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Himanshu Kulshreshtha
Himanshu KulshreshthaElite Author
Asked: March 19, 20242024-03-19T10:51:54+05:30 2024-03-19T10:51:54+05:30In: Agriculture Policy

Explain the formation, functioning, and structure of any two successful cooperatives in agriculture in India.

Describe the establishment, operation, and composition of any two prosperous Indian agricultural cooperatives.

MNRE-015
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    1. Himanshu Kulshreshtha Elite Author
      2024-03-19T10:52:12+05:30Added an answer on March 19, 2024 at 10:52 am

      Two successful agricultural cooperatives in India are the Gujarat Cooperative Milk Marketing Federation (GCMMF), which operates under the brand name Amul, and the Karnataka Milk Federation (KMF), known for its Nandini brand. Let's discuss the formation, functioning, and structure of these cooperatives:

      1. Gujarat Cooperative Milk Marketing Federation (GCMMF – Amul):

        • Formation: GCMMF was formed in 1946 as a response to the exploitation faced by dairy farmers in Gujarat by middlemen and private dairy companies. It was initiated by the visionary leader Tribhuvandas Patel along with farmers in the Kaira district of Gujarat. The cooperative model aimed to empower farmers by collectively marketing their milk and dairy products.

        • Functioning: GCMMF follows the Anand pattern, where milk is collected directly from farmers through village-level cooperatives known as Milk Producer Societies (MPS). These MPS are owned and governed by farmers who supply milk to collection centers. GCMMF provides essential support in terms of transportation, chilling, processing, and marketing of milk and dairy products. The federation ensures fair prices for milk and timely payments to farmers.

        • Structure: The structure of GCMMF comprises three tiers:

          1. Milk Producer Societies (MPS): These are the primary cooperatives at the village level, where dairy farmers are members. Farmers supply milk to MPS, which aggregates and transports it to the next level.
          2. District Cooperative Milk Producers' Union (Dairy Unions): Dairy Unions collect milk from MPS and process it into various dairy products. They handle marketing, distribution, and quality control.
          3. Gujarat Cooperative Milk Marketing Federation (GCMMF): GCMMF acts as the apex body representing the interests of dairy farmers. It markets and sells dairy products under the Amul brand nationally and internationally. GCMMF provides financial and technical support to dairy unions and promotes cooperative principles and values.
      2. Karnataka Milk Federation (KMF – Nandini):

        • Formation: KMF was established in 1974 with the merger of dairy cooperatives in Karnataka. The federation was formed to replicate the success of the Amul model and improve the livelihoods of dairy farmers in Karnataka. The cooperative movement in Karnataka gained momentum under the leadership of Verghese Kurien, who played a crucial role in its establishment.

        • Functioning: Similar to GCMMF, KMF operates through a network of Milk Producers' Cooperative Societies (MPCS) at the village level. Farmers supply milk to MPCS, which is collected, processed, and marketed by the federation. KMF ensures fair remuneration to farmers, provides veterinary services, and supports members with training and extension services to enhance productivity and quality.

        • Structure: The structure of KMF comprises:

          1. Milk Producers' Cooperative Societies (MPCS): These are the primary cooperatives at the village level, where farmers are members. MPCS aggregate and supply milk to dairy unions.
          2. District Milk Unions: District Milk Unions collect milk from MPCS and process it into various dairy products. They are responsible for marketing, distribution, and quality assurance.
          3. Karnataka Milk Federation (KMF): KMF serves as the apex body coordinating the activities of district unions. It undertakes marketing, branding, and value addition of dairy products under the Nandini brand. KMF also provides support services, including input supply, credit, and training, to dairy farmers.

      Both GCMMF (Amul) and KMF (Nandini) have demonstrated the transformative potential of the cooperative model in empowering dairy farmers, improving milk productivity, enhancing market access, and promoting rural development in India. Their success underscores the importance of collective action, democratic governance, and value addition in agricultural cooperatives for sustainable livelihoods and inclusive growth.

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