Riding on the back of increased prices, brand Amul is likely to cross the Rs 50,000 crore turnover mark in the current year. Gujarat Cooperative Milk Marketing Federation, owner of the Amul brand, has already hiked the price of its range of liquid milk products twice this year. Liquid milk constitutes the major portion of GCMM’s revenues, which stood at Rs 46,500 crore in the year ending 31 March 2022, an 18 per cent increase over the previous year.
The prices of Amul curd, lassi and buttermilk are also set to go up with the GST Council decision to eliminate exemptions on these products. The 5% GST, which is set to be passed on to consumers, will further increase Amul’s total revenues. “Prices of these products will certainly increase as per the GST,” GCMMF managing director RS Sodhi has said.
Rising milk procurement costs and GST will certainly push Amul’s turnover up, though not in a very positive way, so far as consumers are concerned. The Federation is trying to increase turnover in a good way with the introduction of a range of new products such as Protein Lassi and Protein Buttermilk. Amul is also adding to its chocolate range with Amul Bindaaz, a wafrer bar similar to Kit-Kat. But these new products are unlikely to contribute in any major way to GCMMF’s turnover in the current year. Meanwhile, Amul has quietly been hiking the prices of its ice cream range.
