Despite odds, dairy co-op titan Gujarat Co-operative Milk Marketing Federation (AMUL) has achieved a turnover of Rs. 38,550 crores with 17% growth in the financial year ending yesterday which is 31st March, 2020.
Ahead of several corporates when it comes to observing professional standards, the dairy major was ready with its yearly calculation dot on time, surprising many.
It bears recall that GCMMF’s annual turnover was Rs 33,000 crore in the last financial year ending March, 2019. The cooperative aims to raise it to 1 lakh crore in the next few years. “This year’s growth of 17% has given us confidence that we can perform despite several odds”, said GCMMF MD R S Sodhi.
In a press release sent by the it Wednesday evening the GCMMF said “Gujarat Co-operative Milk Marketing Federation Ltd., which markets the popular Amul brand of milk and dairy products has registered a provisional turnover of Rs. 38,550 Crore for the financial year 2019-20 which ended on 31st March 2020.”
“The sales turnover achieved by Amul Federation is 17% higher than the previous financial year’s turnover of Rs. 32960 crore”, said GCMMF MD R S Sodhi on the phone to Indian Cooperative as soon as the accounts were ready to go to press.
Amul Federation has been achieving a Compound Annual Growth Rate (CAGR) of more than 17% since last 10 years because of higher milk procurement, continuous expansion in terms of adding new markets, launching of new products and adding new milk processing capacities across India.
The provisional unduplicated group turnover of Amul Federation and its 18 member unions has crossed Rs. 50,000 crore which is also 17% higher than the last year, Sodhi stated.
The 18 member Union of Amul Federation has farmer member strength of more than 36 lakh across 18,700 villages of Gujarat, the MD underlined.
It is important to note that Amul Federation has achieved turnover despite adverse market conditions for dairy products at the national and international levels, Sodhi said.
Readers may be aware that GCMMF’ owns the Amul brand that sells products like butter, ghee, yoghurt, butter milk, lassi, flavoured milk and chocolates. Sodhi says he himself is a strong proponent of the idea of a continuous business diversification.
Sodhi said dairy sector claims a significant part of food industry in the country counting around $ 100 million and the 9 crore litre produced in organized sector may go up to 30 crore litre in a few years from now.
Amul had launched several cold beverages the company recently to help it achieve its high business goals.