Report on banas dairy

An Industrial Visit On Banas Dairy
1
INDEX
Chapter
No
Particular
Page
No
1. COMPANY PROFILE
1.1 Name
1.2 Registered Address
1.3 Brief History
1.4 Mission & Vision
1.5 Product
1.6 Form of Organization
1.7 Organization
1.8 Location issues
1.9 Award and Achievement
2. PRODUCTION
2.1 Production classification
2.2 Production process
2.3 Production capacity
2.4 Plans layout
2.5 Raw material and its procurement
2.6 Ways to handle industrial waste
3. MARKETING
3.1 Basic data about product
3.2 Price distribution and promotion as 4 p‟s Of Marketing
3.3 Competitors
4. HUMAN RESOURCE
4.1 Number of employees at each level
4.2 Shift
4.3 Recruitment
4.4 Selection
4.5 Training initiatives
4.6 Compensation
4.7 Policies regarding promotion and transfer
5. FINANCE
5.1 Investment in the organization
5.2 Sources of funds
5.3 Last 3 years sales turnover
5.4 Profit and Loss account
6. BALANCE SHEET
7. SOCIAL RESPONSIBILITY

2
Company Profile
Type Cooperative
Industry Milk and milk items
Founded 1969
Headquarters Palanpur, Gujarat, India
Key people Shankarbhai Chaudhary (Chairman)
Mavjibhai Desai (Vice Chairman)
Sanjay Karamchandani (MD)
Revenue INR 6,800 crore (2014–15)
Total employees 3000 employees are working at Banas Dairy.
Slogan An oasis in desert
Website www.banasdairy.coop
Address:- Banaskantha District Co-Operative Milk Producers Union Ltd.
Banas Dairy Post box No-20
Palanpur - 385001 Gujarat (India)
Phone: 02742-253881-5
Fax: 02742-252723
E mail: projectsatbanasdairy.coop

3
History
Late Galbabhai Patel, founder chairman and the selfless sage cocooned a dream to uplift Socio-economic
status of village farmers which is fulfilled through the creation of a Co-operative milk union for
Banaskantha district, on the foot print of “Amul Dairy” of Kaira district, the ideal model of a co-operative.
Consequently, eight village level co-operative milk societies in Vadgam and Palanpur taluka of district
were registered and started collecting and pouring milk at dudhsagardairy,Mehsana from 3
October,1966.The milk union got registered under the Co-operative Act on 31st January,1969 as
Banaskantha District Co-operative milk producers‟ Union Limited, Palanpur, popularly known as
“BANAS DAIRY”.
The foundation stone was laid down by late Galbabhai Patel on 14th January.1971 at 122 acres land
acquired near Jagana village in order to set up dairy plant under the Operation Flood programme launched
by National Dairy Development Board. On 7th may,1971 the dairy started functioning at the same place
with handling capacity of 1.5 lac liters of milk that was expanded later on with processing capacity of 4lac
liters milk per day.
As a result of relentless efforts of dedicated and committed leadership by founder chairman late Galbabhai
Nanjibhai Patel, Ex.Chairman late Galbabhai Manjibhai Patel Ex. Chairman working on co-operative
principles won the trust of milk producers. Ultimately, it has been transforment onto the modern dairy
complex, the largest Dairy Co-operative in India.
A small step, organizing some societies and collecting few hundred liters of milk in the year1966 has
turned in to a quantum leap, when the ambitious and ultra-modern automated dairy plant of Asia continent
has been shaped adjoining to first plant (Banas II dairy) with cost of Rs.110Crore to meet not only present
but also future need to handle 10.5 lac liters milk per day.
The Banas II Dairy Complex has the most modernized State-of –The-Art Technology having been
equipped with three types of programmable Logical Controls (plcs).in addition, it has more than 560
pneumatic valves under the intelligent System. Surprisingly, entire processing of plant is being operated
through Man-Machine-Interface (MMI). The reporting has been done with automatic system as well. The
plant manufactures the products of international quality due to uninterrupted rhythm in processes and
operation.

4
Mission &Vision.
MISSION:-
 Applying the principles of quality management system and food safety management for continuous
enrichment of our management processes.
 Providing remunerating returns, quality input services, introducing innovative and appropriate
schemes and services to our milk producers.
VISION:-
 The main vision of the company is providing maximum benefit to the members who are connecting
with the company.
 The union will procure 12 lakh litters of milk daily. The milk processing capacity of the plant will
be 12 litters per day & cattle feed processing capacity will be 500 mt per day erp (enterprise
resources planning) will be implemented.

5
Product
Milk
Butter
Dahi
Kool

6
Ghee
Khoa
Amulya
Shrikhand
Butter milk

7
 Form of Organization:-
Co-operative
Organization structure

8
Location Issues
There are some reasons for location selection which are given below:-
 Company can easily obtain the raw material.
 Obtain the cheaper land.
 Company investment.
 Main points this ger providing he power supply.
 It was from the city that is why there is no problem of pollution to the city people.

9
Award
Sr No. Events Year
1 The award for the best Performance Year in Productivity-Dairy Development &
Production in Co-operative Sector (Product Plant)-conferred upon Banas Dairy by
Dr.Balram Jakhar, Union Minister of Agriculture at New Delhi.
1992-93
2 The award in recognition of Performance in Productivity-Dairy Processing Industries-
Conferred upon Banas Dairy by Dr.Shanker Dayal Sharma Hon'ble President of India
at New Delhi.
1993-94
4 The awerd in recognition of The best Productivity Performance-Dairy Processing
Industries -conferred Upon Banas Dairy by Shri Sikander Bakht, Minister of
Industries at New Delhi.
1996-97
5 The award in recognition of the second Best Performance in Productivity-Dairy
Processing Industry- Conferred upon Banas Dairy by Shri. Krishan Kant, Hon'ble
Vice President of India at New Delhi.
1997-98
6 The award in recognition of the second best Productivity Performance-Dairy
Processing Industry-conferred upon Bans Dairy by Shri Arun Jetly ,Hon'ble Cabinet
Minister of Commerce and Industry At New Delhi.
1999-00
7 The award in recognition of the best Productivity Performace-Dairy Processing
Industry-conferred upon Banas Dairy by Shri Arun Jetly.
2000-01
8 The award in recognition of the second best Productivity Performance-Dairy
Processing Industry-conferred upon Bans Dairy by Shri Arun Jetly.
2001-02
9 The award in recognition of the best Productivity Performace-Dairy Processing
Industry(Large Unit)-conferred upon Banas Dairy by Shri Suboth Kant Sahai, Hon'ble
Minister of State for Food Processing Industry(Independent Charge) on 26
August.2005
2003-04
10 Shri Parthibhai Bhatol honoured as Rajkot by Hon'ble Union Minister of Agriculture
Shri Sharad Pawar.
2004
11 Life Time Achievement Award to Shri Parthibhai Bhatol, Chairman, Banas Dairy by
International Industries Council, New Delhi.
2005
13 The award in recognition of the best Productivity Performance-Dairy Processing
Industry(Large Unit)-conferred upon Banas Dairy by Shri Subodh Kant Sahai, Hon'ble
Minister of State for Food Processing Industry(Independent Charge) on 19th
March,2008
2005-06
14 Harmony Silver Award 2008 conferred upon Shri P.G. Bhatol, Chairman, Banas Dairy
by Harmony Silver Foundation, Mumbai for significant contribution in Social Field as
a Senior Citizen.
2008
15 Received Commendation Certificate of the prestigious Rajeev Gandhi National
Quality Award (RGNQA) in large manufacturing category for the year 2008 given
away by Prof. K V Thomas, Minister of State, GOI and received by Shri S R
Chaudhary, MD of Banas Dairy.
2009
16 The Quality Conucil of India, New Delhi gave away D.L. Shah quality, Award to
Banas Dairy which was accepted by Shri P.G. Bhatol, Chairman, Banas Dairy.
2010
17 Hon'ble Chief Minister of Gujarat Shri Narendra Modi Gave away Award to Banas
Dairy for planting 6 lacs tree in collaboration with District Administration on 15 th
August,2010
2011

10
Achievements
Sr No. Events DateYear
1 Registered 8 Village level Co- operative Societies in vadgam and Palanpur
Taluka Besides Started Sending milk at dudh sagar Dairy Mehsana.
3rd October,1966
2 The Banaskantha District Co-operative milk producer „Union Limited.
(Banas Dairy) Got register under co-operative law.
31st
January, 1969
3 Banas Dairy (pilot Chilling plant) stared functioning. 7th May, 1971
4 Khimana milk chilling center commenced functioning. 17th June,1972
5 Animal Husbandry services stared Functioning. 14th April,1974
6 Commencement of Skim milk Powder production. 26th,January,1975
7 Tharad milk chilling center commenced functioning. 14th March,1979
8 Commencement of dispatching milk to Mother Dairy Delhi through rail
milk tanker.
17th March,1980
9 Danta milk chilling center Started functioning. 1st
November,
1983
11 Galbabhai Dairy Co-operative Training Center made functining. 8th October,1984
12 Amulya milk powder production commenced. 9th
December,1986
13 Co-operative Development Programmed commenced. 1st July,1989
14 New powder plant of 30 TPD started production. 1st October,1993
15 Foundation stone of Banas -II project was laid by padma vibhusan Dr.V.
Kurien, Ex,Chairman of NDDB and chairman ofGCMMF Ltd.
2nd october1998
16 Banas Dairy was awarded ISO 9002 & HACCP certification. 15th june,1999
17 First consignment of whole milk powder exported to Oman. 13th
Fedruary,2001
18 Production of ice cream. 10th May, 2003
19 Bhumi Pujan at Dama for AH complex. 23rd
September,2004
20 AMUL Kool liquid sterilized flavored milk Launched. 24 th August, 2005
21 Kanpur milk packing & Marketing Started. 23rd August ,2006
22 Dhudh Sanjeevani Scheme de dictated to people by Hon' ble Chief Minister
of Gujarat Shri Narendra Modi.
9th February,2007
23 Semen Freezing at seman collection Station, dama started. 1st August,2007
24 Pilot project of paneer production started. 9th june,2009
25 Foundation stone of Banas III Dairy Complex and Inauguration of cattle
Feed plant by Hon'ble chief Minister of Gujarat, Shri Narendra Modi.
7th August,2010
26 Historical milk Train started from palanpur to Kanpur carrying milk and
milk products.
11th February,2011
27 Pilot project on Cheese production started. 18th May,2011
28 High speed Tetra pack Milk (UHT)packing line stared. 28th
December,2011

11
Production Classification
Product classification is very essential for a firm. In firms like dairy industries they must have better
classifications number of product are more.
The Banas dairy produces different types of product manufacturing in the factory plant.
Production Capacity
RAW MATERIALS SALES PROFIT
50 Lakh Liters 500-600 Crores 55 Crores

12
Production Process
Milk Powder
In the milk powder production the milk is taken from the balance tank at sugar at other material are added
in it. Then the milk is heated in the vaccine and it is sprayed by hot at a high temperature because of it, the
milk is converted into the powder. then the powder is tested in the laboratory. After testing it is stored in
storage for limited time. After that it is packed and in storage from the storage the powder is directly
dispatched.
Milk from balance tank
Adding sugar at other material
Heating of milk
Sprayed by hot air
Milk Powder
Lab testing
Powder packing
Storage
Dispatch

13
ICE CREAM
Hit fat milk
M.P.T
Milk powder
Sugar
Homogenize
Pasteurizing
Again tank
Flirting tank
Continues freeze
Packing
Storage
Dispatch

14
Ghee
Process of butter melting
Process of heating butter in ghee cattle
Balance tank
Presenting tank
Clarification
Setting tank
Testing
Packing
Storage
Dispatch

15
Butter
In butter production first of all separated cream is taken from cream tank than it is tested. After testing the
cream color is added as per requirement in churning machine. After the moisture test is taken of the butter.
Then is tested that butter is standard or not. Then final moisture test is taken. After this. Butter is kept I
trolley for taking it to the packing department. After packing. The butter is stored in the cold storage at is
dispatched in the refrigerated van.
RAW CREAM
o Reading in comfortable butter Loading
o Additional of color churning Comfortable in
o Butter milk dreaming CBMM for
o Washing of butter White butter
o Additional of salt
o Table butter unloading
o In trolleys Packing
Packing of butter

16
Plant Layout
Banas Dairy has currently 4 running Dairy Plants (where LLPD - Lakh Litter Per Day)
 Palanpur
Banas - 1 Capacity - 7 LLPD
 Haryana
Faridabad Capacity - 10 LLPD
 Banas Dairy has currently 2 running Cattle Feed Plants
 Katarva
Katarva Plant is Asia's Largest Cattle Feed Plant, It has capacity of 1000 (MTPD)-Metric
Ton Per Day
 Palanpur
Palanpur plant has capacity of 600 (MTPD)-Metric Ton per Day
 Under construction Plants
 Kanpur, Uttar Pradesh - (Expected to start in December 2016)
Laucknow, Uttar Pradesh - (Expected to start in December 2016)
Varanasi, Uttar Pradesh
Palanpur - Cheese Plant
Palanpur - Paneer Plant

17
Banas - 1 Plant
At Palanpur
Banas - 2Plant
At Palanpur
Banas - 3Plant
At Palanpur

18
Raw Materials And Its Procurement
Raw material: - milk raw materials are coming from:
Ways to Handle Industrial Waste
The process in the treatment of industrial affluent may consist of
Any one or more of the following processes:
equalization
neutralization
physical treatment
biological treatment
.
Sources of raw material
• Local Vendors Near
By Villages

19
Basic Data about Product
The production process is the heart and blood of an industry. Production department plays an important
role in manufacturing of the production. It converts raw material in to finished goods. The main and
important raw material of dairy is milk. The Banas Dairy collects the raw material from near village.
The dairy has produced milk powder, butter, ghee, buttermilk, butter, chocolates in different pouches and
tins etc.
The having an industry based upon agriculture is much needed to provide the main stream of marginal and
land ness farmers whose live wood is earned through milk business.
The total geographical area of the district is 12248 square km of which 72 percentages is cultivated while
12 percentage land is irrigated by tube wells canals, etc. The area covered under forest is only 1106 sq. Km.

20
Price Distribution and Promotion as 4 P’s Of Marketing
(1)PRODUCT PLANNING
In any organization the managers of the firm has to focus on marketing the superior products and
improving them over time.
They have to assume that the buyers admire well-known products and can appraise it. The most important
for a firm is quality improvement and performance of the dairy.
(2)PROMOTION
The sales promotion is a process by which the firm can increase its sales. The sales promotion is done
through various activities like advertising and giving various incentives to the customers. This dairy is also
doing sales promotion through various activities as under:-
 BY ADVERTISING
By advertising people can know about the products of the unit and therefore the sales can be increased.
The dairy is advertising the products through sticker, wall painting, vehicle painting, etc.
 BY GIVING SCHEME
The Banas Dairy gives a scheme to its dealers. The scheme is – if the dealer increase the sale by 40%, then
the dairy gives 0.05 paisa more in addition to the commission of 0.50 per pouch of milk.
 SALES TERRITORY
The organization exports its products in abu Dhabi, alizarin, Bhutan, Bangladesh, Bahrain, Bangkok,
Dubai, Kuwait, Nepal, Oman, Singapore, south -Africa, Thailand, Tanzania, Yamane, Zanzibar, etc.

21
(3)PRICING POLICY
Price Is Always Considered First When People Purchase Any Product. Price Must Be As Per The Quality.
Any Product Having Price at Low Quality Can‟t Survive In The Market For Long Time.
Banas Dairy Also Has Its Own Pricing Policy. First The Dairy Receives The Raw Milk So The Charges Of
The Raw Milk Are Considered And Then It Includes The Production Cost As Consumption Of The Labors
Electricity Is There And Variable Cost Is Allowed To Be Considered.
Finished Goods Go To Retailer Also Include Its Commission And Its Profit Margin Also That It‟s General
Price Level Of The Product Can Be Shown As Under :-

22
(4)DISTRIBUTION CHANNEL
In the market customer always prefers that product which is easily available at a time when he requires.
To make better expediency of the products a firm must have a better distribution channel. For the higher
sale of any product, it is very essential for the firm to make their channel of distribution stronger.
Especially if the firm has perishable product then the firm must keep the distribution channel shorter.
Moreover Banās dairy‟s products are perishable so it has distribution channel by gcmmf.
RAW MATERIAL COST
PRODUCTION COST
VARIABLE COST
RETAILER COMMISSION
PROFIT MARGIN
PROCUCT PRICE

23
Banas dairy‟s total marketing activities are done by gcmmf. Hence distribution marketing channel for the
products like sugar ghee, amulya butter, amul milk, milk powder, etc. Are as follows:-
FINISHED
PRODUCTS (DAIRY)
G.C.M.M.F.
WHOLE SALERS
RETAILERS
CUSTOMERS

24
Competitors
Competitors are the persons who produce at sell the same products as produced by the units competitors
affect the business with several caused. The main rivals are following.
 Rich milk
 Amrut milk
 Sardar milk
Advertising
 News paper
 Business magazine
 Television
 Radio
 Business news paper
 Steekers
Banas dairy uses of advertising for local products also.

25
Shift
The office time of the unit it 10:30am to 6:30pm. And for production department there are three shifts as
follow.
 8:00am to 4:00pm.
 4:00am to 1:00pm.
 1:00am to 8:00pm.
Recruitment
In the general term recruitment involves the discovering of potential application for actual or anticipated
organizational vacancies. In other word recruitment is regarded as the linking activity bringing to gather
those jobs and those seeking jobs.
The recruitment of employees is the process started with the recruitment by employment exchange
advertisement in newspaper, interview. Sometime the employee is taken from the internal source of the
employee.
Selection
The process of selection started with the reception of application preliminary interview, application blank
psychological test waiting list of desirable candidates, final selection by interviewing physical examination
and then the placement of the selection employee.
In this firm the selection of employee involves the desired qualification work experience. If the employee
selected in external and internal sources then his experience, honesty of an employee, responsibility to his
part post and qualification.

26
Training Incentives
The training gives the personal awareness of the role and procedure to guide their behavior. It is the attempt
to improve the performance of the current job or prepare for an indent job.
In this dairy, employees are trained for their respective job. Current as well as new employees are given
training for their jobs.
Compensation
On The Basis of Seniority
Policies Regarding Promotion and Transfer
 PROMOTION:-
A promotion can be defined as the upward advancement of an employee in the organization to
another job, which commands better play, ways, challenges, responsibilities and authority, better
working environment, hours of working, facilities and a higher rank.
Basis of promotion in Banas Dairy:-
In Banas Dairy promotion is made on the basis of seniority and the working efficiency.
 TRANSFER:-
A transfer is horizontal or lateral movement of an employee from one job of selection or a
department or shift or position to another place where his salary, status and responsibility are same.
In this dairy transfers are made on the basis of vacancies at other plants.

27
Investment in the Organization
SHARE CAPITAL (IN RUPEES)
• IN 2004-2005:- 30,00,00,000
RESERVE FUND (IN RUPEES)
• IN 2003-2004:- 2,75,56,325
• IN 2004-2005:- 3,52,20,907
DIVIDEND (IN RUPEES)
• IN 2003-2004:- 66,62,300
• IN 2004-2005:- 64,88,950
PROFIT (IN RUPEES)
• IN 2003-2004:- 3,06,56,848
• IN 2004-2005:- 3,68,28,286
PURCHASES (IN RUPEES)
• IN 2003-2004:- 3,98,06,74,081
• IN 2004-2005:- 5,43,69,73,468
SALES (IN RUPEES)
• IN 2003-2004:- 5,46,88,94,893
• IN 2004-2005:- 5,97,42,68,884

28
Sources of Funds
Finance is the blood of the business financial management means rising of funds with minimum cost and to
earn at maximum rate.
Financial planning is the process of estimating the financial revilement of the business. It is followed for
the following reasons:-
 To settle the need of working capital and fixed assets.
 To decide the method of raising fund.
 To have control over the entire business unit
The word capitalization refers to the amount in which company‟s performance can be evaluated.
Capitalization includes capital raised from various sources like equity shares, reserves and surplus etc.
The information related to capital depreciation assets, liabilities reserve fund, profit and sales etc. Are
shown in the balance sheet and profit and loss account which are attached with:-
 Bank of Baroda, Palanpur.
 State Bank of India, Palanpur.
 Deena Bank, Palanpur.
 The Banaskantha District Co-Operative Bank Ltd, Palanpur.
 H.D.F.C Bank, Palanpur.

29
Last 3 Years of Sales Turnover
Vadodara: north Gujarat based banaskantha district co-operative milk producers union limited (bdcmpul),
popularly known as banas dairy, has registered a record annual turnover of rs. 4,686 crore.
Asia‟s largest dairy union Banās dairy‟s annual turnover of the year 2013-14 is 32 percent more compared
to the financial year 2012-13 when the milk co-operative had registered rs. 3,550 crore turnover.
The good news for the nearly 3.5 lakh milk producers (farmers) associated with the milk union in
banaskantha is the dairy will be paying total rs. 430 crore as high price difference to farmers this year –
highest in Gujarat.
Banas dairy is a member union of the Gujarat co-operative milk marketing federation the apex marketing
body of all the district dairy union of Gujarat – that markets brand amul
This has become possible as we have tried to minimize our inputs cost, which is presently around 13 paisa
per rupee despite the expenditure on transportation, energy bills ,salaries to employees among others,”
bhatol said. The co-operative, through its network of 1,450 village level milk societies, is presently
procuring 30 lakh liters milk per day at an average, there is six percent rise in dairy union‟s milk collection.
In 2012-13, the union had collected 10,332 lakh kilogram milk, which has increased to 10,936 lakh
kilogram in 2013-14.

30
Annual Reports

31
Bibliography
www.banasdairy.coop
www.google.co.in

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