Ahmedabad: Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF), which markets milk and milk products under the Amul brand, on Tuesday said it has crossed the $2 billion (Rs 8,980 crore) revenue benchmark in fiscal 2011 by achieving a turnover of Rs 9,774 crore.
The farmers’ cooperative body’s turnover in the year rose 22.1% over the previous year, GCMMF said at its 37th annual general meeting in Anand in central Gujarat.
Parthi Bhatol, chairman of the federation that has more than three million farmers as members, attributed the rise in revenue to higher sales achieved in various products.
“Amul butter sales increased 26% in 2010-11, while sales of Amul milk in pouches grew 34%,” he said.
Sales of Amul processed cheese increased 29% during the year. Amul’s sales of its beverages range including flavoured milk, buttermilk and lassi grew 28% over the previous year, while sales of Amul Masti Dahi grew 39%. In the infant milk food category, Amul’s brand Amulspray registered growth of 20% to become a Rs 1,000 crore brand.
“The organization was able to achieve $1 billion turnover in the 33rd year of its formation while it took only just four years to add another $1 billion to its turnover. GCMMF’s turnover has grown at a CAGR (compounded annual growth rate) of 23% during the last four years,” said Bhatol.
During fiscal 2011, GCMMF paid a total of Rs 8,345 crore to its members, up 21% from the previous year. All 13 district member unions under GCMMF paid an average procurement price of Rs 400 per kg of fat in 2010-11 against an average of Rs 337 per kg in the previous year. “Payout to farmers has registered 23% CAGR in last four years,” Bhatol said.
“GCMMF has recently initiated its largest distribution expansion exercise to extend its reach to smaller towns and semi-urban areas. Through implementation of its new ’hub and spoke” model of distribution, the federation plans to appoint 150 new ’super-distributors’ and extend its reach to 3,000 additional smaller towns and semi-urban areas in 2011-12,” Bhatol said.
During 2010-11, 1,000 new Amul Parlours were added, taking the total strength to 6,000.
Bhatol also said that a greater distribution network will help GCMMF to achieve its target turnover of Rs 12,000 crore in the current fiscal year.