AHMEDABAD: In a recent development that has stirred discussion among consumers in Gujarat, Amul has implemented a targeted price reduction for its 1-litre milk packages, creating both interest and controversy.
Raksha Patel's experience epitomizes the consumer sentiment. On a Saturday morning, she discovered Amul had reduced prices exclusively for 1-litre milk packages of Gold, Taaza, and Tea Special variants. When questioning her local milk vendor about the pricing disparity for smaller 500 ML packs, Patel felt the pricing strategy was inequitable.
Price Reduction Details:
Amul Gold: Reduced from Rs 66 to Rs 65 per litre
Amul Tea Special: Dropped from Rs 62 to Rs 61 per litre
Amul Taaza: Decreased from Rs 54 to Rs 53 per litre
Jayen Mehta, Managing Director of Gujarat Co-operative Milk Marketing Federation (GCMMF), explained the rationale: "This pricing strategy aims to incentivize consumers to purchase larger milk packages."
The move comes after Amul's June 2024 price increase of Rs 2 per litre, which was subsequently mirrored by Mother Dairy. While GCMMF suggests the price cut might encourage reduced plastic waste by promoting larger pack purchases, critics argue the strategy overlooks the needs of nuclear families, bachelors, and those with limited refrigeration.
GCMMF's Financial Highlights:
2023-24 Turnover: Rs 59,445 crore (8% increase)
Daily Milk Handling: 310 lakh litres
Annual Processing Capacity: 500 lakh litres
Farmer Base: 36 lakh farmers across 18,600 Gujarat villages
The cooperative, recognized as the world's largest farmer-owned dairy network, continues to demonstrate growth potential, with Mehta previously indicating expectations of double-digit revenue expansion in the current fiscal year.