Karnataka Co-Operative Milk Federation – a harbinger of rural prosperity

Karnataka Milk Federation (KMF) is the largest cooperative dairy Federation in South India,

owned and managed by milk producers of Karnataka State. KMF has over 2.13 million milk

producers in over 11443 Dairy Cooperative Societies at village level, functioning under 13

District Cooperative Milk Unions in Karnataka State. The mission of the Federation is to

usher rural prosperity through dairy development. During the last four decades of cooperative

dairy development by KMF, the dairy industry in Karnataka has progressed from a situation

of milk-scarcity to that of milk-surplus. 

 

“Quality Excellence from Cow to Consumer” – is the motto of the Federation to obtain

better-quality Milk and milk products from our value chain (Procurement to Processing to

Marketing). Thus milk and milk products, under brand name, are unmatched in

quality made available to consumers at most competitive prices. In a way Nandini Milk and

Milk Products are “Spreading wealth of health”.

ABOUT US

 Karnataka Cooperative Milk Producers' Federation Limited (KMF) is the Apex Body in

Karnataka representing Dairy Farmers' Co-operatives. It is the second largest dairy co-

operative amongst the dairy cooperatives in the country. In South India it stands first in terms

of procurement as well as sales. One of the core functions of the Federation is marketing of

Milk and Milk Products. The Brand  "nandini" is the household name for Pure and Fresh milk

and milk products.

KMF has 13 Milk Unions throughout the State which procure milk from Primary Dairy

Cooperative Societies(DCS) and distribute milk to the consumers in various

Towns/Cities/Rural markets in Karnataka.

The first ever World Bank funded Dairy Development Program in the country started in

Karnataka with the organisation of Village Level Dairy Co-operatives in 1974. The AMUL

pattern of dairy co-operatives started functioning in Karnataka from 1974-75 with the

financial assistance from World Bank, Operation Flood II & III. The dairy co-operatives were

established under the ANAND pattern in a three tier structure with the Village Level Dairy

Co-operatives forming the base level, the District Level Milk Unions at the middle level to

take care of the procurement, processing and marketing of milk and the Karnataka Milk

Federation as the Apex Body to co-ordinate the growth of the sector at the State level.

Coordination of activities among the Unions and developing market for Milk and Milk

products is the responsibility of KMF. Marketing Milk in the respective jurisdiction is

organized by the respective Milk Unions. Surplus/deficit of liquid milk among the member

Milk Unions is monitored by the Federation. While the marketing of all the Milk Products is

organized by KMF, both within and outside the State, all the Milk and Milk products are sold

under a common brand name NANDINI.

THE GROWTH PROCESS

The growth over the years and activities undertaken by KMF is summarised briefly

hereunder:

           KEY ITEMS                   

 

1976-

77

2011-2012(Up to

Mar'12)

Dairy Co-operatives Nos 41613006 REGED / 11568

Funct

Membership Nos 37000 21.51 Lacs

Avg. Milk Procurement Kgs/day 50000

Avg.42.85

   Peak Proc.46.49(Nov'11

) LKPD

Milk Sales Lts/day 95050

28.90 LLPD / Curd:2.74

LKPD / Good life  2.19

LLPD

Cattle Feed Consumed Kgs/DCS 220 2958

Daily Payment to Farmers Rs.Lakhs 0.90 785

TurnoverRs.Crore

s5823.69

 

World Bank Study - Observations

The World Bank, in its study on the effect of Co-operative dairying in Karnataka, has pointed

out that :

The villages with Dairy Co-operative Societies are much better off than those without.

The families with dairy cattle are economically better than those without dairy cattle.

Women who had no control on the household income have better control in terms of

Milk Money.

A single commodity �MILK� has acted as a catalyst in the change in the Socio-

Economic impact of the rural economy.

There is a positive impact on those at the lower end of the economic ladder both in

terms of landholding and caste.

 

PERSPECTIVE PLAN 2010

After the closure of OF-III project. Government of Karnataka and NDDB signed an MOU

during February 2000, for further strengthening the Dairy Development Activities in

Karnataka with an outlay of Rs.250 Crores. Consequent to the announcement of new lending

terms and conditions by NDDB through an evolution of an action plan - Perspective 2010 to

enable the dairy cooperatives to face the challenges of the increased demand for milk and

milk products by focusing efforts in the four major thrust areas of Strengthening the

Cooperatives. Enhancing Productivity, Managing Quality and building a National

Information Network, plans are under implementation.

FUTURE VISION

To consolidate the gains of Dairying achieved in the state of Karnataka and with a view to

efficiently chill, process and market ever developing and increasing milk procurement with

an utmost emphasis on the Quality and in the process conserve the socio-economic interests

of rural milk producers, the Govt. of Karnataka through KMF has proposed to undertake

several projects with financial and technical support of NDDB for which an MOU was signed

between Govt. of Karnataka and NDDB on 10th Nov. 2004.

UNITS OF KMF

KMF has the following Units functioning directly under its control:

Mother Dairy, Yelahanka, Bangalore.

Nandini Hi-Tech Product Plant, Channarayapatna.

Nandini Milk Products, KMF Complex, Bangalore.

Cattle Feed Plants at Rajanukunte/Gubbi/Dharwad/Hassan.

Nandini Sperm Station (formerly known as Bull Breeding Farm & Frozen Semen

Bank) at Hessaraghatta.

Pouch Film Plant at Munnekolalu, Marathhalli.

Central Training Institute, Bangalore & Traning Institutes at Mysore/Dharwad.

Sales Depots at B'lore, Mysore, M'lore, Hubli, Gulbarga, Tirupathi & Kannur.

Vision

To march forward with a missionary zeal which will make KMF a trailblazer of

exemplary performance and achievements beckoning other Milk Federations in the

country in pursuit of total emulation of its good deeds.

To ensure prosperity of the rural Milk producers who are ultimate owners of the

Federation.

To promote producer oriented viable cooperative society to impart an impetus to the

rural income, dairy productivity and rural employment.

To abridge the gap between price of milk procurement and sale price.

To develop business acumen in marketing and trading disciplines so as to serve

consumers with quality milk, give a fillip to the income of milk producers.

To compete with MNCs and Private Dairies with better quality of milk and milk

products and in the process sustain invincibility of cooperatives.

MISSION

Heralding economic, social and cultural prosperity in the lives of our milk

producer members by promoting vibrant, self-sustaining and holistic cooperative

dairy development in Karnataka State

 

Objectives

KMF is a Cooperative Apex Body in the State of Karnataka representing organisations of

milk producers' and implementing alround dairy development activities to achieve the

following objectives:

To ensure assured and remunerative market round the year for the milk produced by

the farmer members.

To make available quality milk and other premier dairy products to urban consumers.

To build & develop village level institutions as cooperative model units to manage the

dairy activities.

To ensure provision of inputs for milk production, processing facilities and

dissemination of know how.

To facilitate rural development by providing opportunities for self employment at

village level, preventing migration to urban areas,introducing cash economy and

opportunity for a sustained income.

The philosophy of dairy development is to eliminate middlemen and organise institutions to

be owned and managed by the milk producers themselves, employing professionals. To sum

it up, every activity of KMF revolves around meeting one basic objective: 'Achieve

economies of scale to ensure maximum returns to the milk producers, at the same time

facilitate wholesome milk at reasonable price to urban consumers'. Ultimately, the complex

network of cooperative organisation should build a bridge between masses of rural producers

and millions of urban consumers and in the process achieve a socio-economic revolution in

every hinterland of the State.

Board of Directors

SRI G.SOMASEKHARA REDDY

CHAIRMAN

KARNATAKA MILK FEDERATION

H.D.REVANNA

 HASSAN UNION 

G.P.REVANASIDDAPPA

SHIMOGA UNION 

 

K.V.NAGARAJU

 KOLAR-

CHIKKABALLAPURA

UNION

  H.J.CHANDRU

MANDYA UNION

MARUTHI

KASHAMPURA

 GULBARGA-BIDAR

UNION

  P.NAGARAJU

BANGALORE UNION

H.K.RENUKA PRASAD

 TUMKUR UNION 

 SATHISH KESHAV BHAT

DHARWAD UNION

SANJAY GOWDA R

PATIL

 BELGAUM UNION

 

 MALLIKARJUNA

SHANKARAPPA JAGURA

BIJAPUR-BAGALKOTE

UNION

RAVIRAJ HEGDE

 DK-MANGALORE

UNION

  D.V.SADANANDA GOWDA

NOMINATED DIRECTOR

E. ASWATHNARAYANA

 NOMINATED

DIRECTOR

  MANGALADEVI BIRADAR

NOMINATED DIRECTOR

S.C.ASHOK

MYSORE-

CHAMARAJANAGAR

UNION

 

DR.M.N.VENKATARAMU

MANAGING

DIRECTOR, KMF

   

SMT.MANJULA, IAS

PRINCIPAL SECRETARY

TO GOK AH&F

 S.G.HEGDE,IAS

RCS

   

DR.D.M.DAS

DIRECTOR AH&VS DEP,

GOK

 B S KHANNA

GM, NDDB

Milk

 

Pasteurised Toned Milk

Shubham Milk

Nandini Double Toned Milk

 

Homogenised Cow's Pure Milk

Goodlife Milk

Goodlife Slim Milk

 

Sampoorna Standardised Milk

Smart Double Toned Milk

Goodlife UHT Long Life Milk

Curds & other fermented products

 

Yoghurt

Real Thick Curd

Curd

 

Butter Milk

Premium Curd Large

Set Curd

 

Sweet Lassi

Milk powder

 

Dairy Whitener

Skimmed Milk Powder

Badam-Powder