COMPANY PROFILE

The evolution of Guntur District Milk producers

cooperative Union Limited started with the
generous donation of milk producers of Krishna,
Guntur, and West Godavari districts for the
purchase of 34.46 acres of land at a cost of Rs. 1.5
lakhs during 1973-74. The Guntur District Milk
producer cooperative union Limited was registered
under the AP cooperative society act 1964 in 23-21977 and the management o9f the dairy was
handed over to the elected representatives of the
Union 1-08-1978 with two milk chilling centres at
Narasaraopet and Gurazala by the APDDC limited.

People from all walks of life, the young and the old
women, men and the children of all categories
joined in and a movement had begun. The main
thrust was not in j;ust producing milk but also
giving opportunity to improve the quality of rural
life in all angles.
Milk producers Co-operative societies were
established in the village of facilitating people to
mobilize themselves and interact productive

Societies and now it has 544 member societies and

432 collection centres in the district. The Guntur
milk producers cooperative Union Limited has also
entered in a challenging task of cooperative
societies act 1995 and got registered on 1-2-12997
under the name of Guntur district milk producers
mutually Aided.
Cooperative Union Limited, in 1997 the union
established a new chilling centre at Bhattiprolu and
another at Vinukonda in 1998.
The Union now procuring 2.57 lakh litres per day
on an average and a higher of 2.77 lakh litres
during flash and producing milk products like table
butter, white butter, salted butter, cooking butter,
skim milk powder, wahole milk powder, Ghee,
Dhoodhpeda, lassie, sterilized flavored milk, Mango
drink in spite of selling toned milk. Whole milk and
standardized milk in all the urban areas of the
district and other states of the country through its
renowned brand SANGAM. The union expanded its
processing capacity from 1 lakh litres to 2.5 lakh
litres during operation flood-II and started aseptic
packing stationin the dairy premises and cattle
feed plant in the Vadlamudi itself.

The Union stated its own marketinginthe towns

like Hyderabad, Vijayawada, Tirupati and Chennai
besides supplying milk to distant places like
Nagpur Kohlapur, and Pune.

MARKETING OF MILK IN SANGAM DAIRY MILK

PROCRUREMENT:
The first and the foremost essential role of milk
marketing in the procurement of milk there are
130 milk collecting centres in the area covered in
Sangam dairy nearly about 165 villages are there
which are participating in milk procurement to the
dairy, 1,14,281 people are actively participating in
the milk procurement is above 2 lakh over day for
milk procurement on average.
The main feature in this function of the sangam
dairy is to avoid malpractice wahile procuring the
milk. In order to remove doubts of the electronic
tester which is not only used in the milk producing
areas? The procurement of milk by the sangam
dairy has increased in a rapid way especially
between 1978-98 to a very large extent, Most of

the villages in the area of sangam dairy leaves

taken up to milk procurement as an important
Sangam dairy is one of the Cooperative unions in
India. This cooperative union will have
understanding with other union in every aspect.
The rules of cooperative union also apply to
sangam dairy. Sangam dairy will take the rules of
cooperative union into consideration while
formulating major policies, The market for these
entire products is good. The diary is planning to
enter new markets in future.
PROFILE OF THE ORGANISATION GENESIS AND
PROFILE OF SANGAM DAIRY:
Under the operation floodII of programmed, Guntur
District was sselected to develop dairy activities on
AMUL pattern keeping in view the 3 tier system of
village dairy cooperatives society as village level
managed by the elected representatives of milk
producers cooperative union at district level
managed by the representations of village dairy
people allow cooperative federation at state level
which is apex body.
As a part of this operation floodII programmed, one
feeder balancing dairy has been established at the
village of Vadlamudi for balancing the supply of

milk to Calcutta and Madras cities after meeting

the demands loval. This programmer was
launched initially in the year of 1972 this constitute
a part of national milk grid,(NMG). This feeder
balancing dairy is a milk purchasers cooperative
union originally for Guntur district and
subsequently extended to prakasam district. It has
its main clarifying units at Vadlamudi village which
is in Guntur district,.A number of chilling centers
are spread over the Guntur and prakasam districts.
The Guntur district milk producers cooperative
union limited(GDMPCL) was registered under the
cooperative societies. Act of Andhra Pradesh on
1964 with regd. No. 836 dated 23.2.1977. The
foundation stone was laid down on February 19th,
1974 and plant was inaugurated in 30th August
1977. The dairy was handed over to the Guntur
district milk producers cooperatives union on 1st
August 1978 presently 640 milk producers
cooperative societies and 125 milk collection
centres and functioning in the area of Guntur
district milk producers cooperative union limited.
They are supplying a maximuim quality of 2.2 lakh
litres per day during the flush season. The name of
the sangam dairy is due to the presence of
sangamesawara temple in the village of sangam

jagarlamudi. It is situated very near to this dairy.

The dairy is located in Guntur and near to Tenali.
The quantum of milk collected by the diary stands
at 2.2 lakh litres per country.
FARMERS CONTRIBUTION: Milk production of
Krishna , Guntur, and w
West Godavari district have generally donated for
the purchase of 34.46 acres of land at a cost of Rs.
105 lakhs before initiation of this project during
1993=-94. Further 5 acres of land was purchase for
the location of technical inputs and staff quarters.
OBJECTIVES OF SANGAM DAIRY:
The main objective of the sangam dairy is
procurement of raw milk from village farmers
through cooperative societies (CS) and supply to
Madras and Calcutta cities after meeting and
demand in local.
Besides this main objective, the development
program is undertaken by the same Sangam dairy
are as follows:
QUALITY POLICY OF SANGAM DAIRY:
We shall integrate the milk producers in the coop
fold provide all necessary chemical inputs for
increasing quality milk production. We shall give

price to members to improve their socio economic

condition. We shall achieve excellence by
manufacturing quality milk and milk products with
an aim to ensure consumer satisfaction.

FEED AND FODDER DEVELOPMENT PROGRAMME:

Under this programme a cattle field plant of 100
million tones capacity per day has started
production under the name and style of a SRI
KAKANI VENKATARATNAM CATTLE FEED PLANT.
High quality of balanced fed in the form of pellets
is being produced in the state for the first time and
made available to the goodness on no profit no loss
basis. Price difference to milk producers
cooperative society milk collection centres(MEC).
Rs. 66.27 lakhs are given to milk producers
cooperative societies MCC towards price difference
for the year 1989-90.
10. SALES OF DAIRY PRODUCTS:
Finally the dairy has started milk parlors in some
main towns in Guntur district for the sale of by
products like buffered flavored milk, doodpeda,
ghee, etc, these dairy parlors and eye catching in
summer.

The facatory after meeting all the requirements of

the milk consumers. The surplus milk will be used
for the production of the products like ghee. Butter
milk and other products. The sangam dairy also
involved in producing Mango juice bearing the
brand name Mango magic. Recently they have
launched the production likeMILK, CAKE, PANEER
AND SWEET LASSI.

TECHNICAL INPUTS AND MILK ENHANCEMENT

PROGRAMME:
Various technical inputs to milk producers in a
phones manner for milk production enhancement
program and they are classified as follows:
1.SUPPLY OF MILK TO URBAN CONSUMERS:
The dairy supply double tonned milk to the
urban consumers. Milk is packed in all proof
polythene bags(1/2) with fat and SNM 9% and
supplied to Guntur district and Prakasam
district. Milk is said both morning and evening
through hire trucks with a view to make the
milk available to the major part of the day at
comparatively cheaper rates.
2.PRODUCTION OF MILK PRODUCTS.

This is the only diary manufacturing the table

butter in south India. The VIJAYA table butter is
being marketed by this dairy in the major cities of
the country and has the goodwill of the consumers.
Each product has a separate production sell. All
the machines and equipment are located within the
dairy.
3.ARTIFICIAL INSEMINATION SERVICES;
The dairy having a sperm production centre and is
maintaining 20 murrah bulla for semen every year.
It is running 140 artificial insemination centres at
various society workers after giving training them
in veternairy first and artificial insemination. They
have initiated action of strength the semen
ban;;ks or produce 1,00,000 tones of murah semen
every year from 1993 onwards murrah bull
breeding are also distributed to some of the
societies where there is no possibility of opening
unions and equipment medicines.

Occupation because of momentum givsen by the

sangam dairy, The cooperative system of the
producers has also been based on a degree of
economic equality as indicated to be quantum of
milk supplied by the producers every day.
At present there are 3 per pack machines using
polythene packs for the supply of milk to the
customers on average 40, 000 lists of milk are
being sold per day in 9 towns.
THE MAJOR TOWNS COVERING DISTRIBUTION
ACTIVITIES ARE;
1.Guntur
2.Tenali
3.Mangalagiri
4.Narasaraopet
5.Chilakaluripet
6.Macherla
7.Amaravati
8.Ponnur
9.Bapatla
10. Vinukonda
11. Bhattiprolu.

Officers, Lab information department healed by

director GradeII Senior account and junior
department headed by senior Accounts officers and
his Assistant Accounts officer, lower division
accounts and typists.
Administrative department headed by personnel
officer, welfare officer, Medical officers, and his
assistant are assistant Secretary officer, junior
manager, Assistant dairy manager and cooperative
sub reigester. Typists and record assistant. Etc..
OVERALL MARKETING ACTIVITIES IN SANGAM
DAIRY:
Analysis of procurement: In sangam dairy milk is
collected in two forms through village cooperative
societies and the other through milk collection
centres. The milk producers, cooperative play a
major rolein the procurement of milk.
The milk procurement programme is of three types.
1.Direct procurement
Milk chilling centres
Other district unions.

The procurement of milk largely depends upon a

number of Uncontrollable factors like seasonal
fluctuation in milk production caving Season
seasonal demands in village like festivals
marriages etc.

At village level, managed by the elected

representatives of milk producers, A cooperative
union at district cooperative societies and
cooperative federation at state level which is in
apex body at Hyderabad.
The board of management of the union comprising
of 12 elected board of from the village dairy
cooperative society and 5 exoffcio board of
directorscomprising of one representative from
Andhrapradesh dairy development corporation
federation. Director of animal husbandary, Register
of cooperative societies Representative of financing
agency and a dairy expert, After a brief spell of one
andhelp years the management of the dairy was
handed over to the Guntur district milk producers,
cooperative union limited by the Government of
Andhra Pradesh.
DEPARTMENT IN THE COMPANY;

The production department leaded by production

manager and Assistants are as follows:
Dairy manager, next to Assistant dairy manager
gradeII assistant processing supervisor, Plant
operation Grade I , time keeper,input department
headed by Deputy Director andhis Assitant director
foreman. Processing supervisor, Development
officer, plant chairman, and field supervisor, the
purchase and inventory department headed by
marketing manager andhis assistant marketing
superindentend milk district superintendent leaded
by quality control officer and his assistant quality
control officer Inspector, Quality control supervisor,
Aseptic packaging section department headed by
special officer assistant dairy engineers, quality
control.
TESTING RAW MILK OR PROCURED MILK
The raw milk reception of sangamdairy is capable
of receiving milk form tankers. The milk from
direct routs brought in cans. The milk that received
at the dairy is tested as follows:
1.Organoleptic tests.
2.COB test (clot on boiling test)
3.Acidity test
4.Sodium bicarbonate

5.Temperature
6.The milk, which is positive for COB is not
allowed for processing, The milk, which gives
negative for COB test is posted for processing,
From that sample is taken for fat determination
of SNF.
SALES AND DISTRIBUTION
For the purpose of distribution and sale of milk and
produced by sangam dairy there is a special sales
section chart is follows,
Plant Water: the staff in this section is doing us to
achieve those section goals very enthusiastically,
As a cooperative sector present scale for the staff
of sales section is rational and reasonable . In this
section they are about 52 persons working to fulfill
the activities of the section Channels of distribution
in Sangam dairy.

ORGANISATIONAL STRUCTURE;
Sangam dairy is the first of is kinds of Andhra
Pradesh established in the cooperative sector. This
dairy set up the Anand type pattern. In this setup
the milk producers from cooperative is the village
level. These societies are managed by the elected

representatives. The president of each of the

cooperative union runs the dairy. The members in
the cooperative union elect the directors. These
are nominated directors also. The board comprises
chairman of the board thus this dairy is
established as a three tier system. The three tier
system means village dairy cooperative society.

LIMITATIONS OF THE STUDY

1.Since the research is done using sampling
technique, the date collected may not be
accurate and complete.
2.The data given by the employees are based on
the individual perception.
3.The data collected from the questionnaire is
limited and us confirmed to the questions with
regard to the questionnaire,
4.Newly recruited employees could not complete
the questionnaire in a confident way.

5.The study was based on the information

provided by the employees.
THE DISTRIBUTION OF MILK PRODUCTS IN
VADLAMUDI IS AS FOLLOWS
1.Manufacture----Customer
2.Manufacture----Retailer-Customer
3.Manufacture----wholesale retailer-consumer
4.Manufacture-wholesaler-consumer
5.Manufacturer-agent-wholesale-retailerconsumer.