Amul turnover crosses Rs 29,200 cr in FY18

The Gujarat Co-operative Milk Marketing Federation (GCMMF), which sells milk and dairy products under the brand name Amul, crossed Rs29,220 crore in sales for the year 2017-18, an increase of 8% over the previous year's Rs27,085 crore.

Amul has recorded compounded annual growth rate of 18% in the past eight years, but the sales growth was lower in the last year due to the 60% decline in commodity sales on account of depressed market conditions in the global and local markets.

The co-operative major said that provisional group turnover of Amul brand crossed Rs41,000 crore for the year, which was 10% higher than the last year.

"Our branded consumer products have registered a growth of 14% over previous year with various products such as cheese, butter, milk beverages, cream, and dahi growing at 20-40%," it said.

Amul Federation's managing director RS Sodhi said that they achieved strong growth in all product categories during the year.

"Pouch milk, which is the highest turnover product, showed double digit value growth. Our dairy products such as cheese, butter, milk beverages, paneer, flavoured milk, paneer and fresh cream also had double digit value growth," Sodhi said, adding that Goods and Services Tax (GST) has had a positive impact on their business, and they are committed to achieve sales turnover of Rs50,000 crore by 2020-21.

Amul Federation has 18 member unions, which have more than 36 lakh farmer members across the state. The average milk procurement from these farmers was 211 lakh litre per day, which was 20% higher than the previous year. Amul said that it passes on 80-85% of the money back to its members.

The Federation's chairman Ramsinh Parmar said that Amul plans to enhance its milk processing capacity from the existing 320 lakh litre per day to 380-400 lahk litre in the next two years.