The Business Model Of Amul

 The Birth

In the 1940s apart from Amul, you would find another butter company named Polson. The company was started by Pestonji Edulji when he at the age of 13 started a shop in 1888 for grinding coffee. Later, after 12 years 1n 1900, he founded the company. The nickname of the founder was Poly and it was named Polson to add a British twist to it because most of the customers of this company were either Britishers or elite Indians. At first, the company sold coffee had gained very much popularity by then. In the 1920s someone told Edulji that during that time due to World War I British armed forces were troubled in getting butter supply. Seeking the opportunity Edulji made his legs into the sectors of butter. Till 1945, the butter supply made Edulji gain huge profits.

Even though Polson made large profits the dairy farmers were exploited as Polson brought milk not by the dairy farmers but by the Milk Merchants who brought milk from the dairy farmers at a low price. There came famines and plagues which cause farmers to come into the role and set up their own dairy farmers' associations.

At first, Polson was confiscated to Kheda but had till that time expanded to Anand district of Gujarat. When World War II happened Polson get its 2nd opportunity to sell butter to British soldiers.

In later years, the Bombay Milk Scheme was introduced which stated the transportation of milk from Kheda to Bombay and at this time Polson bid the most and got control over this scheme.

However, the farmers were not happy with this all as the profit was not trickled down to them. This all made to the entry of Tribhuvandas Patel who under his leadership made the Farmers unitedly fight against their exploitation. They all went to Sardar Vallabh Bhai Patel and got the message "Farmers of Kaira ( another name for Kheda ) unite". This made the farmers start a cooperative.

However, the demand to insist Britishers buy milk from this cooperative ' Kaira District Cooperative Milk Producers' Union Ltd ' was dismissed making the farmers go on strike. This made the Bombay Milk Scheme totally collapse. This made Britishers accept the demands of Framers.

White Revolution

The white revolution was headed by Verghese Kurien when he joined the cooperative. That is the topic of another post. For this, It is over.

good Bye