Abstract

The proposed study Milk Revolution in Gujarat: How AMUL’s Cooperative Model Changed India’s Dairy Sector” discusses the dairy cooperative movement in the Indian states of Gujarat, Anand and Kheda districts led by AMUL. In the 1940s, dairy farmers faced difficulties selling surplus milk at fair prices due to lack of transport and preservation. The Kheda District Co-operative Milk Producers’ Union Limited was established in 1946 to collect and market milk in a fair manner, known as AMUL. AMUL adopted a cooperative model where village cooperatives collected milk from farmers and supplied it to the union. This gave farmers a stake in the enterprise and incentive to increase milk production. AMUL set up a three-tier structure of village cooperatives, district cooperatives and the state federation. This network provided support to farmers, consumers and helped AMUL become India’s largest food brand. AMUL’s key strategies for success included decentralized milk collection, processing facilities, product diversification, innovative marketing and a cooperative structure. The dairy cooperatives played a significant role in socio-economic development by providing farmers fair prices, employment, loans, infrastructure development and empowerment.