The Milk Supply Chain

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Submitted BY S.HAVISH Gitam School Of international business

4/17/12

Executive Summary
Weve studied the supply chain of Visakha cooperative dairy. The issues & constraints in each stage of the supply chain were identified. We have given some suggestions for improvements in the supply chain. Some benefits which the farmers are expecting from the Cooperative dairy and Government were also discussed.

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The Supply Chain Need to Know Process Flow Summing Up Thought to take Away

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The Supply Chain Need to Know Process Flow Summing Up Thought to take Away

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The Supply Chain

Producti on of Milk Farmer Collectio n of Milk Collectio n Centre Chilling Processi ng Distributio n Retailing Consum er

Chilling Centre

Dairy

Distributo rs

Retailer s

45-60 mns

Click to 45 Master subtitle style edit 7 5

mns hours
hours

2 hours

16 hours
Proce ss Facility/ Partner

Temperature Constraints

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Chilling Centre: 40 C Dairy: 2-40 C

The Supply Chain Need to Know Process Flow Summing Up Thought to take Away

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Milk Production(2009)

India- 108.5MT, followed by USA- 80MT Andhra Pradesh- 9.57MT(2nd rank) India- 258 gms/day Andhra Pradesh- 317gms/day Rural- 47.3 Rs Click to edit Rs Urban- 83.3 Master subtitle style

Per Capita Availability of Milk (2009)

Per Capita Monthly Consumption Expenditure(2005)

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Livestock Population(2003)
India has 53% of world Buffalo population and 15% of world Cattle population

Cattle

India-185.2Million Andhra Pradesh- 9.3Million

Buffaloes

India-97.9Million Andhra Pradesh- 10.6Million

Visakha Dairy

Procurement (Lts in Lakhs) 2007-08= 1407.71

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Dairy Information

No. of Milk Chilling Centers- 3 No. of Bulk Cooling Centers- 84 No. of Feed Mixing Plants- 2 Union Training Centers - 1 No. of societies - 1545 No.of Women Societies- 67 No. of Producers in Societies- 179146 No. of Women Members- 33245 4/17/12 No. of Veterinary First Aid Centers- 661

The Supply Chain Need to Know Process Flow Summing Up Thought to take Away

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MILK-SUPPLY CHAIN

MILKING

COLLECTION CENTRE (Measuring of Milk Weight & Fat Content)

CHILLING CENTRE (Temp= 4C)

STORE PROCESS PACKAGE

RETAILER

CONSUMER

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The End-to-End Chain

Product ion of Milk

Farm Click to edit Master subtitle style er

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Visakha Dairy Supply Chain

Collectio n of Milk

Collecti Click to edit Master subtitle style on Centre

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Visakha Dairy Supply Chain

CHILLIN G

Average fat CHILLIClick to edit Master subtitle style content Chilling the Milk in NG CENTR Tankers
E

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Dispat ch

Visakha Dairy Supply Chain

PROCESSI NG

Processing (ex. Pasteurization)

Dairy

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Visakha Dairy Supply Chain

DISTRIBUTI ON

DISTRIBUT Click ORS

Visakha Dairy to edit Master subtitle style trucks

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Visakha Dairy Supply Chain

RETAILING

Non-Exclusive Retailers

RETAILER Click to edit Master subtitle style S

Exclusive Retailers

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Visakha Dairy Supply Chain

CONSUMER

Click to edit Master subtitle style

Types of Milk Types of Consumers

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7PM-8PM-Distribution of unpacked Milk 8PM-3AM Chilling & Distribution to Dairy 3AM-8AM- Processing

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The Supply Chain Need to Know Process Flow Summing Up Thought to take Away

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SWOT ANALYSIS

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STRENGTHS
Continuous Demand Improved transportation facilities Availability of raw material Manpower Availability of processing equipment

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WEAKNESSES
Perishability Logistics of procurement Diseases Seasonal fluctuations in milk production patterns

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THREATS
Foreign products entry Increasing chemical contaminants Drought conditions

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OPPORTUNITIES

Value addition (product development, packaging) Export potential Employment generation

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The Supply Chain Need to Know Process Flow Summing Up Thought to take Away

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Conclusion

The Supply Chain of Visakha Dairy was studied The prices depend on the fat content of the milk Farmers requirements

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Ways to Improve Productivity

Setting up of Dairy Research Institutes Genomic Practices Reefer cans from the collection point

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Thank You

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