study.
I also take this opportunity to thank Prof………….., Head of the Department of
Management Studies for their constant guidance and assistance throughout this study.
I also express my sincere thank to Mrs……………….. lecturer Department of
Management Study, vidyavahini first grade collage , Tumkur, for his constant guidance and
assistance throughout this study.
I also express my sincere thank to Mr. G.D.Trivadi administrative officer of Amul for
giving proper guidance of the project and also thanks to Amul to give me the opportunity for
doing project work.
Last but not the least, I would like to thank my respondents for sparing their precious
time to answer my questionnaire and giving me the valuable information I needed. Finally
my sincere thanks to my parents and to my entire friend to their support and motivation
throughout the project.
T G Ganesh prasad
Reg:……………………….
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 4
The Taste of India
Chapter-1INTRODUCTION:
“Marketing is a total system of business, an ongoing process of:
1. Discovering and translating consumer needs and desires into the
products services (planning and producing the planned products).
2. Creating demand for this product and services (through promotion and
pricing)
3. Serving the consumer demand through planned and physical
distribution) with the help of marketing channels and then I turn.
4. Expanding the market even in the place of keen competition.”
The modern marketer is called upon to set the marketing objectives, develop the
marketing plan, organize the ,marketing function, implement the marketing plan
or programme ( marketing mix) and control the marketing programme to ensure
the accomplishment of the set marketing objectives. The marketing programme
covers producer planning or merchandising, price, promotion and distribution.
In short, modern marketing begins with the customer, not with production
cost, sales, technological landmarks and it ends with the customer satisfaction
and social well-being. Under the market- driven economy buyer or customer is
the boss.
Marketing has been viewed as an ongoing or dynamic process involving a
set of interacting activities dealing with a market offering by producers to
consumers on the basis of reliable marketing anticipation.
Marketing is a matching process by which a process by which a producer
provides a marketing mix that meets consumer demands of a target markets
within the limits of society. The process is based on corporate goals and
corporate capabilities. Marketing process brings together producers and
consumers the two main participants in exchange. Each producer or seller has
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 5
The Taste of India
certain goals and capabilities in making and marketing his products. He uses
marketing research as a tool to anticipate market demand. Then he provides a
marketing mix in order to capitalize marketing opportunity. An exchange or a
transaction takes when market offering is acceptable to the customer who is
prepared to give something value I return against the product so bought.
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 6
The Taste of India
INDUSTRY PROFILE:
Dairy is a place where handling of milk and milk products is done and
technology refers to the application of scientific knowledge for practical
purposes. Dairy technology has been defined as that branch of dairy science,
which deals with the processing of milk and the manufacture of milk products
on an industrial scale.
The dairy sector in the India has shown remarkable development in the past
decade and India has now become one of the largest producers of milk and
value-added milk products in the world.
The dairy sector has developed through co-operatives in many parts of
the State. During 1997-98, the State had 60 milk processing plants with an
aggregate processing capacity of 5.8 million litres per day. In addition to these
processing plants, 123 Government and 33 co-operatives milk chilling centers
operate in the State.
Also India today is the lowest cost producer of per litre of milk in the
world, at 27 cents, compared with the U.S' 63 cents, and Japan’s $2.8 dollars.
Also to take advantage of this lowest cost of milk production and increasing
production in the country multinational companies are planning to expand their
activities here. Some of these milk producers have already obtained quality
standard certificates from the authorities. This will help them in marketing their
products in foreign countries in processed form.
The urban market for milk products is expected to grow at an accelerated pace
of around 33% per annum to around Rs.43,500 crores by year 2005. This
growth is going to come from the greater emphasis on the processed foods
sector and also by increase in the conversion of milk into milk products. By
2005, the value of Indian dairy produce is expected to be Rs 10,00,000 million.
Presently the market is valued at around Rs7,00,000 mn.
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 7
The Taste of India
Milk Production from 1950 to 2020
1950 – 17 million tonnes
1996 – 70.8 million tonnes
1997 – 74.3 million tonnes
(Projected) 2020 – 240 million tonnes
Expected to reach- 220 to 250 mt – 2020
India contributes to world milk production rise from 12-15 % & it will increase up to 30-35% (year 2020)
(GCMMF), which today is jointly owned by some 2.6 million milk producers in
Gujarat, India.
AMUL is based in Anand, Gujarat and has been a sterling example of a
co-operative organization's success in the long term. It is one of the best
examples of co-operative achievement in the developing world. "Anyone who
has seen ... the dairy cooperatives in the state of Gujarat, especially the highly
successful one known as AMUL, will naturally wonder what combination of
influences and incentives is needed to multiply such a model a thousand times
over in developing regions everywhere. ”The Amul Pattern has established
itself as a uniquely appropriate model for rural development. Amul has spurred
the White Revolution of India, which has made India the largest producer of
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 13
The Taste of India
milk and milk products in the world. It is also the world's biggest vegetarian
cheese brand.
Amul is the largest food brand in India and world's Largest Pouched Milk Brand
with an annual turnover of US $1050 million (2006-07). Currently Amul has 2.6
million producer members with milk collection average of 10.16 million litres
per day. Besides India, Amul has entered overseas markets such as Mauritius,
UAE, USA, Bangladesh, Australia, China, Singapore, Hong Kong and a few
South African countries. Its bid to enter Japanese market in 1994 had not
succeeded, but now it has fresh plans of flooding the Japanese markets. Other
potential markets being considered include Sri Lanka.
Dr Verghese Kurien, former chairman of the GCMMF, is recognized
as the man behind the success of Amul. On 10 Aug 2006 Parthi Bhatol,
chairman of the Banaskantha Union, was elected chairman of GCMMF.
A MUL: The origin
The mighty Ganges at its origin is but a tiny stream in the Gangotri ranges of
the Himalayas. Similar is the story of Amul which inspired Operation Flood and
heralded the 'White Revolution' in India. It began with two village cooperatives
and 250 liters of milk per day, nothing but a trickle compared to the flood it has
become today. Today Amul collects processes and distributes over a million
liters of milk and milk products per day, during the peak, on behalf of more than
a thousand village cooperatives owned by half a million farmer members.
Further, as Ganga-ma carries the aspirations of generations for moksha, Amul
too has become a symbol of the aspirations of millions of farmers.Creating a
pattern of liberation and self-reliance for every farmer to follow.
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 14
The Taste of India
T he S tart of a R evolution
The revolution started as awareness among the farmers that grew and matured
into a protest movement and the determination to liberate them. Over four
decades ago, the life of a farmer in Kaira District was very much like that of his
counterpart anywhere else in India. His income was derived almost entirely
from seasonal crops. The income from milch buffaloes was undependable. The
marketing and distribution system for the milk was controlled by private traders
and middlemen. As milk is perishable, farmers were compelled to sell it for
whatever they were offered. Often, they had to sell cream and ghee at
throwaway prices. In this situation, the one who gained was the private trader.
Gradually, the realization dawned on the farmers that the exploitation by the
trader could be checked only if marketed their milk themselves. In order to do
that they needed to form some sort of an organization. This realization is what
led to the establishment of the Kaira District Cooperative Milk Producers'
Union Limited (popularly known as Amul) which was formally registered on
December 14, 1946.
The Kaira Union began pasteurizing milk for the Bombay Milk Scheme in June
1948. An assured market proved a great incentive to the milk producers of the
district. By the end of 1948, more than 400 farmers joined in more village
societies, and the quantity of milk handled by one Union increased from 250 to
5,000 liters a day.
A mul's S ecret of S uccess
The system succeeded mainly because it provides an assured market at
remunerative prices for producers' milk besides acting as a channel to market
the production enhancement package. What's more, it does not disturb the agro-
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 15
The Taste of India
system of the farmers. It also enables the consumer an access to high quality
milk and milk products. Contrary to the traditional system, when the profit of
the business was cornered by the middlemen, the system ensured that the profit
goes to the participants for their socio-economic upliftment and common good.
Looking back on the path traversed by Amul, the following features make it a
pattern and model for emulation elsewhere. Amul has been able to:
Provide a support system to the milk producers without disturbing their
agro-economic systems
Even though, growing with time and on scale, it has remained with the
smallest producer members. In that sense, Amul is an example par
excellence, of an intervention for rural change.
Bring at the command of the rural milk producers the best of the
technology and harness its fruit for betterment
Produce an appropriate blend of the policy makers farmers board of
management and the professionals: each group appreciating its roles and
limitations
Plough back the profits, by prudent use of men, material and machines, in
the rural sector for the common good and betterment of the member
producers and
The Union looks after policy formulation, processing and marketing of milk,
provision of technical inputs to enhance milk yield of animals, the artificial
insemination service, veterinary care, better feeds and the like - all through the
village societies.The village society also facilitates the implementation of
various production enhancement and member education programs undertaken
by the Union. The staff of the village societies has been trained to undertake the
veterinary first-aid and the artificial insemination activities on their own.
DEPARTMENT OF MANAGEMENT STUDIES, VFGC, TUMKUR 16
The Taste of India
Gujarat Cooperative Milk Marketing Federation
GCMMF: An Overview
Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest
food products marketing organization. It is a state level apex body of milk
cooperatives in Gujarat which aims to provide remunerative returns to the
farmers and also serve the interest of consumers by providing quality products
which are good value for money.
Members:13 district cooperative milk
producers' UnionNo. of Producer Members: 2.7 millionNo. of Village Societies: 13,141Total Milk handling capacity: 10.21 million liters per dayMilk collection (Total - 2008-09): 2.69 billion litersMilk collection (Daily Average 2008-09):
7.4 million liters
Milk Drying Capacity: 626 Mts. per dayCattlefeed manufacturing Capacity: 3090 Mts per day
Amul Fresh MilkThis is the most hygienic milk available in the market. Pasteurised in state-of-the-art processing plants and pouch-packed for convenience.
Amul Pasteurised Processed Cheese100% Vegetarian Cheese made from microbial rennet
Amul Cheese SpreadsTasty Cheese Spreads in 3 great flavours..
Amul Emmental CheeseThe Great Swiss Cheese from Amul, has a sweet-dry flavour and hazelnut aroma
Amul Pizza Mozzarella CheesePizza cheese...makes great tasting pizzas!
Gouda Cheese
For Cooking
Amul / Sagar Pure GheeMade from fresh cream. Has typical rich aroma and granular texture. An ethnic product made by dairies with decades of experience.