Amul posts highest-ever growth rate of 32% in FY14

Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF), which sells its products under the brand name Amul, has posted its highest-ever growth since its inception four decades ago by clocking a 32 per cent rise in turnover to Rs 18,150 crore, as per a company statement.

GCMMF, which aims to achieve sales turnover of Rs 30,000 crore by 2019-20, has crossed Rs 26,000 crore turnover including unduplicated sales of member unions, 37 per cent higher compared with the previous fiscal.

It has been clocking value growth of over 20 per cent over the last five years, supported by higher milk procurement, continuous expansion in terms of adding new markets and launch of new products.

“We have achieved volume sales growth in all product categories. Pouch milk, which contributes around 45 per cent of sales turnover, has shown volume growth in double digits,” said RS Sodhi, MD of GCMMF.

Further, he informed that GCMMF exported milk and milk products worth Rs 525 crore during 2013-14 against Rs 140 crore during 2012-13.

Apart from pouch milk, dairy products like Amulspray, butter and ghee have also crossed sales value of more than Rs 1,000 crore and other categories like Amul long-life Ultra High Temperature (UHT) milk and Amul Fresh cream have also grown by 40 per cent.

GCMMF, which has total own milk processing capacity of 230 lakhs litres per day, has recently started six new branches in India to market milk and milk products.

Dairy has been a fairly hot sector and early this year Groupe Lactalis SA, the world’s-largest dairy player by revenue, entered the market with acquisition of one of the country’s top private dairy company Tirumala Milk Products Pvt Ltd from its founders and private equity major The Carlyle Group.

Various other dairy firms—including Dodla Dairy, Parag Milk Foods, Modern Dairies and Prabhat Dairy—have raised private equity capital over the last two-three years.

(Edited by Joby Puthuparampil Johnson)

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