Amul plans to open 1,000 outlets this fiscal
Preparing to defend its turf from foreign competitors, Gujarat Cooperative Milk Marketing Federation that sells dairy products under the popular Amul brand, aims to open 1,000 more outlets across the country in the current fiscal.
New Delhi: Preparing to defend its turf from foreign competitors, Gujarat Cooperative Milk Marketing Federation that sells dairy products under the popular Amul brand, aims to open 1,000 more outlets across the country in the current fiscal.
Amul, the largest food brand in India with a turnover of Rs 11,668 crore in 2011-12, currently has around 6,500 outlets selling various items, including dairy and frozen products.
"We plan to add another 1,000 outlets in the country in the current fiscal. We need to be prepared as FDI in (multi-brand) retail can happen anytime," Gujarat Cooperative Milk Marketing Federation (GCMMF) Managing Director R S Sodhi said.
Currently, Amul's main competition in segments like dairy whitener, baby food and condensed milk comes from Swiss major Nestle, while in frozen food category it plays against regional players such like Vadilal and Kwality.
On the core milk segment, Mother Dairy is its main competitor.
The government had last year decided to allow up to 51 percent FDI in multi-brand retail but deferred its implementation due to political opposition.
Commenting on sales projection for this fiscal, Sodhi said the federation is aiming to touch Rs 14,400 crore in 2012-13.
Amul, which is also known for its advertisements based on topical events, said the campaign helps in keeping the Amul brand refreshed and young.
"The campaign has kept Amul brand contemporary, fresh and young," Sodhi said.
He added that unlike other FMCG firms which spent around 7-8 percent of their turnover in advertising, the federation's spend on the marketing campaigns has been less than 1 percent of the total turnover.
Formed in 1946, Amul is jointly owned by 3.03 million milk producers in Gujarat. It spurred the White Revolution in India which in turn made India the largest producer of milk and milk products in the world.