Dissatisfied over the present commissions on the sales of Amul milk, the Maharashtra Milk Distributors Association today threatened to stop selling the brand in the city from November 10.
Dissatisfied over the present commissions on the sales of Amul milk, the Maharashtra Milk Distributors Association today threatened to stop selling the brand in the city from November 10.
"Our dealers are getting a commission of 80 paise per litre. We have discussed with them (Amul) to increase our commissions, but they are not prepared to increase it. We have first started with Amul and later on, we will do the same with other dairy companies like Warna and Gokul. From November 10, we will not buy or sell Amul milk in Mumbai and surrounding areas of Thane, Kalyan and Panvel," Thane Milk Distributors Welfare Association (part of the Maharashtra Milk Distributors Association) president Hari Mali told reporters here.
The association wants its commission to be 10 per cent on the maximum retail price (MRP), which is Rs2.90. It also claimed that the commission of 80 paise was the least any dairy company paid.
"Some pay us Rs1.50, while others pay about Rs2. We are demanding a commission of 10 per cent on MRP from all the companies," Mali said.
Amul has been supplying milk in the city since 1994, and sells close to 8 lakh litres a day in the area.
The association had implemented the ban on Amul, 38 days ago in Mulund, a suburban area of Mumbai.
"We are ensuring that the customers are not affected by our movement and we will supply them with other milk brands," Mali said.
However, Amul has a different view on the issue and said that the people threatening to go on strike are not its distributors or retailers.
"None of our distributors or retailers are involved in this. These are third-party people, with no hold in the market who want us to increase the prices, which, we are not agreeing to do. If we pay them 10 percent commission, then we will have to increase the milk prices by Rs3. The margin that we have is as per the market. In fact, in Mumbai, the margin is more," Gujarat Co-operative Milk Marketing Federation (Amul) Managing Director RS Sodhi told PTI.
"Our profits will not be hit due to these activities.Last week we had record sales in Mumbai," he added.
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