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CHAPTER -3 Dairy Industry

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CHAPTER -3

Dairy Industry

74

DIARY INDUSTRY IN INDIA

Many Indian people start their day with a cup of tea and a glass

of milk as an essential item of their daily life. In India, milk business is

a very old business. Dairy Business adopted modern concept in 1970

with the help of the National Dairy Development Board through the

Operation Flood Plan. In the first phase of this plan ten states were

selected on population wise.

Our country is at the first rank in production of milk. But in the

field per capita availability of milk we are much behind. In America

per capita availability of milk is almost 900 gm., whereas in India it is

almost 200 gm. The ideal average per capita availability of milk should

be at least 250 gm.1

Indian dairy is emerging as the sunrise industry and contributing

significantly in generating small and marginal farmers of India,

besides providing food security.

India is blessed with huge bovine population of 196 million

cattle and 80 million buffaloes accounting for 51% of Asia and

19% of world bovine population the largest in the world.2

Milk ion in India increased from 20 million tonnes to 70 million

tones from 1970 to 1999 which accounted for 20% of the world's

milk production and stood first in the world's milk production

and registering an annual growth rate of 5% per year.

1 H. Mathur , "Indian Dairying : Prospects and Opportunities”, Dairy India (2007) pp. 43-49.2 K.G. Karmalar, and G.D. Banerjee,: "Opportunities and Challenges in the Indian Diary Industry”

Technical Digest, Issue No. 9, pp 24-27

75

India dairy industry generates an annual business of nearly Rs.

88,000 core.

Dairy sector provides regular employment to 9.8 million people

in prima status and 8.6 million people in subsidiary status, which

together constitute 5 percent of the total work force.

The dairy infrastructure now comprises 23 states federations,

170 District milk unions and around 1,00,000 village

cooperative societies, through which rural milk production and

procurement system have been effectively linked to urban

market consumption centre.

Of every 100 liters of milk produced, 44 liters were retained by

the rural fold and 56 liters were the marketable surplus for the

urban area. Of which only 10 litters were handled by the

organized cooperative sector and the remaining by traditional

sectors.

The Operation Flood I and II brought of 1982 the milk

revolution in the country by dairying into a core economic

activity. The main challenges before the Indian dairy sectors

were to improve the quality, develop international accepted

products and step up global marketing strategy.

The future of Indian dairy industries has been promising, since

its delicensing in 1992, the interest of multinational company

and Indian corporate growing and the industry's growth potential

76

was high as there was sufficient domestic demand and good

scope for export of milk and milk products.

India is emerging as one of largest and fastest growing consumer

markets in the world with high income elasticity of demand of

dairy products. Indian dairy is energy efficient, labour intensive

and ecologically sound.

Over 80% of milk sold in urban and semi urban areas is non

pasteurized from unorganized sector. The overall market for

liquid milk is growing at the rate of 4% per annum.3

Similarly, in Rajasthan, there is a cooperative federation known

as the Rajasthan Co-operative Dairy Federation (RCDF) which

provides milk to the whole of Rajasthan with the help of dairy

unions, established in the different parts of the state.

Co - Operative Unions:-

Recently the Indian Cooperative Movement got a much needed

facelift. With competition snapping at its heels, the sector which has

been governed by arcane laws until the recent past will see a special

provision inserted in the Companies Act, 1956. All the cooperative

unions would be renovated cooperative companies; they will come

under the purview of the Registrar of Companies, instead of the

Registrar of Cooperatives.

3 Ashish Keshav Lal Makwana, Dairy Plant Management, (Delhi : Bricks Publication ISBN,2011) p.1

77

Dairy cooperatives account for the major share of processed

liquid milk marketed in the country. Milk is processed and marketed

by 170 milk producers' cooperative unions, which federate into 15 state

co-operative milk marketing federations.

The Dairy Board's programmes and activities seek to strengthen

the functioning of dairy cooperatives, as producer-owned and

controlled organizations. NDDB supports the development of dairy co-

operatives by providing them financial assistance and technical

expertise, ensuring a better future for India's farmers. Over the years,:

brands created by cooperatives have become synonymous with quality

and value. There are the Brands like Amul (GCMMF), Vijaya (AP),

Verka (Punjab), Saras (Rajasthan).

Nandini (Karnataka), Milma (Kerala) and Gokul (Kolhapur) are

among those that have gained customer's complete confidence.

Some of the major dairy cooperative federations include:-

Andhra Pradesh Dairy Development Co-operative Federation Ltd

(APDDCF)

Bihar State Co-operative Milk Producers Federation Ltd

(BSCOMPF, Patna)

Gujarat co-operative Milk Marketing Federation Ltd (GCMMF)

Haryana Dairy Development Cooperative Federation Ltd. (HDDCF)

Himachal Pradesh State Cooperative Milk Producers Federation

Ltd (HPSCMPF)

78

Karnataka Cooperative Milk Producers Federation Ltd (KMF)

Kerala State Cooperative Milk Marketing Federation Ltd

(KCMMF)

Madhya Pradesh State Cooperative Dairy Federation Ltd

(MPCDF)

Maharashtra Rajya Sahkari Maryadit Dugdh Mahasangh

(Mahasangh)

Orissa State Cooperative Milk Producers Federation Ltd (OMFED)

Pradeshik Cooperative Dairy Federation Ltd (UP) (PCDF)

Punjab State Cooperative Milk Producers Federation Ltd

(MILKFED)

Rajasthan Cooperative Dairy Federation Ltd (RCDF)

Tamilnadu Cooperative Milk Producers Federation Ltd (TCMPF)

The Dairy Cooperative Network:-

Includes 170 milk unions

Operates in over 338 districts

Covers nearly 1,0)8574 village level societies

Is owned by nearly 12 million farmer members

Apart from making India self sufficient in milk, these dairy co-

operatives have established our country as the largest milk-producing

nation in the world.

79

THE CO-OPERATIVE SECTOR (Anand Pattern)

The starting of cooperative dairying in India can be associated

with the establishment of Kaira Cooperative at Anand (now popularly

known as AMUL) in Gujarat in January 1946. The cooperative

dairying is also referred to as Anand pattern. Anand pattern is a

successful formula developed by Shri Tribhuvandas Patel which is

adopted by the farmers of Kaira district of Gujarat to collectively

procure, process and market their surplus milk. Anand pattern, grew

out of exploitation of milk producers by Polson Dairy. Anand pattern is

a system that is collectively owned, operated and controlled by milk

producers. It ensures a remunerative price of raw milk to the milk

producers and high quality milk and milk products to the consumers. It

aims at utilization of resources in the most profitable manner at all

stages of milk production, processing and marketing. The

maximization of profit and production through cooperative effort is the

motto of the Anand pattern.

Three Tier Structure

1. The Village Society: Milk producers formed the Anand pattern

village Dairy Co-Operative Society (DCS). Any producer can become

a DCS member by buying a Share and committing to sell milk only to

the society. Each DCS has a milk collection centre where members

take milk everyday. Each member's milk is tested for quality with

payments based on the percentage of Fat and SNF. At the end of each

year, a portion of the DCS profits is used to pay each member a

patronage bonus based on the quantity of milk poured.

80

2. The District Union: A District co-operative milk producers union

is owned by dairy co-operative societies. The union buys all the

societies' milk, then process and markets fluid milk and products.

Most of the unions also provide a range of inputs and services to

(DCS)s and to their members for. Cattle feed, veterinary care,

artificial insemination to sustain the growth of milk production and

the co-operatives business. Union staff train and provide consulting

services to support DCS leaders and staff.

3. The State Federation: The Co-operative milk producers unions in

a state form a state federation which is responsible for marketing

the fluid milk and products of member unions. Some federations

also manufacture feed and support other unions' activities.

Source : www.nddb.org.

81

The Anand pattern is an integrated structure that procures,

processes and markets produce supported by professional management.

Producers decide their own business policies, adopt modern production

and marketing techniques and receive services that they can

individually neither afford nor manage. The Anand pattern in their own

development through co-operatives where professionals are producers.

The Institutional infrastructure of village co-operative is dairy and

cattle feed plants. State and national marketing are owned and

controlled by farmers. Anand pattern co-operatives have progressively,

linked producers directly with consumers.4

The Co-Operative Movement prevailed in India well before

Independence, but the Co-operative Movement that started at Anand in

1946 under the leadership of Sardar Patel and Morarji Desai was unique

in its nature. This was so because it was to benefit not only the farmers of

Kheda District of Gujarat but also others. The motivating factor behind

such a movement was exploitation of the farmers by private Dairy

(Polson Dairy) at Anand who would purchase milk during plush season at

thrown way prices. Even the founders of Anand milk union (Annual)

might have not thought that their experiments at Anand would be

replicated not only in the rest of the state but also the country as a whole.

It has also evoked interest from abroad when started in 1946. Anual

started collecting there 250 liters of milk per day Today, it is the biggest

dairy plant in Asia collecting and processing on an average more than 800

lakh liters of milk per day (Pent 10.0) lakh liters per day.

4 Ashish Keshav Lal Makwana, Dairy Plant Management Bricks (Delhi : Publication ISBN,

2011)p. 13

82

While visiting the Anand milk union the then Prime Minister

Shri Lal Bahadur Shastri was so fascinated by the benefit of Anand

Pattern of milk collection that he asked Dr. Kurien to set up Anand

replica in the rest of the country. The result was the setting up of the

National Dairy Development Board with Head Quarters at Anand.

Since its inception NDDB has been the Nodal Agency for Dairy

development in the country through creating infrastructure for milk

collection. In processing and marketing, the Anand pattern has became

so popular that it has evoked interest from abroad and countries like

China, Sri Lanka and Nepal have shown interest in implanting the

same in their countries.

The Anand pattern is a two-tier system with the primary milk

producers, co-operative Society at the village level and the milk

producers union at the district level. The members pool their milk in

the societies both in the morning and evening and are paid on the basis

of the fat content of the milk. In addition to the regular payment for

milk, the producers annually receive a share of the profit earned by

their society as bonus in proportion to the transaction each member has

had with the society. The societies receive a major share of the Net

profit earned by the union as bonus. The attraction of the Anand

pattern is its very system which enables the farmers not to derive direct

benefits from their co-operative but also to place before the federated

union their grievances, demands and suggestions.

There is autonomy in the Administration, with least Government

interference. Each milk co-operative functions under an elected board

83

of management. Though this elective process, the villages learn to lead

wisely with honesty, diligence and with a practical concern for the

interest of the milk producers and incidentally a strong foundation for a

Genuine Democracy is there. Co-operatives thus practise Democracy

by living it.

Another specialty of the Anand pattern, of course, is the bye-

laws which, among other things stipulate that only the farmers who

own cattle shall become members. That cuts down chances of mischief

mongers creating havoc with it. Without having any stake in its future.

Yet another secret of the Anand pattern is its pricing, payment,

procurement and production policies. The payment to the producers for

milk is strictly on the basis of the fat content, which attracts and

encourages quality milk supply to the co-operative.

The organizational structure for dairying in the past had

developed bureaucratically from top down, rather than from village up.

That structure did not know the farmers and was therefore unable to

respond to his needs and guard his interests. The Anand pattern in

contrast put the instruments of rural development in the hands of the

farmers and that made all the differences.

The milk co-operatives have not only created certain positive

impacts on the economy of the milk producers but also have made

them realize such impacts to a larger extent. The milk co-operatives are

not viewed by milk producers merely as milk collection centers where

they go for disposing of their surplus milk, but they are regarded as

84

institutions, which play a vital role in uplifting the rural economy in

general and that of the milk producers in particular.

Dairy Industry in Rajasthan

Co-operative Dairy Federation (RCDF) :

Dairy Development was initiated by the State Government in the

early seventies under the auspices of (RSDDC) Rajasthan State Dairy

Development Corporation Registered in 1975. Two years later RCDF

assumed responsibility for many of the functions of RSDDC. It became

the nodal agency for implementation of operation flood in the state.

Rajasthan Cooperative Dairy Federation (RCDF) set up in 1977

as the implementing agency for dairy development programs in

Rajasthan was registered as a society under the Rajasthan Cooperative

Societies Act, 1965.

The district level milk producers unions have, in turn been

federated in their apex body popularly known as Rajasthan Co-

operative Dairy Federation Limited (R.C.D.F.) RCDF Ltd is situated

at. "Saras Sahkul" Jawahar Lal Nehru Marg, Jaipur. Management of all

the dairy plants, chilling Centers and cattle - feed compounding

facilities and management of exotic nucleons cattle breeding farm at

Bassi (Jaipur) are entrusted to this organization. It is responsible for

planning. Coordination and implementation of dairy development

program in the state. The success of project depends on well-planned

and organised systems of milk procurement, when the procurement

85

system is not well established the dairy plants remain underutilized at

various occasions during the season.

Organization is regarded as the mechanism through which many

operate. This represents a structure as well as a process. As a structure

organization is the network of horizontal and vertical dimensions

designed to accomplish common objectives it is a systematic

combination of people, functions and facilities, all working together to

accomplish some desired purpose. As a process, organization is

considered as a function of management; it is the dynamic process of

creating harmoninious relations. It involves divisions of work into

appropriate specialized units and assigning authorizing and

responsibility to individuals and groups. There is a three-tier structure

of milk co-operative in Rajasthan Dairy Co-Operative Societies (DCS)

at village level dairy co-operative unions at district/regional level and

Rajasthan co-operative dairy Fed. Ltd. at the state level. All these

societies and unions are working under the overall supervision of the

RCDF Ltd. As per the bye-laws of the federation. There is a Board of

directors to carry out and mange the affairs of the federation. The

constitution of the board of directors is as follows:

1. Nine members are to be elected amongst the chairman of

affiliated unions.

2. Registrar, co-operative societies, Rajasthan

3. Two nominees of the state government (Secretary Dairy

Development and Secretary finance).

4. One nominee of the financing agency (IDC).

5. Managing Director of the Federation as ex- officio member.

86

6. Every year the first board meeting elects the chairman amongst

themselves. The chairman continues to hold office till New

Chairman is elected as per the bye - laws. All the members of

the board including the chairman of the federation are honorary.

Objects of RCDF Ltd. :-

The ultimate object of the establishment of dairy federations was

to promote the interests of the milk producers through dairy

development on co-operative lines. Initially 28 objects were decided at

the time of establishment out of them, some major objectives and aims

are to,

1. undertake surveys for assessing potentials of milk production in

any area of the state;

2. formulate and co-ordinate schemes for the development of dairy

cattle and dairy industry and set-up dairies and plants to

manufactures of milk products;

3. formulate and co-ordinate schemes for the development of dairy,

cattle artificial insemination and feed-mixing plants on behalf of

the milk unions;

4. plan overall products as programmes of the federation and its

members;

5. formulate and implement dairy development schemes as may be

directed by the government from time to time;

6. promote the infrastructure for taking up programme of dairy

development, milk, products, marketing of dairy products, cattle

feed and other inputs etc;

87

7. Purchase or assist milk unions in purchasing various materials,

plants and equipment etc. and manufacture and enter into

collaboration for the same;

8. arrange for the marketing of the dairy products of the federation;

9. prescribe and enforce standards of quality of the dairy products to

be marketed by the federation;

10. work as administration of milk unions in the event of their super

sessions;

11. advise and assist milk unions in financial, managerial,

administrative, technical and allied matters and enter into any

agreement with them;

12. arrange training programmes for the staff of the federation milk

unions and farmers;

13. carry out activities for promoting production, procurement,

processing and marketing of milk and milk products for the

economic development of animal husbandry/ farming

community;

14. make development and expansion of such other allied activities as

may be conducive to the promotion of the dairy industry,

improvement protection of milch animals and economic

betterment of those engaged in milk production;

15. build the organise and provide technical inputs;

16. erection of Dairy, chilling plants, cattle feed plants for unions;

88

17. study the problems of mutual interest of the Federation and milk

unions;

18. impart training and orientation to dairy co-operative members;

19. advise, assist and guide milk unions;

20. undertake audit and accounts supervision; and

21. to encourage fodder production etc.

To promote the infrastructure for taking up the program of dairy

development, milk production, milk processing, manufacturing of milk

products, marketing of dairy products, cattle feed and other inputs etc.

and run the diary plants. It manages the marketing of milk products and

cattle feed and also co-ordinates various other dairy development

activities.

As per the policy decision taken by the state Government to pull

RCDF out of Red, which was suffering from accumulated losses of Rs.

43.0 crore till March, 1991.

Sources : Progress Report of RCDF, 2009 to 2014

89

ORGANIZATIONAL STRUCTURE OF FEDERATION

As narrated in this chapter, there is a three-tier structure of milk

co-operative viz. co-operative societies (DCS) at village level, dairy

co-operative unions at District/regional level and co-operative dairy

federation at state level. All these societies and unions are working

under the overall supervision of the Federation.

Three Tier Structure

The dairy co-operative movement operates on three tier system

wherein farmer members own dairy co-operative societies (DCS)

which own district milk producer's union. The unions collectively own

the RCDF.

It is a vertically integrated structure that establishes a direct

linkage between those who produce the milk and those who consume

it.

Federation- Provides service and support to unions. Marketing within

and outside state, Liaison with government and NGO agencies,

mobilisation of resources and coordinating and planning programmes /

projects.

Union - Develops village milk cooperative network, procures milk

from DCS, processes and markets. Sale of cattle feed and related

inputs, promotion of cross breeding through AI and NS, promotion of

fodder development and general support and supervision to DCS.

DCS - Provides input services (AH, AI) to its members and

procurement of milk.

90

RCDF, Organization Structure

Source : www.rcdf.com

RCDF- Working Plans and Schemes

RCDF has 18 Dairy plants with processing capacity 0f 19 LLPD

and 65 MTPD Powder Plant at 6 Milk Unions.

RCDF has set up 27 chilling centers with a capacity of 6.30 lac

kgs. per day in the areas where processing plant is not available.

18 ice factories with a capacity of5.1 lac litre per day are hired

as an alternative facility for chilling in the areas where chilling

plant facility is not available.

1319 BMCs installed at village level with chilling capacity of

23.10 lac ltr. Per day.

91

Growth in milk procurement - 15% Marketing - 10% per

Annum.

4 Cattle feed plants with total capacity of 600 metric tons per

day has been set up in order to fulfil the rising demand of the

milk producers.

Capacity of all 4 cattle feed plants' are being increased from

600MTPD to 1200 MTPD per day with investment of Rs. 40.00

crores.

Setting up of a new Cattle feed plant capacity 150 MTPD each at

Bhilwara and Pali under progress.

2,15,184 metric tons of cattle feed has been distributed in the

year 2012-13 to the milk producers. Upto Dec 2013 1,67,718

metric tons of cattle feed has been distributed to the milk

producers.

To increase the working potential of the milk producers and the

cooperatives RCDF has also initiated the training facilities at the

7 different districts of the state.

Establishment of centralized quality control laboratory at the

head office to ensure the compliance of the parameters set by

various food laws like AGMARK, ISI, PFA ,FASSAI etc. has

been a notified step by RCDF towards quality check.

92

Apart from the above milestones, there are different schemes

being implemented by the Dairy Federation under Central Government

Sponsored Plans. The list includes the following:

(a) Integrated Dairy Development Program (IDDP being running

successfully in the 9 districts of the state.

(b) Swachh Dugdha Utpadan Yojna in the 10 different districts of

Rajasthan state.

(c) Various projects of Milk collection and processing, Bulk Milk

Chilling Plants and infrastructure development have been taken

up with the assistance received under the Rashtriya Krishi Vikas

Yojna.

(d) Women Dairy Project has also been taken up for upliftment of

social and financial status of women in the state.

Also there are schemes being operated by the federation for the

welfare of the milk producers namely,

(a) Saras Suraksha Kawach

(b) Saras Samuhik Aarogya BeemaYojna

Also RCDF is also working for the betterment of the cooperative

sector by providing different financial packages to the people below

poverty line, by giving different types of subsidies and reimbursement

of damages to the milk producers under scheduled caste and schedule

93

tribes class. It is also providing financial management services to the

all the 21 milk unions of the Rajasthan state.

To provide prompt grievances redressal services to the producers

as well as consumers, RCDF has also established a 24 hours helpline

centre.

Sources : Progress Report of RCDF, 2009 to 2014

ACTIVITIES

1. Marketing

The marketing activities of the Federation include providing

support to the Milk Unions in milk and milk products marketing,

within and outside the State. RCDF is presently marketing milk and

milk products under Saras brand :

Fresh milk of different compositions and long shelf life Tetra

Pak Milk is being marketed in rural and urban areas. The Federation is

a major supplier of Tetra Pak Milk (UHT) to the armed forces.

94

RCDF is also marketing various fresh milk products in Saras

brand, which are, Chhachh, Lassi, Shrikhand, Flavoured Milk, Paneer

and Dahi. Long life products such as Cow ghee, Ghee, Table

Butter, Skimmed Milk Powder and Tetra Pak Milk (Taza Milk and Fit

and Fine) are also being marketed.

Saras Milk Parlours serving a complete range of milk products

are operational at 554 points and there are 18,880 booths and shop

agencies in Rajasthan.

Sources : Progress Report of RCDF, 2009 to 2014

2. Technical Input

In addition to the provision of regular and remunerative

market for milk to the farmers, the dairy cooperative development

programme also provides input and services for promoting animal

health and production enhancement of milch animals

95

A. Animal Health Programme (AH) :

Veterinary services like the first aid, medical treatment and

vaccinations are being provided to the members by the milk

unions. First aid is provided at the village at the DCS.· Regular

scheduled services are provided by mobile units and at veterinary

camps. Emergency services provide veterinary care at the farmer's

doorstep.

B. Breed Improvement

1. Artificial Insemination Programme (AI): Artificial Insemination

Programme has been undertaken by RCDF. To supply the frozen

semen to the AI Centres of Milk Unions as well as to A.H.

Department, an ultramodern Frozen Semen Station is established at

Bassi which supplies the Semen of high pedigree exotic and native

breeds.

2. C Bulls of improved breeds are provided at dairy cooperative

societies where AI activities are not much feasible.

C. Cattle Feed

Balanced cattle feed is being manufactured by four cattle feed

plants viz. Ajmer, Bikaner, Jodhpur and Nadbai. The milk unions make

feed available to the farmers via village cooperative societies. The

available ranges of Cattle Feed are balanced cattle feed, high energy

feed and Cattle feed supplements like Urea Molasses Bricks (UMB)

and Mineral mixture.

96

Sources : Progress Report of RCDF, 2009 to 2014

D. Fodder Development :

Under the recent major input programme the fodder

development activities have been taken up by RCDF through which the

major fodder crops and their seeds are grown on Rojhri, Bassi and Pal

Farms and seed is supplied to the dairy farmers on no profit-no loss

basis. The major fodder crops are Lucerne, oat, bajra, barseem

Sorghum Sudan Grass etc. The federation also procures quality seeds

from other agencies and provides them to the farmers.

Training and Extension :

Seven milk unions viz Ajmer, Bhilwara, Bikaner, Jaipur,

Jodhpur, Kota and Udaipur are operating centres where training is

provided for several areas related to DCS operations viz DCS

97

secretary, Management Committee member, AI workers, milk tester,

first aid worker, chairman orientation, dairy animal management and

various refresher courses etc.

To enhance active participation of the producer members in the

DCS, to create awareness about improved animal husbandry practices

viz feeding, crossbreeding, animal management and stimulate fodder

production, extension activities are carried out at DCS and at milk

unions. Under farmers' induction and orientation programme, visits to

the dairy plants are arranged to demonstrate the process and disposal of

the milk collected from the producers. Producers are also taken to visit

the model Indian dairy cooperatives-Anand Milk Cooperative Union

(AMUL) in Gujarat and they in turn educate other milch animal

owners in their area about the practices and benefits of cooperatives.

Audio-visual aids, field demonstrations, extension camps are used to

explain feeding, breeding, fodder development and clean milk

production practices.

Automation

The milk collection and testing systems at village DCS have

been automated with the installation of Electronic Milk Testers (EMT)

and Auto Milk Collection Stations (AMCS). At present 12,087 EMT

and AMCS are operational at DCS level.

Milk reception, weighment and testing at dairy plants and

chilling centres have been modernized with the installation of

Automated Raw Milk Reception Dock (RMRD).

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Product

Skimmed

DTM

Toned

Standard

Full Cream

Skimmed Milk (Slim)

Double Toned Milk (Fit n' Fine)

Toned Milk (Shakti)

Fresh Milk Products Long Shelf Life Milk Products

Chaach

Lassi

Dahi

Paneer

Shrikhand

Icecream

Flavored milk

Gulab Jamun

Ghee

Cow Ghee

Table Butter

SMP

Cheese

White Butter

Rasgulla

Sources : Progress Report of RCDF, 2009 to 2014

99

Quality Assurance

RCDF possesses a specialized central quality control labaratory

which monitors adherence to quality standards through random

sampling of milk, milk products, cattle feed, packing material etc. Each

dairy plant has its own laboratory to which RCDF staff provides advise

and technical support.

Established in the year 1990 the Central Quality Control

Laboratory in RCDF is engaged in monitoring the quality standards of

milk and milk products, packaging material, cattle feed and effluent

treatment so as to ensure their conformance with laid down respective

standards of P.F.A., B.I.S., Ag-mark and Pollution Control Board.

Ambit of activities cover all aspects right from collection of milk to

finished products by programme such as clean milk production, ISO-

9002 and HACCP-15000 certification. In addition to this all the major

milk plants and cattle feed plants too have their own laboratories to

ensure the QAP and TQM at first place.

Commitment to production of quality products has resulted in

the dairy plants. at Ajmer, Alwar, Bhilwara, Bikaner, Ganganagar,

Jaipur , Kota , Udaipur being registered under ISO-9002 and

HACCP-15000 systems.

100

Sources : Progress Report of RCDF, 2009 to 2014

Schemes and Projects of RCDF for Dairy Development

Centrally Sponsored Feed and Fodder Development Scheme –

Project sanctioned from Department of Animal Husbandry and

Dairying, Ministry of Agriculture, GOI, New Delhi. Feed and Fodder

Development Scheme – Government of India has sanctioned 2000

hand driven, 1000 motor driven chaff cutters with 75% grant and 15

silage making unit with 100% grant during 2010-11 with outlay of Rs.

240.75 lac. GOI has released Rs. 120.00 lac during 2010-11 under the

scheme and fresh release of Rs. 120.75 final instalment during 2012-13

and UC of Rs. 119.67 lac has been submitted against the released

amount of Rs. 120.00 lac for the year 2010-11. Physical progress as

follows :-

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1. Hand Chaff Cutter - 1140 No.s

2. Power Chaff Cutter - 527 No.s

3. Establishment of Silage making units - 7 Nos.

RCDF allotted Rs. 120.75 lac to 14 milk unions in the year

2012-13 which had been revalidated for 2013-14.

Fodder Seed Production and Distribution Programme :-

GOI sanctioned a project under Centrally Sponsored Feed and

Fodder Development during 2012-13 amounting to Rs. 9.75 crore for

fodder seed production and distribution being implemented by Seed

Processing Plant, Bikaner through RCDF. The scheme envisages

fodder seed production / procurement on by back arrangement from the

farmers under the supply of minikit to the farmers free of cost. There is

a provision of 75% grant from GOI and 25% grant from State

Government under the scheme.

Rastriya Krishi Vikas Yojana (RKVY):-

Rastriya Krishi Vikas Yojana is a central scheme with 100%

grant from the department of Agriculture, Ministry of Agriculture, GOI

being implemented through the state. The Project amounting to Rs.

29344.99 lac with 100% grant has been sanctioned under the

scheme to strengthen infrastructure for dairying in Rajasthan for the

years 2008-09 to 2012.13.

The districts covered under the scheme are Ajmer, Alwar,

Bikaner, Bharatpur, Bundi, Kota, Bhilwara, Chittorgarh, Churu,

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Dholpur, Sriganganagar, Jodhpur, Nagour, Pali, Jaipur, Dausa,

Jaisalmer, Jalore, Jhalawar, Baran, Sikar, Sawai-madhopur, Karouli,

Rajsamand, Sirohi, Tonk, Udaipur and Hanumangarh. The

activities covered under the scheme are installation of 760 BMCs,

Solar System for eight Chilling centers, under establishment of Cold

Chain - Milk Cold Store Deep Freeze, Prefab Cold Stores and

Refrigerated vans, Strengthening of Infrastructure - Steam Generation

System, Expansion of Alwar Dairy, Strengthening of IT system,

establishment of Membrane technology, under establishment of New

Infrastructure - establishment of Milk Processing dairy plant at

Jaisalmer, Bharatpur, Karouli and Nagour, Establishment of Cattle

Feed Plant at Bhilwara, Installation of Quality Control Equipment,

Establishment of Cattle Feed Plant at Pali, Establishment of Milk

Powder Plant at Jaipur and Setting up a new dairy plant for Jaipur city.

Dev Narayan Yojana:-

Under the State scheme, the Chopra Committee had identified

13 tehsils of 5 districts where the backward class of the Gurjar

community is thickly populated as detailed follow:-

Sawaimadhopur Khandar and Sawaimadhopur

Karouli Sapotara and Nadoti

Dholpur Saipau and Bari

Alwar Alwar, Thanagazi, Bansur and Rajgarh

Jhalawar Aklera, Jhalrapatan and Khanpur

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In the above mentioned tehsils dairy activities were also selected

for economic development of Gurjar backward class as the Gurjar

Community is associated with Animal Husbandry activities. The

scheme for dairy development sanctioned from department of Social

Justice and Empowerment is under implementation through concerned

milk union affiliated with RCDF. The total outlay of the scheme is Rs.

994.50 lac. The activities sanctioned under Dairy sector are as below:-

1. Organization and revival of 650 Women DCS - organization/

revival of 50 WDCS in each tehsil

2. Establishment of 650 Electronic Milko Tester - establishment of

EMT at each organized/revived DCS

3. Testing equipment for 650 WDCS – Milk testing equipments at

each organized/revived DCS

4. Aluminium Milk cans for 650 WDCS – Four aluminium milk can

set to each DCS for milk collection

5. Installation of 40 Bulk Milk Coolers – Installation of Bulk Milk

Coolers for the districts, Alwar 13, Jhalawar 12, Sawaimadhopur

8 and Karouli 7

6. Milk transport subsidy for milk collection of 65000 kgs per day–

subsidy of Rs.1/-per kg. on transportation of milk

7. Distribution of 130 up-graded Bulls – distribution of bulls for

natural service in - Alwar 40, Bharatpur 20, Jhalawar 30,

Sawaimadhopur 20 and Karouli 20 under the scheme.

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Vision Ahead

1. RCDF envisages the farsighted vision to maximize the dairy

development in the Rural Rajasthan in the next few years. It also

foresees modernization and expansion of the basic infrastructure

by providing the facilities like chilling centers, processing centers

etc. in all the milk unions and setting up new dairy plants in order

to bridge the gap of demand and supply of milk and milk products

in the state.

2. To achieve the target of milk collection from present average of

20 LLPD upto the year 40 LLPD upto the year 2020-21.

3. To construct a new ultra modern Metro Dairy Project with the

capacity of 15 LLPD expandable upto 25 LLPD milk processing

with the cost of approximately Rs. 300.00 crores near Jaipur upto

the year 2017-18.

4. RCDF is planning to setup a 150MTPD cattle Feed plant near

Jaipur

5. All milk unions are proposed to be registered under ISO 2000-

HACCP.

6. All Tehsils and Districts HQs are facilitated with Saras parlour in

the State of Rajasthan.

7. The development in dairy sector is being warmed up under Rajiv

Gandhi Integrated Dairy Development Mission.

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8. The maximum marketing outlets are being opened in Delhi-NCR

territories.

The RCDF operates under the brand name SARAS in Rajasthan.

It is a well established and well known Brand of Rajasthan.

Profile of the Jaipur Dairy

Towards the fulfilment of the national objective of making India

self sufficient in milk production, a small step was taken in March

1975 and Jaipur Zila Dugdh Utpadak Sahakari Sangh Ltd., Jaipur

(popularly known as Jaipur Dairy) was registered under the

Cooperative Act, 1965 to work in Jaipur District. Initially this union

did not have the processing facilities. It started with a modest

beginning of procuring 250 liters of milk per day.

Jaipur Dairy sells its milk and milk products through a network

of over 5200 retail outlets spread over Jaipur city and near by 100

towns. The retailers are the most important segments of Jaipur Dairy

and are given all care and attention. They are regularly trained on

various aspects of customer satisfaction. We have ensured that the

consumer should not travel / walk more to fetch milk for his / her daily

consumption. With this intention, strong network of retail outlets has

been made. Supply of liquid milk is made twice a day for benefit of the

consumers. Liquid milk is despatched to rural area through a

contracted fleet of insulated vehicles. Jaipur Dairy was among the first

8 dairies to be selected by NDDB for countrywide launch of

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Mnemonic symbol campaign. Now we have shifted to our symbol to

make our brand more prominent and popular in Rajasthan.

Milk and milk products are sold through a network of a mix of

its own, shop agencies, various institutions and Saras Milk Parlors.

Jaipur Dairy has taken utmost care to satisfy and delight its

customers and consumers. We have launched many consumers’

incentive and sale promotion schemes during the last few years like

‘Double Dhamaka’, ‘Triple Dhamaka’, Saras Dhoom, ‘Home Delivery

Schemes’ etc. The ‘Customer Satisfaction Index’ is an indicator of the

performance of the Jaipur Dairy.

Jaipur Dairy has also started marketing ghee in rural areas

through dairy cooperative societies. The results of the same have been

overwhelming and presently we are selling over 85 MT per month of

ghee through DCSs.

ACTIVITIES

This Dairy procures milk through its strong network of over

1200 Village Level Dairy Co-operatives spread in Jaipur and Dausa

districts. Dairy arranges transportation of milk from doorsteps of milk

producers to the receiving point at dairy plant and its chilling centers.

Payments of milk are disbursed to the milk producers on ten-day basis.

Procurement and input activities include Farmer's Organization,

Input Services like Animal Health Coverage, animal breeding

programme, Supply of balanced cattle feed and improved high yielding

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fodder seeds to the members, Cooperative institution building , Women

Dairy Cooperative Leadership programme and Training of DCS

manpower and its Managing committee members etc.

Processing facilities of the dairy plant presently include

multidimensional activities like chilling, pasteurization,

standardization, sterilization, production of Ghee, Butter (Salted /

Unsalted), Skimmed Milk Powder(SMP), Indigenous fresh Milk

Products (Paneer, Shrikhand, Chhach (Plain / Salted), Lassi, Mawa

(Khoa)and Dahi (Plain / Mishti) and Aseptic Milk (which was handed

over to Jaipur Dairy only in 1997-98).

To improve the quality of raw milk, the Dairy has commissioned

chilling centers and installed Bulk Coolers at various places in the milk

shed.

EMPOWERMENT

We have entered the 21st century; still the backbone of Indian

economy is primarily agriculture and animal husbandry. Most of the

activities are related to these two fields which mostly looked after by

women but these contributions have not been recognized at any level.

In dairy and animal husbandry sector, a woman plays a very

important role. But behind the screen, Jaipur Dairy also identified and

the significance of her role and started emphasizing on recognized

increasing women participation by increasing women membership and

the member of women on the D.C.S. management committee. It could

yield only a mild positive impact. Jaipur Dairy in 1991 started

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Rajasthan Women Dairy Project, supported by the Ministry of HRD

Govt. of India. Under this project exclusively women dairy cooperative

societies were organized, where members, management committee

members, chairperson secretary etc, were all women. The object of

these projects was the social and economic development of rural

women. This project had such on Literacy Programme, Health and

Sanitation Programmes, Employment programme, Awareness of

Generation programme.

All these activities were to be performed on women Dairy

Cooperative Society Platfarm.

This program yielded very good results, beside considerable

increase in income, increase in literary level better adaptability of

Health and Hygiene practices. There is tremendous increase in

woman's awareness. Now she has become more confident, better

decision maker, self reliant, ambitious and vocal. All these features

were observed and felicitated by the then US President, Mr. Bill

Clinton during his visit to Naila (Jaipur) where our dairy women

demonstrated not only the working of an automatic milk collection

station with computers but also discussed with him the story of their

storage and success.

To systematize this impact and future strengthening women

dairy cooperatives in Jaipur Dairy, started women dairy cooperatives in

leadership of the development programme and cooperative institution

building program with the help and support of National Dairy

Development Board, Jaipur. The objective of this program is again the

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strengthening of W.D.E.S. and its numbers by increasing women

participation in all activities of W.D.E.S. These peregrine facilitated by

local resource person who is again a woman, selected out the same

level local, literate, vocal ,acceptable locally, vibrant and having

leadership ability. This program has also given good results in the form

of owning of organization, role perception and loyalty to D.C.S.

AUTOMATION

The basic unit of the Jaipur Dairy is village level milk producer's

Cooperative society. These village Dairy Cooperatives provide a

remunerative market to producers. It collects supplies surplus milk

from milk producers and send this collected milk to Jaipur Dairy. Milk

supplied by the producers was weighed, samples drawn for quality

testing and payment was made on the basis of quantity and quality of

milk (Fat %). The Dairy Cooperative started with traditional manual

operated centrifugal machine for fat testing. This system was

expensive, hazardous and time consuming and producers were not

aware of fat content of milk supplied by them .During the year 1984-85

the Electronic Milk Tester (EMT) was installed at about 50 DCS. Since

it gave instant digital display of fat content of the milk. But due to

nonavailability of maintenance support and funds during the period of

about 10 years, new expansion could not be made. In the year 1996 a

strategy was made to have more stress on automation of milk reception

at village level of Dairy Cooperative as well as at Jaipur Dairy Plant.

Since EMT found immediate acceptance and faith in it. It was felt that

accuracy and consequent transparency could result in growth of milk

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procurement. The large number of EMT installed at DCS's in phased

manner, but the remaining work like weighing, recording of data

registers, calculation of amount payable and accounting was all done

manually.

Further Electronic Weigher which along with Electronic Milk

Tester (EMT) was attached to a processor which printed a payment slip

for every sample were installed at DCS. This enabled the prompt

payment to the milk suppliers, but the problem of maintaining records

accounting continued to exist. This problem became more acute, as the

success resulted in increase in membership, milk collection and

therefore accounting activities were also increased. This initiated the

Management of Jaipur Dairy to take a further bold step ahead of

providing a paradigm shift in technology by introduction of Smart

Automatic Milk Collection Station (SAMCS) at village level. This also

sought to exploit the potential of the PC for computerizing the other

activities of the society, namely accounting, profit distribution,

inventory management of trading items, provision of services and other

data.

As a result of this vision, Jaipur Dairy introduced the PC based

Milk Collection Station. The Milk Collection Station performs on-line

capturing of Fat content of the milk and the weight of the milk supplied

and immediately prints the payments slips. It simultaneously stores the

data for further use in the accounts of the society. This data could also

be put to use for calculation of profits, and its distribution as it was

directly linked to the milk supplied over the year.

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The PC could also be put to use for automation of other

activities of the society like management of inventory of trading items

of the Society, accounting of various veterinary services, animal

breeding, animal health care services provided by the society. The

generation of such a data-base would lead to another application in

future, namely, the Data mining for study of cattle-breed management,

milk collection improvement, health-care, economic, educational and

other statistics of the milk producers at the village level affiliated with

the society.

This data could further be transmitted and pooled through

Internet Connectivity at the decision making level for further policy

planning, control and effective monitoring. Presently more than 85% of

DCSs in our milk shed have either AMCS or EMT. Besides the

automation of village level Dairy Cooperatives the milk Can Reception

System at the Jaipur Dairy dock i.e. the Raw Milk Reception Dock

(RMRD) has been modernized with the installation of an RMRD

Automation Network System, which is the first of its kind in India.

The automation system records weight data from the two

reception docks automatically, with entry of various parameters like

Route Code, DCS Code, Sample Number, Number of Cans, Types of

milk etc. Similarly recording of Milk Quality Analysis data consisting

of Fat% and SNF% is also provided. On completion and collection of

the weight and analysis cycle for a particular route, both the data are

processed and collected for printing the Truck Sheets. The data i.e.

both the merged and individual ones are available for further

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processing. In addition, processed data on milk can summary, route

summary, daily summary etc., can also be obtained. The software has

provisions for numerous formats and has the usual MIS features. The

software is user friendly and has inbuilt features for quality and

quantity validation and checking. It also has user secured features for

user auditing and performance monitoring. This is a special feature as

it prevents manipulation by means of the 'password' authorization

control, which is configurable only by competent authorities. Apart

from automizing the Man Dairy Dock, we have installed the same

system at all of our chilling centers' reception dock also.

Recently, Jaipur Dairy has initiated an ambitious project of

'Online Data Integration System (ERP solution) of all activities of the

organization. This project has been enthusiastically implemented and

expected to be in full operation within six months.

The Installed capacity of Jaipur Dairy was 1.5 L.L.P.D. The

Dairy Plant was commissioned in the year 1981 under OF 1. With the

multiple increase in marketing of milk and milk products and also in

milk procurement, the capacity of the plant was increased to 2.5 lakh lt.

per day in 1998-99 with internal human and financial resources. The

production facilities are available and maintained in most hygienic

manner as per laid down procedures of Quality Management System.

For ensuring quality Jaipur Dairy had installed:-- 30 BMC(Bulk Milk

Coolers) and 111 are in progress besides 7 chilling facilities are in

Jaipur totaling 4,35,000 Lt per day.

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Considering the growth in procurement and marketing, Jaipur

Dairy has prepared and initiated the Expansion Plan for expanding the

capacity to 5 lac ltr. per day., with the help of NDDB Jaipur Dairy also

has Aseptic Packaging Station, which is a 'State of Art Technology'

and of very few in the country. Powder Plant capacity is also enhanced

to 15 MT/day.

The plant has been well maintained till date by their own

technical staff. This fact has been well accepted and acknowledged at a

recently held Milk Seminar at Goa, when Jaipur Dairy was awarded for

the 'Best Machine Utilization'.

Jaipur Dairy has always stood to its commitment of fulfilling the

demand of Indian Forces posted at front in the hour of need. The

conditions of production facilities and production environment are

being maintained in perfect conditions till date.

This has resulted in other sister organizations like MP

Federation and Mother Dairy to enter into long time agreement with

Jaipur Dairy for manufacturing the products under their respective

brand names.

MARKETING

Jaipur Dairy sells its milk and milk products through a network

of over 4500 retail outlets spread over Jaipur city and near by 100

towns. The retailers are the most important segments of Jaipur Dairy

and are given all care and attention. They are regularly trained on

various aspects of customer satisfaction. It is ensured that the consumer

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should not travel / walk more to fetch milk for his / her daily

consumption. With this intention, strong networks of retail outlets have

been made. Supply of liquid milk is made twice a day for benefit of the

consumers. Liquid milk is dispatched to rural area through a contracted

fleet of insulated vehicles. Jaipur Dairy was among the first 8 dairies to

be selected by NDDB for countrywide launch of Mnemonic symbol

campaign. Now they have shifted to their symbol to make the brand

more prominent and in populer Rajasthan.

The milk and milk products are sold through a network of a mix

of own, shop agencies, various institutions and Saras Milk Parlors.

Jaipur Dairy has taken utmost care to satisfy and delight its

customers and consumers. Many consumers’ incentive and sale

promotion schemes have been launched during last few years like

‘Double Dhamaka’, ‘Triple Dhamaka’,Saras Dhoom, ‘Home Delivery

Schemes’ etc. The ‘Customer Satisfaction Index’ is an indicator of the

performance of the Jaipur Dairy.

Jaipur Dairy has also started marketing ghee in rural areas

through dairy cooperative societies. The results of the same have been

overwhelming and presently they are selling over 70 MT per month of

ghee through DCSs.

DISTRIBUTION

The Jaipur Diary plant because of its location and large market

has catered to the needs of a large number of varied consumers in the

city. The plant has maximum sales of fluid milk as compared to other

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units of RCDF. For each area there is a separate distributor, the milk is

supplied twice in a day, in the morning and evening to each

distribution point.

There are mainly three types of outlets from where milk is

distributed to consumers.

1. Jaipur Dairy's Booths

2. Shop Agencies.

3. Cabins

As mentioned above, a separate distributor is appointed for each

area, as a precautionary measure, to have a check on the monopoly of

the distributors (a few years back the contractor refused to distribute

milk unless his demands were conceded because he was the only

distributor for the entire city). Each vehicle carries 300 crates for

distribution.

Entire work of milk distribution, collection of empty crates,

collection of sale proceeds etc. is performed through transporters cum

distributors who are appointed through tender process.

Apart from making supply to the booths, shop agencies and

cabins, union also supplies milk to various institutions like hospitals,

hotels and other establishments directly or through the city milk

transporters. During festivals or marriage season, special arrangements

are made by the Union for supply of milk as per the requirements of

the city consumers.

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The distribution system of milk comprises two channels.

Bulk Vending Booths with refrigerated storage facilities.

Milk in sachet packed with the help of modern polypack

machines.

The distance between the booths should not be less than 500

meters. The system enables the Jaipur Dairy to distribute milk upto

1.36 lakh litres per day. In addition to liquid milk, milk products like

SMP, WMP, Table Butter, Ghee, Shrikhand etc. are also distributed

through the same channels. The pasteurised milk, Tetra pack and other

products are distributed in Delhi and other towns of India.

At the time of the allotment of the distributorship, the retailers

have to deposit a security money with the Jaipur Dairy.

There is a provision to return the spoiled milk and milk packets

in exigencies. If it is spoiled due to the distributor's fault, a penalty of

Rupee one per litre is imposed on the distributor and if it is due to the

retailer's fault a penalty of fifty paise per liter is imposed on the

retailer.

The Jaipur Dairy has introduced the home delivery scheme

which is known as "SARAS DWAR SEWA". Under this scheme

consumers can get milk at their door. For home delivery, selected

retailers are being motivated through ads in news papers

There are eight milk bars in Jaipur city for retail selling of milk

and milk products. The milk bars are managed by Jaipur Dairy. As a

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retailer, the shop agencies are given importance. The shop outlet

system is encouraged and the allotment system is made simplified.

Emphasis is laid on institutional sales also. They are contacted

through direct mail, advertisement and personally. Previously, the

concept of sales target was not there. However, now the concept of

target sales has been introduced for sales force and distributors. Also,

target based evaluation and incentive schemes have been introduced.

Special Distribution Efforts Undertaken

24 Hours shop.

SARAS DWAR SEWA': Home delivery for bulk users/

onsumers.

Rural milk distribution network: Covering more than 30 towns

on 4 No. route.

Special distribution drive in walled city.

Chain for exclusive Saras outlets.

Milk mandi intervention.

Special attention on peripheral areas of towns.

Insulated vehicles under new contract.

Distribution of Amul Ice-cream.

Pager being provided to field staff.

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Distribution Network of Jaipur Dairy

a) Urban Distribution Network

b) Rural Distribution Network

Urban Distribution Network

a) Milk Distribution Network

Earlier Distribution Network

1. Fourteen Distributor in 2003 for Milk supply.

2. Two Vehicles for Department supply.

Current Distribution Network :

1. Twenty Seven Zones.

2. Twenty Seven Distributors one distributor for one Zone.

3. One Vehicle for retail Stores Milk and Milk products supply.

4. Three Vehicles for department supply i.e. Army Supply,

Hospital Supply etc.

b)Fresh Product Distribution Network

Earlier Distribution Network:

1. Fifteen Distributors in 2003 for Fresh Product Supply in Jaipur City

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2. Two Distributor for exclusive Saras Parlour supply.

Current Distribution Network:

1. 28 Distributors for fresh product supply in Jaipur City.

2. Two Distt. for exclusive Saras Parlour supply.

3. One mobile vehicle for M.B 186 (RCDF), 147(Secretariat), 116

(Vidhansabha) supply.

c) Ice-cream Distribution

1. Three Distributors for Ice-cream supply in Jaipur City.

(Mandatory by franchiser system)

2. One vehicle for M.B 186 (RCDF).

d) Ghee Distribution Network

Earlier Distribution Network:

1. Fifteen Distributors for Ghee Distribution.

2. Jaipur Dairy has also started marketing ghee in rural areas through

dairy cooperative societies.

Current Distribution Network:

1. Twenty Eight Distributors for Ghee distribution.

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2. Jaipur Dairy has started marketing ghee in rural areas through dairy

cooperative societies. The results of the same have been

overwhelming and presently over 85 MT per month of ghee

through DCS's.

Retail Outlet Network

Jaipur Dairy sells its milk and milk products through a network

of over 1800 retail outlets spread over Jaipur city and near by 50 towns

in 2003 and currently Jaipur Dairy has a network of over 4500 Retails

outlets over Jaipur City and near by 100 towns. Outlets of Saras

Categorization as under:

Booths

Shop Agencies

Institutions

Saras Parlour

Retail Outlet Network in Urban Areas

Booths - 585

Jaipur Dairy Own Booth - 200

Private- 385

Shop Agency- 3295

Parlours Eighty Two run by Private Party.

Milk Booth- 186 ( RCDF) Parlour run by Jaipur Dairy

Milk Booth- 1581

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Modern Trends- Eight

1. Spencer

2. Reliance Fresh

3. Metro

4. Easy day

5. Hyper City

6. Vishal Mega Mart

7. Big Bazar

8. Big Shopper's

Canteens - Four

1. Vidhansabha

2. Secretariat

3. Amer run by Jaipur Dairy

4. MNIT run by Private party through Jaipur Dairy

Departments : Thirty Eight which is listed in Jaipur Dairy

Retail Outlet Network in Rural Areas

Shop Agency - 1300

Parlours- 6 Rural Parlours and 2 Highway Parlours

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Rural Distribution Network

Milk Distribution Network

Earlier Distribution Network:

Eleven Distributors for Eleven Routes.

Current Distribution Network:

Twenty Eight Distributors for 28 Routes ( One Distributor for

one Route).

b) Fresh Product Distribution Network

Distribution for Delhi Supply

Distribution of SARAS products in Delhi One Sole Distributor and

two distributors.

One Milk Parlour is also run by Jaipur Dairy at Bikaner House

Delhi.

Distribution for Hill Station Supply

Distribution of UHT (MAP-Six month life) milk in North East five

Station and North corner twelve station, Rajasthan - Twenty

Stations.

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Organization Structure of Jaipur Dairy

Three Tier Structure

The Dairy Co-operative Movement operates on a three tier

system wherein farmer members own dairy co-operative societies

(DCS) which own district milk producer's union. The unions

collectively own the RCDF.

It is a vertically integrated structure that establishes a direct linkage

between those who produce the milk and those who consume it.

Federation- Provides service and support to unions. Marketing within

and outside the state, Liaison with government and NGO agencies,

mobilisation of resources and coordinating and planning programmes /

projects.

Union - Develops village milk cooperative network, procures milk

from DCS, processes and markets. Sale of cattle feed and related

inputs, promotion of cross breeding through AI and NS, promotion of

fodder development and general support and supervision to DCS.

DCS - Provides input services (AH, AI) to its members and

procurement of milk.

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Chart-1

Organization Structure of Jaipur Dairy

Chairman

Managing Director

Manager Plant Manager P & I Manager APS Dy. ManagerQuality control

Dy. Manager Marketing

Dy. Manager Dy. Manager Dy. Manager

Dy. Manager Asst. Manager

Asst. Manager Asst. Manager Asst. Manager

Sales Representative

Supervision

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The dairy co-operatives comprise the following institutional

properties :

Democratically elected board of DCS, milk unions and Federation

from among their members.

Adoption of such bye laws which ensure democratic process on the

principles of cooperation.

Management and ownership of assets by the cooperatives.

Autonomy in pricing, marketing and appointment of personnel.

Employment of professionals.

Total control of the organisation is in the hands of its members.

Training and Extension

Seven milk unions viz Ajmer, Bhilwara, Bikaner, Jaipur,

Jodhpur, Kota and Udaipur are operating centres where training is

provided for several areas related to DCS operations viz DCS

secretary, Management Committee member, AI workers, milk tester,

first aid worker, chairman orientation, dairy animal management and

various refresher courses etc.

To enhance active participation of the producer members in the

DCS, to create awareness about improved animal husbandry practices

viz feeding, crossbreeding, animal management and stimulate fodder

production, extension activities are carried out at DCS and at milk

unions. Under farmers' induction and orientation programme, visits to

the dairy plants are arranged to demonstrate the process and disposal of

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the milk collected from the producers. Producers also taken to visit the

model Indian dairy cooperative-Anand Milk Cooperative Union

(AMUL ) in Gujarat and they in turn educate other milch animal

owners in their area about the practices and benefits of cooperatives.

Audio-visual aids, field demonstrations, extension camps are used to

explain feeding, breeding, fodder development and clean milk

production practices.

BULK MILK COOLERS (BMC)

Bulk Milk Cooler popularly known as BMC is one of the Latest

Kind of Technology/equipment used in Milk Procurement System. Its

basic objective is to preserve the quality of milk poured in, by cooling

down the temperature of milk to 4'C. There by checking the growth of

bacteria responsible for the deterioration of the quality of milk.

Therefore no sources/ curdling of milk, which saves a lot of monetary

loss to DCS and its milk producers.

Besides this, use of this BMC System has reduced the

expenditure cost on purchase of milk cans/lids. Moreover, giving

comparatively more time to pour milk to milk producers, residing at

farther distance from BMC DCS resulting in increase in the number of

a milk producers, as well milk procurement. It also helps the DCS in

getting accurate values of milk Quantity, Fat% and SNF. All these

factors lead to the increase in viability of BMC DCS. Now

this financially sound DCS can give additional milk purchase price to

its milk producers, during the lean season. Jaipur Milk Union is having

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a very large network of about 216 Bulk Milk Coolers at 203 DCS with

a Chilling Capacity of 4.40 lac ltr. milk per day. These BMCs have

been received under various Schemes like Clean Milk Production

(CMP) and Rashtriya Krishi Vikas Yojna (RKVY).