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Aanchal Project

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A Project Report On

Sales & Distribution in Dairy IndustryWith special reference to Aanchal products

SUBMITTED FOR:The partial Fulfillment of the requirement for the Degree of the Master of Business Administration of Uttaranchal Institute of Technology, DehradunSUBMITTED BY:Bhupendra Singh Rajwar

SUPERVISOR:Dr. Saurabh Joshi H.O.D. Management

UTTARANCHAL INSTITUTE OF TECHNOLOGY, DEHRADUN

(Affiliated to Uttarakhand Technical University, Dehradun)

ACKNOWLEDGEMENTI take this opportunity to express my gratitude to the management of Nainital, Dugdh Utapadak Sahakari Sangh Ltd. Lalkuan for providing me the opportunity to get an exposure of their esteemed unit. I am sincerely thankful to the Circulation department for coordinating my training and explicitly express my thanks to Mr. Prahlad Singh Haldwani (Nainital) and all the officers at Circulation Department for there continued help and guidance during my stay there. Last but not the least, I express my deep gratitude to my Faculty, Dr.Saurabh Joshi for his valuable guidance.

I also express my thanks to parents and all family members and friends who directly or indirectly provide me their moral support.

(Bhupendra Singh Rajwar)

STUDENT DECLARATIONThis project has been undertaken as a partial fulfillment of the requirement for the award of degree of MBA, Uttaranchal Institute of Technology.

The project was executed during the summer break after the Second semester under the supervision of Dr. Saurabh Joshi.

Further, I declared that this project is my original work and the analysis and the findings are for academic purpose only. This project has not been presented in any seminar or submitted elsewhere for the award of any degree or diploma.

(Bhupendra Singh Rajwar) Signature

CONTENTS Chapter - 1Introduction- Objective of the study - Scope of the study - Limitation of the study

-

Research methodology

Chapter - 2About Dairy Industry Company Profile- Sales Management - Growth Development - Function of Channel of Distribution - Marketing Strategy

Chapter - 3- Data Analysis

- Summary Of Finding Chapter - 4- Suggestion

Chapter - 5- Conclusion

Biblography Questionnaire

Chapter - 1Introduction1 Objective of the study 2 Scope of the study 3 Limitation of the study 4 Research methodology

INTRODUCTIONIndia is the leading milk producer in the world and the dairy cooperatives are the backbone of Indian dairy industry. This study has analyzed the inefficiencies existing in improving milk production, procurement pattern, marketing channels, and price spread of a dairy cooperative, Uttaranchal Cooperative Dairy Federation Ltd (UCDFL), also known as Anchal in the Kumaun region of Uttarakhand and has proposed a model for eliminating these inefficiencies. It has been found that UCDFL is focused mainly on liquid milk marketing and has not adopted product diversification, which is the need of the day. Nainital and Almora districts of Kumaon region have been selected for the study; these cover almost 40 per cent of cattle population in the division, except Udham Singh Nagar. It has been found that due to insufficient margins, the number of agents working for other private dairies has increased. Different marketing channels for milk have been identified and price spread has been calculated for all the channels. Lack of business development services related to dairy industry has been found leading the farmers to disassociate from Anchal. The study has suggested that Anchal should evolve a definite policy with regard to procurement of milk in both lean and regular periods and to sustain its members, incentive package should be provided. Anchal should find ways to

establish fodder banks at strategic locations for providing fodder during emergencies and periods of fodder scarcity. Local sale of milk at the society level should be encouraged to increase the popularity of Anchal brand. Nainital, Dugdh Utapadak Sahakari Sangh Ltd. Lalkuan as on today, is the biggest National Daily across all products in Uttaranchal, Uttar Pradesh and Delhi with a phenomenal readership of consumers. Nainital, Dugdh Utapadak Sahakari Sangh Ltd. Lalkuan have a head office in Haldwani and many District Cooperative Unions engaged in milk production, procurement, processing and marketing in surrounding areas. Small dairy for satisfying the people of Uttaranchal conducting regular researches and needs are registered and interesting to know the customers feedback from dairy products. I am taking the study because The study is helpful to understand customers expectations from a complete range of dairy products and to know that how is defying the other dairy products to Aanchal? What modifications required in the current strategies in order to make it stronger in market? And what the customers of dairy products want from a complete dairy in market. Before the cooperative movement began, middlemen who supplied milk to the consumer were exploiting the dairy industry in the

Uttaranchal. It began as a response to this exploitation and put an end to it. It grew because it responded to the farmers financially as well as with

services. It has thrived because farmers who have a stake in its success own it. And because it has been managed by capable professionals and strengthened by dedicated scientists, technologists and workers, it has forged ahead. Today in India, there are 75,000 dairy cooperative societies, spread all over the country with a membership of 10 million. The farmer in the village is now assured of a better future thanks to these cooperatives. Recently one of the European Embassies in Delhi requested us for information on the five biggest "companies" in the dairy business. The first three are in the cooperative sector.

OBJECTIVES OF STUDY

There are many objectives of this topic under this project. Some are as follows:1. First and foremost objective of this study is to know the distribution system of AANCHAL industry. 2. To study the perception and problem of retailers and suggest method to motivate them. 3. To study the level of awareness among consumers about AANCHAL milk and its other products.

SCOPE OF THE STUDY1. At present this study may be helpful in getting the knowledge of distribution system and all the selected facts. 2. We get the chance to know the packing and selling concept of the milk and its product and how it can be made available into the market to the consumer. 3. It is to know Indian market and its environment give us the chance to know to know the environment of the company.

LIMITATIONS OF THE STUDYFollowing are the limitations which we deem in the course of the project: 1. Inadequate time to complete the project. 2. Beside Aanchal others are unorganized it is very difficult to cover the data in this time limit. The data collected is not very extensive to draw an accurate conclusion

SAMPLE SIZE The survey was conducted among 150 peopleSample unit:

150 peopleSampling method:

Random sampling

PERIOD OF STUDY The period of study was of 7 weeks and survey was conducted for 10 days starting from 1st July 2011 to 10th july 2011.

Research MethodologyThe research design used for the present study is exploratory research. The tools used for data collection were questionnaires and personal interviews. Internet was used as a source for secondary data. The study considered customer base as well as organization base questionnaires and our sample was 150.

SECTOR & PLAYERS Sector chosen for the study is Dairy & F.M.C.G. Retailer. Under this head we are concerned with Aanchal & remaining players of supply. INFORMATION SOURCES Sources of data collection can be divided into two parts: (1) PRIMARY DATA (2) SECONDARY DATA

To collect the primary data the method used is: (i) Questionnaire is used for data collection

To collect the secondary data the method used is: (i) Books (ii) Journals of Aanchal (iii) Newspaper

Chapter IICompany Profile 1 History Sales Management 2 Growth Development 3 Function of Channel of Distribution Marketing Strategy

About Dairy IndustryToday, India is 'The Oyster' of the global dairy industry. It offers opportunities galore to entrepreneurs worldwide, who wish to capitalize on one of the world's largest and fastest growing markets for milk and milk products. A bagful of 'pearls' awaits the international dairy processor in India. The Indian dairy industry is rapidly growing, trying to keep pace with the galloping progress around the world. As he expands his overseas operations to India many profitable options await him. He may transfer technology, sign joint ventures or use India as a sourcing center for regional exports. The liberalization of the Indian economy beckons to MNC's and foreign investors alike. Euromonitor International's Dairy Products in India report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.

Company ProfileThe history of Nainital, Dugdh Utapadak Sahakari Sangh Ltd. Lalkuan can be traced back to 1948. Organization first started its operations in year 1949; initially organization preceded just 611-liter milk with the help of seven societies per day and its sale was 376-liter milk per day. At present time organization is selling nearly 30865 liter milk per day. The reason for this impressive growth can be attributed

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