Verka, a leading dairy brand of Punjab, which provide fresh milk, paneer, curd ghee to

millions of homes across the region, is facing stiff competition from namesake brand
registered in the US which has patented the brand name and the productrange. A part
from making the Punjab state corporative milk product federations (milk fed) task
difficult in exporting the product to the north American market, the government feels
that the US brand is misguiding unsuspecting patrons .Milk fed is considering going the
legal action.

The US-based company in question is quality product Inc in California, incorporated in

2002, is owned by an Indian, Kulwinder dhillion. The company website provide detail of
the company selling dahi, paneer, and ghee under the verka brand across the north
American continent. The smartly packages products bear the real California seal and
the status of approval accorded by the US health department and the FDA.

Currently, Milkfied exports over 1,100 tones of desi ghee worth Rs 14crores, largly to
the gulf, philippiness, Australia and new Zealand. Milkfied had a turnover of Rs.800
crores in 2006- 07 and is targeting a 15% growth with fiscal. With thestate government
marking on the major revamp of milkfied exiting capacity, it has to beseen what the
government do to protect the hugely popular verka brand. One of the leading dairy
brands of north India. Verka is yet another contribution from the state of Punjab. The
flagship brand of Punjab state corporative milk producers Federation LTD (milkfied),
Verka is today enjoying the patronage of customers both within and outside the country.
Milkfed future programmes can never be complete without verka.

Verka is a brand leader in milk powders particularly in northern and easternsectors. The
milkfied brand commands a premium price over milk powders manufacturedby
competitors. This includes multinational as well as private trade and other
corporativefederations.
 MILKFED PUNJAB

The Punjab State Cooperative Milk Producers Federation Limited popularly known as MILKFEED
Punjab came into existence in 1973 with a twin objective of providing remunerative milk market to
the Milk Producers in the State by value addition and marketing of one hand and to provide
technical inputs to the milk producers for enhancement of milk production on the other hand.

Although the federation was registered much earlier, but it came to real self in the year 1983when
all the milk plants of the Punjab Dairy Development Corporation Limited were handed over to
cooperative sector and the entire State was covered under Operation Flood to give the farmers a
better deal and our valued customers better products. Today, when we look back, we think we
have fulfilled the promise to some extent; the setup of the organization is a three tier system, Milk
Producers Cooperative Societies at the village level, Milk Unions at District level and federation as
an Apex Body at state level. MILKFEED Punjab continuously advanced towards its coveted
objectives well defined in its byelaws.
Objectives of MILKFED

1. To provide remunerative prices to milk producers by value addition and marketing of

produce.
2. To provide technical inputs for enhancement of milk production on the other hand.
3. To carry out activates for promoting production, procurement processing and marketing of
milk and milk products for economic development of the farming community;
4. To purchase and/or erect buildings, plants, machinery and other ancillary equipment to
carry out business;
5. To study problems of mutual interest related to production, procurement and marketing of
dairy and allied products;
6. To establish research and quality control laboratories;
7. To make necessary arrangements for transfer of milk allied milk products and commodities;
8. To market its products under its own trade name/brand name with its Member Unions
trade mark/brand;
9. To promote the organization of primary societies and assist members in organization of the
Primary Societies.
 PROFILE OF THE UNIT

The elegant building situated on Patiala road just before we enter Sangrur is that of Milk Plant
owned by The Sangrur District Co- operative Milk Producers Union Ltd. Its foundation stone was
laid by Indias Home Minister Mrs. Uma Shankar Dixit in 1973. It started its production in 1979.

The original name of the plant was The Malwa Milk Producers Union Ltd. Sangrur. Its name was
changed and registered as The Sangrur Distt. Co-operative Milk Producers Union Ltd. Sngrur. It
has been registered under Punjab Co- operative Societies Act 1961 on 24 March 1973. This union
started its milk procurement from March 1974.

The union is working under the laws of act. In the beginning 13 societies became its members. But
this union started as milk procurement from 1974. Initially its office was situated on the upper side
of co-operative bank of Barnala. At that time Milk Plant Sangrur was not existing. Initially the
societies of Barnala circle were started, after this it was expanded and centers were approved at
Dhuri and Malerkotla. At that time this union collects milk from other societies and to Horlicks.
Before it, except Horlicks there was no major buyer of milk and Horlicks was a private concern
giving low rates.
After that the union was strengthened and milk producers got benefited by this union as they were
getting reasonable rates for their from. A project report of Milk Plant Sangrur was made at that
time with shares from Different societies were to be collected and it includes Rs 100 share money
and Rs. 5 admission fees, 15 lacks Rs were to be collected and in this manner and the share of
government was fixed at Rs 40 lacks. For the smooth running of the plant, the union had taken
loan of worth Rs 62 lacks from Co-operative Development Corporation. By this loan a milk plant
was established. It started milk of 45000 liters per day in December 1979 further it was expended
with the help of National Dairy Development Board at ANAND under the Operation Flood
programmed. After few years a drier was installed with a capacity of 10 tones. For the purchase of
this machinery 70% of loans were taken NDDB and 30% loan from government in the form of
subsidy. The total investment in the plant was 6.5 crores.

LOCATION AND LAYOUT

In the milk plant there are hard receiving departments: Production and Engineering. The location of
the stores department is carefully planned out and it is horsed in a position which is very near to
production department so that transportation charges are minimum. It is also accessible to all
other departments like engineering, boiling, refrigeration, powder plant and workshop.

The layouts of plants store are properly planned. There are shelves, racks, admirals and handling
devices for keeping the material and equipments properly. The store is divided into racks which are
further sub-

Divided into small spaces allocated attention is paid to storage of material which is liable to leakage
or evaporation and deterioration.
SELECTION OF ROUTES:

Routes are selected for the delivery of milk through these societies. Shortest milk routes preferable
so that milk reach to plant in same condition, otherwise milk can become sour or curd. The
societies which are far away from milk plant, the four milk chilling centers are established for them.
Societies send milk directly to milk plant or through chilling centers. These chilling centers chill milk
at 4 degree Celsius which keeps the milk in good condition for 24 hours. After chilling the milk these
centers send milk to the milk plant.

REGISTERATION OF THE SOCIETY AND THE MEMBERS:

When a society is fully formed for the collection of milk it is registered under the registration act of
societies. Its members are also registered and given members pass books and share certificates. A
copy of rules and regulation are also given to them. Then the actual milk collection starts.
MILK PROCUREMENT IN DIFFERENT SEASONS

Milk Plant Sangrur procures milk in three seasons. First comes the lean season i.e. the months of
May. June, July and August. In this season milk is available in very low quantity i.e. 25000 liters per
day. The second season is mid-season i.e. the months of March, April, September and October. In
this season the procurement of milk is about 5000 liters per day. The most awaiting season is flush
season i.e. the months of November, December, January and February. In this season the
procurement of milk is maximum i.e. 65000 liters.

INTRODUCTION & GENERAL FEATURES OF MILK PLANT SANGRUR

NAME: Verka Milk Plant.

ADDRESS: Verka Milk Plant, Patiala Road, Sangrur

RAW MATERIAL: Milk

PRODUCTS: Gee, Pasteurized milk,

Milk powder, Curd, Cheese,

Milk Cake, Sweet flavored milk,

WORKING HOURS: 24 hours (3 shifts)

TOTAL WORKERS: 200 Workers in the Three Shifts

CAPACITY: 50000 Ltrs. per Day

MILK PROCUREMENT IN 7 YEARS:
Year saver age milk procurement per day (in liters) total milk handling.

2001-85000 liters/per day

2002-80000 liters/per day

2003-70000 liters/per day

2004-75000 liters/per day

2005-70000 liters/per day

2006-65000 liters/per day

2007-60000 liters/per day

2008-62000 liters/per day

2009-57000 liters/per day

2010-55000 liters/per day

MAIN CENTERS AND THEIR BRANCHES:

About 300 milk producing societies come under Milk Plant Sangrur which is operating in the whole
Sangrur district. All these are divided into six main centers which are as under:

LOCAL SANGRUR 140

MALERKOTLA 50

SEHNA 30

MEHAL KALAN 30

CHANGIWALA 30

SANDHORE 20
 (A)MILK PROCUREMENT PER DAY

NAME OF SOCITYMILK PER DAY (in liters) Local Sangrur 40000 Sehna 8000 Mehal Kalan 5000
Chanhaliwala 7000

(B) PRODUCTION

Production is the foundation on which every organization is built. Production is an internal act
of producing something in an organized manner. It is the fabrication of a physical object through
the use of men,

Material and Equipment. Thus the basis of produce on is the transformation of inputs goods and
services. IN milk plant Sangrur two different plants are established for the production of Gee and
SMP. These are called:

1. Powder Plant.
2. Production plant.

In powder plant Skimmed Milk Powder is prepared from spreta milk which comes from production
department. In production plant Ghee is prepared from cream after its separation from milk. Here
pasteurized milk is also prepared. Sometime milk cake is also prepared according to its
requirement. In addition to it there are arrangements for filling sweet milk bottles. Powder and
Ghee are made only I flush season when milk is available in large quantity. In lean season
production fails because of non-availability of milk. In months of May, June, August is done;
sometimes glucose is made here on contact basis.

(C) QUALITY CONTROL

Quality control includes techniques and system for the achievement of the required quality of the
raw material as well as final products. Most often milk vendors adulterate the milk in such a away
that normally consumers are to be fooled. Consumers remain obvious to the various ways and
means adopted by milk vendors to adulterate milk. Here are some eye openers:

1. Urea, caustic soda and salt are added to thicken the milk.
2. Milk powder is also used for thickening and usually the powder used is sub-standard.
3. Synthetic milk is added to pure milk to increase the quantity.
4. Sometimes pure milk is separated, the cream is removed and the skimmed milk powder is
added to it.

(D)ACCOUNTING:
Accounting is the art of recording, classifying and summarizing in a significant manner, and in terms
of money transactions and events which are in part at least of financial character and interpreting
the results thereof. In milk plant Sangrur this section performs the functions of maintaining the
accounting of stores material and milk products by union and to make payments at right time. Like
this to maintain the accounts of ilk and milk products sold by the union and to receive the payment
for goods sold to consumers, branch according to 10 days ilk purchase from producers and
societies. It is the duty of this section to maintain the accounts according to rules and regulations
mentioned by Registrar Co- operative department and to follow the restriction and suggestions
imposed by auditor.

PRODUCTS OF VERKA

Milkfeed has formulated company specifications for its milk & milk products to provide
standard and quality of products to consumers.
 Milk Cheese SFM(Pio)

Ghee Ice cream & Sweets Milk Powder

Curd, Kheer... Table Butter Rasella

Plan Lassi Paneer Panjiri

Milk Cake

Now Verka has arrived on the sheer strength of its quality, freshness and purity and of
course its home made taste and its products being of most affordable prices. To people
today, Verka is part of their daily life

1. Liquid Milk Pasteurized Pouch Packed Milk:-

It is pouch packed milk. It may be used as such or for milk based preparations. It shall be
kept under refrigerated conditions. It is packed in half ltr. Pouch. Its length of shelf life is 48
hours under refrigerated conditions. It is sold in arid around sangrur, sunam, dhuri, barnala
areas. Special distribution control is needed, under refrigerated condition if transported to
very long distance. Verka Milk Plant is preparing three types of milk pouch:-
 Standardized Milk Full Cream Milk Double Toned Milk

2. Milk Powder:-

Dried Milk or Milk Powder is product obtained by the removal of water from milk by heat
or other suitable means to produce a solid containing 5% or less moisture. Whole milk,
defatted or skim" milk may be used for drying. It comes in packing of 200 gms, 500 gms.
etc. It can be stored for 1 year before use.

3.Ghee:-
Ghee may be defined as clarified butter fat prepared chiefly from cow or buffalo milk. The
product can be used on roti/pranthas or can be used as cooking other material for food. It is
preserved at ambient temperature for one year. It is packed on 500 gms, 2 Kgs., 5 Kgs. & 15
Kgs. bulk pack in tin. It is sold anywhere in Punjab and abroad also. No special distribution
control is needed.

4. Butter: -

Butter may be defined as a fat concentrate which is obtaining by churning cream, gathering
the fat into a compact mass and then working it.
The product obtained from cow and buffalo milk or a combination thereof or from cream or
curd obtained from cow or buffalo milk or a combination thereof, with or without the
addition of common salt and colouring matter. It can be kept under refrigeration for three
months. This comes in packs of 10 gms. 100 gms. And 500 gms
5. Lassi:-
Lassi, also called chhas refers to desi butter milk which is by product obtained when
churning curd led whole milk with curd indigenous devices for the production of desi butter.
Verka Lassi is very popular, especially in Punjab and it is also liked by the people of other
states. It comes in the 200 ml. tetra pack.

6. SFM:-

It is known as sweetened flavored milk or bottle milk. The product used in the form of
drinking sweet milk. It is preserved at ambient temperature. It is packed in 200 ml. bottle,
200 ml. tetra packs. The length of shelf life of product can be held far three months under
ambient temperature. It is sold in and around Punjab and upcountry market mainly Delhi.
 7.Ice Cream:-

Ice Cream may be defined as a frozen dairy product made suitable blending and processing
of cream and other milk products, together with sugar and flavor, with or without colour and
with the incorporation of air during the freezing process. There are mainly three types of
Verka Kulfies i.e. Malai Kulfi, Choco bar and Mango bar. Malai Kulfi made with milk,
malai and
Crushed nuts. Choco bar contained chocolate and Mango bar kulfi contain mango flavour.

8. Paneer:-
Paneer refers to the small sized soft cheese. The product can be consumed as such or can be
fried and consumed. It can also be used as an ingredient for making Indian Sweets and
paneer based dishes. It is preserved under refrigerated condition for 20 days from the date of
packing. The product is packed in poly film bags. The pack size is 200 gms. For consumer
pack and 5 Kg. Capacity in bulk pack as agreed by contracted buyer.

9. Curd/Dahi:-
Dahi or curd is the product obtained from boiled milk by souring, natural or otherwise, by a
harmless lactic acid or other bacterial culture. It should have the same percentage of fat and
solids - not - fat as the milk for which it is prepared.
10. Raseela:-

Raseela is a very popular product of Verka which was launched in 1995. It comes in two
flavours - i) Mango Raseela and ii) Pine apple Raseela. Mango Raseela is prepared from
mango pulp and Pineapple Raseela from pineapple pulp. These are coming in 200 ml. tetra
pack.

MAIN PRODUCTS MANUFACTURED BY MILK PLANT

SANGRUR

The main products which are manufactured by the milk plant Sangrur are as under:
1. Ghee.
2. Pasteurized Milk.
3. Milk Powder.
4. Sweetened Flavored Milk (PIO).
5. Milk Cake.
6. Cheese.
7. Curd.
8. Panjiri
9. Lassi Plan
10. Paneer