ahmedabad district co-operative milk producers’

7/31/2019 AHMEDABAD DISTRICT CO-OPERATIVE MILK PRODUCERS

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Ahmedabad District Co-operative Milk Producers Union Ltd.

1.1 COMPANYS PROFILE

NAME OF FIRM

AHMEDABAD DISTRICT CO-OPERATIVE MILK PRODUCERS UNION LTD

REGISTERED ADDRESS

Nr. SUKHARAM NAGAR

GOMTIPUR

AHMEDABAD 380 021

PHONE NO.

(079) 2274 1905, 2274 1908

FAX NO.

(079) 2274 9575

BANKERS.

1. THE AHMEDABAD DISTRICT CO-OP. BANK LTD. (AHMEDABAD)

AHMEDABAD

2. BANK OF BARODA, AHMEDABAD

3. AXIS BANK (UTI BANK). AHMEDABAD

INTERNAL AUDIT.

SHREE DHANANJAY TRIVEDI & ASSOCIATES

CHARTER ACCOUNTANTS, AHMEDABAD

College of Computer and Management Studies, Vadu. 1


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1.2 UNIONs BOARD OF DIRECTOR FOR 2007-08

Nominated Board Of Director of Directors

1. Shree Ajaybhai H. Patel (Member)

Representative, A.D.C. Bank, Ahmedabad.

2. Shree M. C. Shah (Member)

Representative, N.D.D.B., Anand.

3. Shree I. M. Purohit (Member)

District Registrar, Co-op. Societies, (Rural)

4. Shree H. A. Nadiadvala

Managing Director

District Zones (General)

1. Shree Hasmukhbhai Muljibhai Bhadiyadara

Krishnakrpa (Bhadiyad) Milk Producers Co-op. Society Ltd.

2. Shree Ishwarbhai Madhubhai Rabari

Balsasan Milk Producers Co-op. Society Ltd.

3. Shree Parbatbhai Nenaji Rathod

Mirapur Milk Producers Co-op. Society Ltd.



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Taluka Zones (General)

1. Shree Mohanbhai Ramjibhai Bharvad (Chairman)

Rakhiyal Milk Producers Co-op. Society Ltd.

2. Shree Navghanbhai Chelabhai Bharvad (Member)

Jakhavada Milk Producers Co-op. Society Ltd.

3. Shree Ratnabhai Popatbhai Bharvad (Member)

Patana Milk Producers Co-op. Society Ltd.

4. Smt. Gouriben Pravinsingh Chouhan (Member)

Chiyada Milk Producers Co-op. Society Ltd.

5. Shree Chhanabhai Merabhai Bharvad (Member)

Kunwar Milk Producers Co-op. Society Ltd.

6. Shree Jalamsingh Fulsingh Sodha (Member)

Chavlaj Milk Producers Co-op. Society Ltd.

District Zones (For Women Reservation)

1. Smt. Naniben Rajabhai Bharvad (Member)

Dumali Milk Producers Co-op. Society Ltd

2. Smt. JAsiben Nenaji Thakor (Member)

Antoli Milk Producers Co-op. Society Ltd

3. Smt. Vaniben Rukhadbhai Bharvad (Member)

Govinda Milk Producers Co-op. Society Ltd



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1.3 HISTORY OF THE DAIRY

Before 1985

The Co-op. Dairy development was not in proper shape till January 1985 because of

no. of different milk unions viz. Sardar Dairy, Azod Dairy, Ahmedabad, Gopalak, Gujarat

Gopalak were operating independently in the Ahmedabad Dist. Each of these union was

organizing village co-op societies in the villages. This lead to undue competition between

the societies at the village level.

12/9/1985

To consolidate the co-op dairy sector in Ahmedabad district on 12.9.1985 based on

an order by registrar of Co-op Societies Ajod and Sardar unions were amalgamated to form

a single union, the ADCMPUL (Ahmedabad Dist. Co-Op Milk Producers Union Ltd.) is

district level union having milk producers co-op societies at their members at the village

level each individual dairy farmer is a member his/her village level milk producers co-op

societies the milk collected each day from five chilling centers ( Dahegam, Viramgam,

Katosan, Navapura, Dhandhuka ) and then brought to the Uttam Diary. The payment for

the milk procured is made to the farmer on every ten days.

At them time, Uttam Dairy has also one Cattle feed plan. This plant established for

the welfare of the village member of the societies. They get cattle feed at marginal price so

village member also purchase this food for their cattle. The sale proceed are realized from

the societies out of the milk payment made to them although there is no profit made from

this plant. This plant is only for the welfare of the village societies.



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Dec 2007

It initiates the NAMKEEN production at NAVAPURAplant from Dec. 2007. It produces

different variants like

Ratlami Sev

Sing Bhujiya

Tikha-Mitha mix

Bikaneri Sev.

In Future there is also planning to produce one NAMKEEN product WAFERS.

Avg. production of Namkeen is 300 kg /day At present the production of namkeen, is only

at root level to test the market of namkeen. We get the better response from the market so it

is decided to increase the production and sales of nankeen from April 2009.

The dairy produces various milk \ milk products under the UTTAM brand name &

also manufactured various products under the AMUL brand name on behalf of Gujarat co-

op milk marketing federation ltd [GCMMF]. The union is operating in Ahmedabad district

covering 653 villages. Uttam dairy also do the co-op. development activities in district.

Uttam dairy has total no of 87100 members in village district co-op society. The Milk shed

has a milk production potential of 518 thousand kgs & per day having a marketable surplus

of about 2.29 LLPD out of the marketable surplus the union has capture a share of about

45%.



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The capacity available with the dairy for the manufacture of various products

is as under

Milk Processing : 250000 Ltrs per Day

Chilling centers : 150000 LPD

Butter : 6 T per Day

Ghee : 2 T per Day Maximum ORas per butter

Uttam dairy has 620 village societies from which it collects the milk. It has total no

of 81995 members in village district co-op society. There long distance between village

society to ADCMPUL, so it had established the chilling center. To handle the huge quantity

of milk it has established five chilling center at various lacation viz. Dehgam, Dhandhuka,

Viramgam, Katosan, Bapada which cover a majority of the surrounding villages. This is

essential considering that Milk is fast perishable Items and needs to be immediately chilled

for retaining its quality. Out of the five the chilling center at Dhandhuka has got additional

facilities the Milk at Dhandhuka caters to the market of saurashtra & Bhavnagar etc. The

milk of the 10 to 15 village societies is collected at the chilling center which is near to

them. But some village societies are far from the chilling center so the quality of milk of

that village societies are not maintained.

Under the CMP Project assisted by Govt of India, the Dairy started to install BMC

(Bulk Milk Cooler). There are 14 BMC already established under this project. The Bulk

Milk Cooler is one type of small chilling center There is also reduction in the transportation

cost because the Daily milk of morning and evening is store at the BMC and is taken to the

Uttam dairy only once in a day..



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Dairy Cooperatives account for the major share of processed liquid milk marketed

in the country. Milk is processed and marketed by 170 Milk Producers' Co-operative

Unions, which federate into 15 State Cooperative Milk Marketing Federations.

The Dairy Board's programmed and activities seek to strengthen the functioning of Dairy

Cooperatives, as producer-owned and controlled organizations. NDDB supports the

development of dairy cooperatives by providing them financial assistance and technical

expertise, ensuring a better future for India's farmers.

The Dairy co-operatives produce dairy products for which there is demand in the

cities and in the villages; produces dairy products not supplied by dairy plants located near

towns;

PRODUCESDAIRYPRODUCTSWHICH

Can easily compete with imported products;

Do not require costly or sophisticated equipment;

Require neither an expensive source of power nor a particularly complex

infrastructure;

Can be easily and cheaply moved without lowering the quality of the finished

product;

Can be sold in small unit sizes so as to reach a large number of consumers.

The union has made use of most advance technology for manufacturing various

milk products for providing better animal health care services and for building a socio-

economic strength. It is equipped with latest sophisticated plant & machinery suitable for

processing of milk & manufacture of products like table butter, ghee, and flavored milk

only in January 2003 & is currently operating at about 40000 bottles per day capacity. The

flavored milk is sold under the AMUL brand AMUL KOOL & UTTAM brand as

UTTAM MAST.



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1.4 DAIRY PLANT ACTIVITIES

Raw milk received in cans from VDCS or in tankers from chilling centers.

Raw milk processed within 45 minutes after arrival of cans / tankers.

The total milk received by the dairy per day

1. Cow Milk: 40%

2. Buffalos Milk: 60%

The average fat of the total milk is 5.9%

Theaverage SNF of the total milk is 8.8%

Raw milk is pasteurized & packed in deferent varieties as per PFA stander

Ghee, Butter Milk & F.M.(Flavor Milk) are also produced in uttam brand name &

marketed in local market.

DAIRYS EXTRA ACTIVITIES

Development of cross breeding farm. Till day total 45 organized dairy

demonstration farm developed in milk shed area.

Providing EWS, EMT, & AMCS to member DCS to upgrade milk collection

system at DCS level.



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1.5 ORGANIZATIONAL STRUCTURE

ADCMPUL IS DISTRICT LEVEL CO-OP UNION AND STRUCTURE OF ITS

BOARD IS AS UNDER

The total strength of Board is excluded the managing director of which 11 members

are Dairy farmer representatives who are elected by village level co-op societies. TheDistrict Registrar of co-operative society, Gujarat co-operative Milk Marketing Federation

Ltd., has one representative each on the Board.

The Board members are not owner Directors but are elected Directors having

awareness and good understanding of the agro- based industry, working of rural society,

expert knowledge of animal husbandry and problems of the farmers. The unit is run by

elected board consisting of representatives of farmers which is headed by chairman.

Chief executive under the board policy framework provided by the board runs the

day to day business to provide better remunerative to its stakeholders i.e. milk producers.

1.6 LABORATORY DEPARTMENT


Village level co-operative Societies as members

Board of Directors (Representative electedby Village Level co-op Societies

Chairman

Managing DirectorProfessional Employees


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The quality of milk checked in this department. There are various test are taken

from this department.

Orgenolaptic test (OT)

FAT test

SNF (solid note fat)

Acidity test

MBRT test (methylene blue reduction test)

APT test (Alkaline Phosphates test)

The Alcohol test determines the susceptibility of milk to coagulation due to

developed Acidity, Salt imbalance to detect milk, which has a tendency to cradle during the

temperature heating process or at high temperature heating process. It also detects abnormal

milk. The Fat and SNF is checked to see the quality of milk.

The milk is two times tested by the laboratory. First time, when the milk comes

from the societies and the another time when the milk had been pasteurized, Then to see the

quality of milk

1.7 MILK PROCUREMENT



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During the current financial year, we could increase milk procurement by more than

3% as compare to the previous year. The continuous increase in milk procurement is

market for the last two years but a lot yet to be achieved and we have to put continuous and

more efforts for increasing milk procurement.

During the year as a part of increasing milk procurement, proper monitoring was

done to improve the efficiency of management of the societies and payment of presence of

the representative of the union that has increased confidence of the producers, which is

reflected in the milk procurement.

DETAILS 2005-06 2006-07 2007-08

Cow Milk (Kg) 1,89,52,459 24195130 23958352Buff. Milk (Kg) 22285751 26125146 28124627Total Milk (Kg) 41238210 50320276 52082979Total Fat (Kg) 2354206 2539755 2956850Total SNF (Kg) 3608895 4399475 4554864Average Milk Procurement price

Rs. / Kg. Fat

205.00 226.00 261.00

In this age of Globalization, I requested all the members of the societies to be

vigilant for maintaining qualities standards of milk.

During the year, the Union has established Bulk Milk Chilling Units at Navapura,

keeping in view the milk being transported from interior villages of Dholka, Bavla, And

Sanand area and wastage of time for transportation in city traffic and storage of milk. This

has helped in reducing sources of milk and transportation expenditures resulting in

improvement of the quality of milk.

1.8 MAJOR TOWNS

1. Dahegam



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2. Saland

3. Viramgam

4. Katosan

5. Dhandhuka

6. Bapada

AGRICULTURE

MAIN CROPS

1. Bajra

2. Jowar

3. Cotton

4. Oilseeds.

2.1 PRODUCTION PROCESS DEPARTEMENT

There is different kind of process doing in the different department of the

production process,



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Milk Receiving Department.

Milk Pasteurization Department.

Milk Storage Department.

Milk Pouch Packing Section.

Butter Making Department.

Ghee Making Department.

2.2 UTTAMS PRODUCTS

Uttam Butter Milk



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Uttam Ghee

Uttam Saathi

Uttam Gold

Uttam Taza

Uttam Shakti

Uttam Chai Pasand

Uttam Pasteurization Script Milk

Uttam Tone

Uttam Double Tone

Uttam Flavor Milk

Rose

Kesar

Elaichi

2.3 FAT TESTING PROCESS

The instruments used in this process are as under;

Burro Meter (0 to 10%)



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Lock Sloper % Pin

Santri Flug Machine (48 C.M days a meter)

Milk Piper (10.75 ML)

Acid tilt megear (10 ML)

Level Bottle Plastic

Burro Meter Stand

Sulfuric Acid

ISO Email Alcohol

By using this method we find that, How much amount of fat present in milk? First

the milk is taken into the bicker & than in the bicker water is added. This solution put to the

burro meter. After, we will see fat present into the milk.

NSF TESTING

By using this process we would determine the amount of water present in the milk.

2.4 MILK RECEIVING DEPARTMENT

In this department, the following processes are being done;

A. This is the first process done into this unit.



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B. First all the trucks take to the Milk receiving Dock. There is a special quality of

every unit is that throughout every process Nil & is No one person doesnt touch

the product.

C. All the canes stands in the truck are put on the chain. Which is circular flowing?

D. Then all the canes weighted by the weighting machine. Also, some milk taken into

the bicker for testing.

E. Then all the empty canes are taken into machine for washing on the chain. All the

canes are washed by steam & hot water. At the end all the canes goes to end rout of

this unit & sprayed a chemical named Sodium Silicate to at clean.

F. This department is checked by the food product organization.

2.5 MILK PASTEURIZING DEPARTMENT

In this process milk is heated up to 80 C` & after immediately cooled it

because of it becomes microbes free. This process done twice in a day. After cream

removed from it & store it.



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2.6 MILK STORAGE DEPARTMENT

A. After pasteurizing, the milk & cream are stored in to the insulated tank

B. In this department there are 8 tanks stand & they are used for filling milk. The

capacity of each tank is 15,000 liters.

C. Standardized milk is used for making milk powder & bags for filling of Milk.

D. Cream used for making table butter & Ghee.

2.7 MILK POUCH PACKING SECTION

A. In this department the milk pouch of 500 ml. are filled.

B. Each machine can fill 60 pouches per minute.

C. All the pouches are put in to the cold-storage.

D. The pouches in the cold-storage are sending the district head quarter.

2.8 BUTTER MAKING DEPARTMENT

A. In this department the table butter is making from the pasteurized cream

B. This butter is making with the help contimen butter making machines.

C. It is packed in 500 gram packet.



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D. The capacity of the machine to make butter is 40 tones.

2.9 GHEE MAKING DEPARTMENT

A. In this process first butter obtain from the milk.

B. After this process the butter heated and lastly the ghee obtain.

C. It is packed in 500 gram, &15 kg tin pack.

D. The capacity of the machine to make ghee is 2 tones.

2.10 CATTLE FEED PRODUCTION DEPARTMENT:

To provide quality balance cattle feed to milk producers as per the requirement,

efforts being made to provide quality cattle feed to producers at a affordable price resulting

in increasing in cattle feed sales continuously. During the current year, production of M-

Feed has been initiated which not only improve milk production but also health of the

animals. It is appreciable that the milk producers have increased use of M-Feed Uttam Dan.



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The cattle feed is being supplied to Valsad, Sabarkantha, District Milk Unions and

also Kutch and Junagadh Districts on a smaller scale to increase capacity utilization of

Cattle Feed Factory.

3.1 INTRODUCTION

Marketing is the process of planning and executive the conception pricing,

promotion and distribution of ideas.

All the co-operative dairies of Gujarat have formed a common marketing agency

for their products. That is Gujarat co-operative milk marketing federation [gcmmf] with its

head quarter at Anand . Accordingly ADCMPUL is also selling its product to GCMMF,

which undertakes the marketing function on all India basis under the brand name of Amul

& sagar. While liquid milk is sold in pouches directly in various towns of Ahmedabad

College of Computer and Management Studies, Vadu.

YEAR SALE BY DCS (M.T) TOTAL SALE (M.T)

2005-06 9,160 20,366

2006-07 11,881 18,097

2007-08 13,449 22,506

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District under uttam Brand , outside the district. It is sold under amul Brand through

GCMMF.

The daily activity for all the milk comes, Packaging, dispatch till it reach to the

customers. All this responsibility is of the marketing department.

Up gradation and improvement of buffalo/cow breeds located in the district is of

prime importance for growth of business. ADCMPUL also provide animal health care

services and artificial inseminations at the door step of farmers with strong network of

qualified veterinarians mobile vans, wireless network and related infrastructure facilities.

To meet requirement of balanced cattle feed ADCMPUL has one cattle plant with a

capacity to manufacture 100 MT of cattle feed per day. The total production is consumed

by their member co-operative societies. The sale proceed are realized from the societies out

of the milk payment made to them although the same is on a no profit no loss

3.2 MARKET PROFILE

airy foods can be manufactured and packaged for export to countries where Indian

food enjoys basic acceptance. The manufacturing may be carried out in contract plants in

India. An option to market the products in collaboration with local establishments or

entrepreneurs can also be explored. Products exhibiting potential include typical indigenous

dairy foods either not available in foreign countries or products whose authenticity may be

questionable. Gulabjamuns, Burfi, Peda, Rasagollas, and a host of other Indian sweets have

good business prospects.



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3.3 DISTRIBUTION CHART



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PROMOTION PLANNING

Thing in a form which can satisfy the human wants is products.


Distribution Chart

UTTAM DAIRY

GCMMF

Self Distribution

Retailer

Customer

22


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ADEVERTISING

Dairy is advertising the products by Pamphlets, Paintings, Wordings, and Walls.

MEDIA

Times of India

Television

Magazines

3.4 PRICING DECISION

Followings points are kept in the mind at the time of pricing



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a. Demand of the products

b. Quality

c. Price of the products

d. Excise duty

e. Manufacturing cost

f. Commission retailers or distributor

3.5 SALES OF UTTAM MILK & PRODUCT



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The Union has made continuous efforts to improve the milk sale of Uttam brand

milk. This has resulted in increase of daily milks sale by 8% as compare to last year.

During the year , average daily Uttam milk sales in 76026 liters and Uttam Butter Milk

sells is 6700 liters. During the year, the G.C..M..M.F. its gave up packing of daily 76000

liters Amul brand milk and 7100 liters of Butter Milk and also Flavoured Milk. Im happy

to note the co-operation received from the officers of the G.C.M.M.F. and hope that similar

co-operation will be extended in future also.

DETAILS 2005-06 2006-07 2007-08

Uttam Milk Sales per

Day (liters)

76,754 71,654 76,026

Total Milk 79,27,76,489 94,08,63,779 1,08,35,70,891

F..M. Sales Amount Rs. 63,68,716 79,50,300 1,01,44,712Uttam Butter Milk Sales

Amount Rs.

3,50,00,192 2,78,55,801 3,91,83,831

Uttam Ghee Sales

Amount Rs.

5,11,94,185 3,86,47,579 3,98,62,246

Other products Sales

Amount Rs.

2,15,596 2,25,01,534 12,64,350

4.1 PROFIT AND LOSS A/C AT THE YEAR ENDED ON 31-03-2008

31-03-2007 Purchase 31-03-2008

2,43,93,677.00 Opening Stock 57405775.00

1047143902.69 Purchase 1203403133.40

43216762.63 Transportation Exp. 36242770.39



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33535028.36 Packing Exp. 35546747.95

16640698.55 Power and Fuel 29527711.04

12244945.13 Repairs & Maintains 10218491.94

1493344.88 Rates, Rent & Taxes 676641.40

21517467.72 Administration Exp. 20354592.828280779.75 Uttam Distribution Exp. 6544153.26

1488837.25 Vehicle Exp. 1080573.55

1640569.00 Legal & Professional Fees 1504483.00

2997848.00 Government Audit Conti. 3647292.00

940376.36 Post & Telephone Exp. 1058308.52

583856.42 Stationary Exp. 618580.03

76246046.82 Salary & Benefits 94851112.30

5509946.00 Technical Input 5430008.97

9316779.05 Interest Exp. 12962036.498266499.00 Depreciation Exp. 13250255.00

2009361.00 Income-Tax Exp.(Prev.year) 69279.00

1676000.00 Income Tax Provision 1400000.00

350000.00 F.B.T. Provision 300000.00

4587946.72 Profit during the year 5083268.55

1324080672.29 Total. 1541175214.61

31-03-2007 Purchase 31-03-2008

1,25,84,68,055.58 Sales 1,45,09,58,931.22

82,06,841.71 Other Income 1,15,90,189.39

5,74,05,775.00 Closing Stock 7,86,26,094.00

1,32,40,80,672.29 Total. 1,54,11,75,214.61

4.2 BALANCE SHEET AS ON 31-03-2008

31-03-2007 LIABILITIES 31-03-2008

10,00,00,000.00 Approved Share Capital 10 lacs share each of Rs.100 10,00,00,000.00

5,06,49,700.00 Paid-up Share Capital 5,34,447 share each of Rs. 100 5,34,44,700.00

46,11,250.00 Deposits 50,25,050.00



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2,00,66,232.47 Share Reserve 2,42,33,632.47

1,93,16,090.68 Reserve Fund & Others (as per Ann-1) 1,99,49,242.73

11,93,32,683.76 Loan (as per Ann-2) 15,50,06,319.15

13,42,57,454.45 Current Liabilities & Provisions 14,42,37,652.87

45,87,946.72 Profit for the current year 50,83,268.55

35,28,21,358.08 Total. 406979865.77

ASSETS

161171244.28 Fixed Assets (Ann.-1) 16,58,83,953.89

9786300.00 Investments (Ann.-2) 1,10,26,300.00

57405775.00 Closing Stock 7,86,26,094.00

110492899.76 Advance & Other debts 14,07,49,364.45

13965139.04 Cash & Bank balance 1,06,94,153.43

35,28,21,358.08 Total. 406979865.77

4.3 ANNEXURE 1

Particulars Amounts (Rs)

Reserve fund 1,69,58,311.75

General fund 29,90,930.98

Total 1,99,49,242.73



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4.4 ANNEXURE 2

4.5 ANNEXURE 3


Bank Loan

Particulars Amount (Rs)

NDDB Bank 6,68,29,204.00

Working Capital Loan NDDB 1,36,38,049.00

ADC Bank 2,45,222.00

Bank of Baroda-F.D Loan 3,93,95,796.00

State Bank of Saurashtra F.D Loan 91,29,986.00

UTI- Cash Credit 2,09,11,359.15

Canera Bank Loan 40,00,000.00

ICICI Bank Car Loan 8,56,703.00

Total. 15,50,06,319.15

Fixed Assets at the end of year 2007'08

Particulars 1/4/2007

book value

Increase in

F.A.

Decrease

in the

F.A.

book value

as on 31-3-

08 Depreciation

W.D.V. as

on 31-3-08

Land 20,68,153 45,68,234 66,36,387 66,36,387

Building 5,06,78,895 2,19,25,941 7,26,04,836 61,64,187 6,64,40,649

Plant and

machinery 2,91,89,950 1,28,80,689 9,47,260 4,11,23,379 58,25,187

3,52,98,192

Electric

Installation 13,18,458 53,862 13,72,320 1,34,952 12,37,368

Dead stock 25,47,872 4,76,493 30,24,365 2,88,507 27,35,858

Computer

Machine 3,34,227 1,47,730 4,81,957 2,63,887 2,18,070

Vehicles 32,15,432 6,30,026 5,26,826 33,18,632 5,71,717 27,46,915

Library 1,596 1,435 3,031 1,819 1,212

Total 8,93,54,583 4,06,84,410 14,74,086 12,85,64,907 1,32,50,256 11,53,14,651

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4.6 ANNEXURE 4


INVESTMENTS

Particulars Amt. Rs

Ahmedabad district co-operatives Bank ltd. 30,25,000.00

60,500.00 share of Rs 50 each

National co-operative Agro Marketing Federation

LTd 40,000.00

16 share of Rs 250 each

Guj. Narmada valley Fertilizer co- op. ltd 1,000.00

100 share of Rs. 10 each

Guj. State Fertilizer co- op. ltd 4,800.00


IFFCO 20 share of Rs.5000 each 1,00,000.00

1 share of Rs. 500

Guj. State Co-op. Bank ltd 5,000.00


G.C.M.M.F. ltd 78,50,000.00

7850 share of Rs. 1000each and Bonus Share

2,150

Total 1,10,26,300.00

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4.7 RATIO ANALYSIS

1) EARNING RATIO

RATIO 2007 2008

1)Gross Profit Ratio

=(NS-COGS)/NS*100

=(13,158.74- 10,715.38)/

13,158.74

=18.56%

=(15295.85-12,608.09)/

15295.85

=17.57%

2)Profit Ratio

=PBIDT /NS*100

=241.46/13,158.74*100

=1.83%

=326.95/15295.85*100

=2.14%

3)Net Profit Ratio

=NP/NS*100

=48.88/13,158.74*100

= 0.37%

=50.83/15295.85*100

= 0.33%

Interpretation:

Through the sales comparison to last year increase, the gross profit ratio and net

profit ratio is decreasing compared to last year. It is not good for the company. The

Company must take some action for the improvement.

.



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2) EXPENCE RATIO

Administrative cost = salary and wages + rent and taxes + repair and maintenance +

Telephone Exp. + Stationary Exp. + legal and prof. charges + Govt. audit Exp. + cattle

Welfare and medical Exp. + Office Exp. + vehicle Exp.

For the year 2007 = 762.46 + 14.93 + 122.44 + 9.40 + 5.83 + 16.40 + 29.97 + 55.09 +

215.17 + 14.88 + 3.50 = 1250.07

For the year 2008 = 948.51+ 6.76 + 102.18 + 10.58 + 6.18 + 15.04 + 36.47 + 54.30 +

203.54 + 10.80 + 3 =1397.36

Selling and Distribution Exp

For the year 2007 = 82.80 + 432.16 + 335.35 + 166.40 = 1016.71

For the year 2008 = 65.44 + 362.42 + 355.46 + 295.27 = 1078.59

RATIO 2007 2008

1)Administration Cost Ratio

=Adm. Cost/NS*100

2)Selling and distribution

Exp.S & d cost/ NS*100

3)Finance Cost Ratio

=Fin. Cost/NS*100

=1250.07/13,158.74*100

=9.50%

1016.71/13,158.74*100

=7.73%

93.16/13158.74*100

= 0.71%

1397.36/15295.85*100

=9.13%

=1078.59/15295.85*100

=7.05%

129.62/15295.85*100

= 0.85%

INTERPRETATION



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Here Administrative cost is decreased and selling and distribution cost is also

decreased, but financing cost also is increased. Allover cost is somehow is decreased, so it

is good for the company.

3) LIQUIDITY RATIO

RATIO 2007 2008

1)Current Ratio

=C.A. /C.L.

=1819.18/1342.57

= 1.35

=2300.07/1442.37

=1.6

2)Liquidity Ratio

=C.A.-Inventories/C.L.-

BOD

1245.13/1342.57

= 0.93

=1514.44/1442.37

= 1.05

INTERPRETATION

Normally current ratio 2:1 is good. Here the ratio compare to 2007 is good. The

current ratio is increasing comparing to the last year& liquidity ratio is also increasing. It isgood for the company

4) UTILIZATION RATIO

RATIO 2007 2008

1) F.A turnover

=sales/F.A.

=13158.74/1611.71

= 8.16

=15295.85/1658.83

=9.222)N.A. Turnover

=sales/N.A.

=13158.74/3528.21

=.3.73

=15295.85/3965.23

= 3.86

INTERPRETATION



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Here F.A. is increased so F.A turnover over ratio is decreased .N.A. Turn over ratio

is increased because sales is increased

5) RETURN RATIO

INTERPRETATION

Return on N.A. is increased and return on N.W. is slightly decreased it is good forthe company.


RATIO 2007 20081) Return on N.A.

=PBIT*100/N.A.

=158.80*100/3528.21

=4.5%

194.45*100/3965.23

=4.9%

2) Return on N.W.

= PAT*100/N.W.

48.88*100/1946.60

=2.511%

=50.83*100/2026.51

=2.510%

33


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4.8 ASSETS

170957545

176910253

166000000

168000000

170000000

172000000

174000000

176000000

178000000

2006-07 2007-08

ASSETS

ASSETS

4.9 CAPITAL (LAST 2 YEARS)

CAPITA

5064970

5344470

49000000

50000000

51000000

52000000

53000000

54000000

2006-07 2007-08

CAPITAL



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4.10 PROFIT

PROFI

458794

508326

4200000

4400000

4600000

4800000

5000000

5200000

2006-07 2 007-08

PROFI

4.11 RESERVE

RESERV

1931609

1994924

18800000

19000000

19200000

19400000

19600000

19800000

20000000

2006-07 2007-08

RESERVE



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4.12 TAXES

TA

2 0 0 9 3 6

6 9 2 7

0

5 0 0 0 0 0

1 0 0 0 0 0 0

1 5 0 0 0 0 0

2 0 0 0 0 0 0

2 5 0 0 0 0 0

2 00 6-0 7 2 00 7-0 8

TA



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5.1 ADMINISTRATION DEPARTMENT

The employee is the important part of the organization because without them no

work can be completed so for the employee the separate department is made. In this

department, all the services and facility related to them are provided. In uttam dairy all the

activity related to employee done in the administration department

All the transaction related to employee is done in this department like salary,

Provident Fund, leave, promotion, demotion, retirement benefit, Bonus, allowances,

workman compensation fund, gratuity, ESI [employee state insurance ] employee deposit

claim insurance [ EDCI ], LIC policy for employee etc.

The monthly salary of the employee is calculated on the basis of the attendance of

each employee. From the Salary, It deducts Provident Fund, Drawing, TDS, ESI etc. then it

measured.

Each employee gets the some casual and other occasional leave. If they absent more

then this leave given to them then salary is deducted for extra leave. in Uttam dairy, there

are 33 privilege leave, 14 casual leave, and 10 medical leave is given. The employee gets

either 10 medical leave or ESI [Employee State Insurance]. The employee whose salary is

less than 10000 has given ESI. The premium of ESI is deducted from the salary .The leave

which is not taken for that day extra amt of salary is given to them.

The increment or the promotion is given to the employee according to their

performance. The uttam dairy provide other facilities like EDCI [employee deposit claim

insurance] under this if the person die, then the EDCI is helpful to them. The bonus is givenon Diwali. The Percentage of bonus is same for all employees.



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The Food grain Allowances is given to the employees who needed. Under this

allowance the employees who need some amount of money is given on the installment.

This installment is deducted from the salary. The Provident Fund, 12% of the salary is

deducted.

At Viramgam, employee is given workman compensation fund instead of ESI

[employee state insurance] the WCF is more beneficial then ESI. The gratuity is given

65%. There are 20 days per year of gratuity.

This all facilities are given for the Employee Welfare in this Department.



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5.2 NUMBER OF EMPLOYEES

437 Employee working in a dairy

Workers on Contract Bases (as per requirement)

5.3 FACILITIES FOR VILLAGES FARMERS

1. Dairy give more & more facilities to village farmers.

2. Dairy provides treatment to their animal.

3. Dairy also arranges free camp for providing treatment of animal.

4. Dairy providing facilities group saving system to farmers.

5. All 10 days dairy give salary to the farmers who are helpful in provide a milk.



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OTHER ACTIVITIES

One dispensary in dairy and give facility to their workers

All workers take free medicine and other facility.

12 doctors in a Dairy

FUTURE PLANS

Main future plan is a collection of 2 lack litters of milk from the village.

Add new and more qualitative product.



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6. SWOT ANALYSIS

STRENGTHS

A. Uttam Dairy have good manpower

B. Good Distribution Channels

C. Good financial condition of the firm in current situation

D. Talented and efficient manpower

WEAKNESS

A. Lack of Advertisement

B. No ERP System

C. Company has old Machinery.

OPPORTUNITIES

A. As the economy is growing in a way of development most of the people

now a days prefer to go for government firms rather than private.



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7. FINDINGS AND SUGGESTIONS

FINDINGS

The firm has good reputation in the market

The firm has talented and efficient manpower with it.

There is lack of advertisement by the firm.

It is capable to compete with other firms

SUGGESTIONS

Company should acquire or implement ERP system.

The firm should increase it advertisement as there is lack of advertisement by thefirm to tackle competition with other firms.



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8. CONCLUSION

UTTAM dairy is a having Goodman power & consumer &management executive

officers & better staff and the chairman of his well knowledge are experience person.

Right from date of establishment the dairy has shown faces between result them it

was expected.

Uttam dairy has wide scope of develop in coming year.



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9. BIBLIOGRAPHY

1. www.nddb.com

2. www.daryindia.com

3. www.dairyindustry.com
http://www.nddb.com/http://www.daryindia.com/http://www.dairyindustry.com/http://www.nddb.com/http://www.daryindia.com/http://www.dairyindustry.com/

ahmedabad district co-operative milk producers’

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