In a changing business environment, the Madurai Aavin is gearing up to face challenges posed by private players and competitors from Karnataka and Andhra Pradesh.
After the State government increased the procurement price for milk recently, the sale price also was jacked up. As expected, there was a hue and cry from many Opposition parties over the revision and a demand to roll back the prices. The government stuck to its stand, squarely blaming the Opposition for the rise. For the time being, the issue appears to have taken a back seat.
Now, officials of Madurai District Cooperative Milk Producers’ Union have started a number of proactive initiatives for the benefit of both milk producers and consumers. Under Ration Balancing Programme, a Central government-aided project, laptops would be provided to around 1,500 select milk producers to educate them on scientific feeding of milch animals. This initiative was aimed at helping them increase milk production and keep the animals in better health. Dissemination of success stories among milk producers would trigger a healthy competition among them, officials here said.
From the marketing point of view, the increase in procurement price had started yielding results, they said. The Madurai Aavin procured between 2.40 lakh to 2.65 lakh litres of milk every day. “The number of milk producers is expected to increase,” its General Manager Christie said.
More sales initiatives had been started. “Apart from running 500-odd Aavin depots in the city and its peripheries, we are encouraging people to sell our products from their homes. For this purpose, they can register themselves and deposit just Rs. 1,000 with us. We will deliver milk sachets at their doorstep after ascertaining the potential. There is no target as such, but we are focussing on uncovered areas,” said Deputy General Manager (Marketing) M. Sundarapandian.
Homemakers were welcome to join the Aavin team. The Aavin was also taking steps to market butter, ghee, badam mix powder, milk ‘peda’ and curd in 100 gram and 200 gram sachets through its milk parlours within a week. Those conducting marriages and festivals could approach the Aavin marketing team and place their orders for home delivery, he said.
The other side
However, consumers feel that the Madurai Aavin should have kept the milk price at less than Rs. 40 per litre. Meenakshisundaram, a resident of Anna Nagar, said that he had to incur an additional expense of Rs 1,800 a month now.
A woman in Munichalai said the Aavin was keen on revising prices but was not coming out with innovative ideas. “Curd from Karnataka is good and tasty,” she said.
A senior Aavin official in Chennai told The Hindu over phone that after procurement price was increased, the per day procurement of milk had touched a record 27 lakh litres. “We will try to introduce a new range of products in the coming months. We are already in the process of according top priority to quality, which has resulted in the launch of more value-added products.”
Admitting that the Karnataka-based Nandini Diary was faring well and had penetrated the Chennai market, he said the Gujarat pattern of milk production was bound to produce desired results. “We have raised the bar, and the market share of Aavin will certainly improve,” he said.
