Mongolia to revamp its dairy sector based on India co-op model

Mongolia plans to develop an effective milk procurement system based on the model used by India’s leading dairy co-operative. The Gujarat Co-operative Milk Marketing Federation (GCMMF) has signed...

Mongolia plans to develop an effective milk procurement system based on the model used by India’s leading dairy co-operative.

The Gujarat Co-operative Milk Marketing Federation (GCMMF) has signed an agreement with the Institute of Technology of Mongolia and will work with the country’s co-operative sector and milk processors on restructuring the dairy industry.

India’s largest exporter of dairy products, GCMMF is the apex organisation of Dairy Cooperatives of Gujarat, also known as Amul. Its daily milk procurement is 14,85m litters per day from 18,536 village milk co-operative societies. It has 17 member unions with 3.37m milk producer members.

The agreement took place while Indian Prime Minister, Narendra Modi, was visiting the country’s capital, Ulan Bator, on 17 May. In his speech at the Mongolian parliament Mr Modi said: “We can use India’s expertise in dairy to launch a white revolution on these steppes”.

Amul’s model is a three-tiered structure with dairy co-operative societies at the village level forming a milk union at district level and a federation of member unions at state level. This model has played an important role in making India the largest milk producer in the world.

The idea for this collaboration was put forward by the Mongolian Ambassador to India, Sanjaasuren Bayaraa, who visited GCMMF’s headquarters in Anand in June last year.

He suggested that GCMMF shared its co-operative expertise with Mongolian milk producers. A team from GCMMF visited milk-processing plants in Mongolia last month and met with representatives from the dairy sector.

Amul will help develop training programmes on management of bulk milk cooling systems, clean milk production and animal health. It will also oversee the establishment of milk producers’ organisations.

With support from the milk giant, Mongolia is also looking at setting up rural co-operatives.

In this article


Join the Conversation