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Introduction Of Parag Dairy

cIt was started in Bhopal with the financial support of government and started its first dairy in Sultanpur. This dairy is set up to facilitate the villagers so that they can get appropriate prices for their milk. Parag dairies collect milk fro villages and supply them in cities.

Functions of Parag dairy


Procurement Processing

Marketing

Procurement
Procurement phase includes the act of obtaining milk from the villages. Parag dairies have certain societies for this purpose. Parag dairies act as a balancing tool for milk between villages and cities.

Processing
It includes Pasteurization of milk. Grading and checking of milk. Two types of grading State milk grading (SMG) National milk grading (NMG)

Marketing
It comprises of Distribution Packaging Warehousing Handling customer complaints through quality control department.

Analysis

Product
Parag has a wide range of products. Milk, Curd, Mattha. Butter, Cheese Gulab Jamun, Pede, Rajbhog, Rasgulla, Kalakand etc. Core product is milk.

Price
Pricing is based on type of product purchased. Prices of products are released 4 times in a week. Corporate societies checks the level of fat and then decide the pricing.

Place
It includes Warehousing. Type of distribution channels. Number of intermediateries/middlemen.

Promotion
Promotional tools, like Banners, hoardings, pamphlets. Advertising through radio, television etc.

Customer complaints & Distribution Management

Customer Complaints
Complaints are made through telephone calls. Complaints are handled by quality control department. Mostly complaints are done regarding Spoilage of milk. Bad packaging etc.

Distribution Management
Evening and morning supply of milk. Distributors are allocated. Parag ATMs are also used. Milk vans and milk tanks are used for transportation. To achieve its Objectives , PCDF works through a professionally managed Three Tier Cooperative Structure which links the Village level milk producers to the milk consumers in the Cities.

The Three Tier Structure


Village level DAIRY COOPERATIVE SOCIETIES (DCS); The DCS in villages collect the surplus milk from farmer members . Animal Health and other support and Services are routed through the DCS. to the farmers District level Milk Unions: The Milk Unions collect milk from all the village DCS of its district , process and market it. The Milk Union provides support and services to the farmer by routing them through the village DCS. Thus it sells cattlefeed, organizes fodder development programmes and makes available good quality fodder seeds , provides artificial insemination facilities to improve breeds of milch animals, etc. State level Federation : The Apex Federation provides Marketing services and other support to the District Milk Unions of the State. It also helps the Milk Unions to market milk outside the State ,maintains liaison with the Government, Plans and Coordinates Programmes and ensures mobilization of resources.

Milk Unions & Infrastructure


Milk Unions and Federation own some of the most modern plants in Northern India. Dairy Plants located in Noida and Meerut Lucknow,Kanpur,Allahabad and Cattlefeed Plants in Meerut and Varanasi are ISO-9002 / HACCP certified plants. Parag Dairy, Noida is a vertically designed dairy, first of its kind in India. This automatic/ computerised dairy has a processing and packing capacity of 4 lakh liters milk per day and supplies milk under the National Milk Grid to Mother Dairy. PCDF has its operations in 59 districts of the State.

SWOT ANALYSIS
STRENGTH Offers VEG Products Price Sensitive Consumer meet for feedback Performance appraisal programmes Awareness programmes

Weakness
No separate CRM department Home delivery services are not available Retail outlet are limited Parag ATMs are rarely found Limited horizon Lack of promotional strategies

Threats
Local milkmen A mother dairy

Opportunites
Parag ATMs to establish in urban area Allocation of distributors to expand distribution channels Should focus on rural areas Extend their reach in other states

Findings and Recommendations

Findings
Regarding distribution management 2000 distribution centers in Lucknow. Quality check by food inspectors. Regarding customer complaints Complaints are handled by quality control department. Unavailability of Customer Relationship Management (CRM) department.

Recommendations
Related to distribution management Parag should increase number of Parag ATMs. Parag should focus on home delivery service. Related to customer complaints Parag should have a separate CRM department. Parag should reduce work load of marketing department.