Amul Expects Revenue To Grow 20% In FY20
No immediate plan to increase prices of Amul milk, says Amul MD RS Sodhi.
Gujarat Cooperative Milk Marketing Federation, which markets dairy products under the Amul brand, is expecting 20 percent increase in its turnover this fiscal at around Rs 40,000 crore, driven by likely growth in volume and value terms, a top company official said.
The dairy firm posted a 13 percent increase in its turnover at Rs 33,150 crore during 2018-19 from Rs 29,225 crore in the previous fiscal.
“In the last financial year, our revenue growth was because of higher volume and there was no price increase across our product portfolio. But, in this year we are expecting growth in both volume and value terms,” Amul managing director RS Sodhi told PTI.
He said the company is expecting 20 percent growth in turnover during 2019-20.
Sodhi also said that the milk procurement prices have gone up in the last few months in states like Maharashtra.
“We were paying our farmers higher prices when milk procurement prices declined in many states. So there will be no impact on us,” he added.
He ruled out any immediate plan to increase prices of Amul milk.
Recently, the company had said that the provisional unduplicated group turnover of Amul Federation and its 18 member unions crossed Rs 45,000 crore in 2018-19, up 13 percent from the previous year.
The 18 member unions of Amul Federation, with a farmer-member strength of more than 36 lakh across 18,700 villages of Gujarat, are procuring on an average 230 lakh litre of milk per day.
The member unions of Amul plan to enhance the milk processing capacity from the current level of 350 lakh litre per day to 3,80,400 lakh litre per day in the next two years.