| Supply Chain Management at GCMMF |  | 
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 Case Details:
 
 Case Code : OPER057
 Case Length : 14 Pages
 Period : 1991 - 2006
 Organization : GCMMF, AMUL
 Pub Date : 2006
 Teaching Note :Not Available
 Countries : India
 Industry : Dairy Products
 
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 << Previous Introduction Contd...
	
		| 
It had also expanded globally to countries in the Middle East, Africa, and to 
the US. The export earnings of GCMMF were Rs. 1.15 billion in the financial year 
2004-05. 
 GCMMF was owned by a chain of farmers who had formed a network of cooperative 
societies. Milk was collected from more than 2.4 million farmers in 11,615 
villages twice a day, and tested, graded, and transported to the processing 
centers.
 
 GCMMF's products were marketed through 50 sales offices located across 
India to 4,000 stockists. These stockists supplied the products to more than 
500,000 retail outlets.
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 According to Verghese Kurien (Kurien), former Chairman, GCMMF, "Amul is the 
	epitome of a unique model of cooperative development called the Amul 
	Pattern. It is also the spearhead of the cooperative movement in India. It 
	has empowered farmers through skills of procurement, processing, 
	marketing-and more recently of being in direct touch with the customer 
	through retailing. This ensures not only fair returns for milk produced, but 
	also a never before closeness to the market facilitating a real time feel of 
	its pulse."5 
	
		|  | About GCMMF
	The seeds of the cooperative movement, which helped turn India into the 
	largest milk producer in the world by 2000, were sown in 1946 in Samarkha, 
	when a farmers' meeting was called by Morarji Desai (Desai), (who later 
	became the Prime Minister of India) on the advice of Vallabhbhai Patel (who 
	became the first home minister of India). Desai and Vallabhbhai Patel 
	assigned Tribhuvandas Patel (Patel), a local farmer and freedom fighter, the 
	task of organizing the farmers into a cooperative unit. The cooperative 
	found its place in history by becoming the first cooperative milk society in 
	India that went on to break the system of middlemen. |  Earlier, in 1945, the distribution and supply of milk in 
Mumbai (earlier known as Bombay) was managed by Polson Dairy, which obtained the 
milk from Kaira district in Gujarat. Polson gave the milk producers a very low 
price for the milk. Patel encouraged the milk producers to form cooperatives to 
combat the monopoly of Polson Dairy... 
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