Amul is a shining example of how to leverage modern marketing trends in the FMCG sector. While Tamil Nadu has Aavin, Kerala has Milma, and Karnataka has Nandhini, Amul stands out as India’s iconic dairy brand. Owned by the Gujarat Cooperative Milk Marketing Federation (GCMMF) in Anand, Gujarat, the journey of Amul began in 1946, 20 months before India's independence. During a farmers' meeting in Samarkha, Sardar Vallabhbhai Patel advocated for a cooperative system to help milk producers earn more by bypassing middlemen. This idea sparked the creation of what became known as the “Anand Pattern of Cooperatives."
Sardar Patel appointed Morarji Desai to lead this initiative, and during a pivotal meeting, Morarji persuaded Tribhuvandas Patel, a dedicated freedom fighter, to chair the cooperative organization. Varghese Kurien, the father of India’s White Revolution, later joined Patel, further shaping the future of dairy in India. Interestingly, the name “Amul” was suggested by a technician at a cooperative dairy, inspired by the Sanskrit word “Amulya,” meaning priceless. By 1955, Amul began selling its milk products under this now-famous brand.
In the 1980s, India faced severe milk shortages, especially in southern and eastern states, which led to increased sales of alternative products like Horlicks. Kurien's visionary “Operation Flood” eventually transformed the landscape of milk production across the nation. Amul was also a pioneer in introducing UHT (Ultra-High Temperature) packaging for longer shelf life. One of its most famous products, Amul butter, became an instant hit, especially due to the brand's clever, humorous advertising. Amul’s cartoons, known for their witty takes on national events, have been an integral part of the brand's identity. The ad with the tagline “Eat Butter, Don’t Eat Peas” during the Dalmia-BCCI scandal is a classic example.
Amul's advertising genius was largely driven by Sylvester DaCunha and his son Rahul, whose agency has been handling the brand for over 40 years. In 1996, Amul ventured into the ice cream market, with its per capita consumption then being only 250 ml in India compared to 23 liters in the U.S. The Indian ice cream market, worth ₹1,000 crore at that time, saw a surge with the entry of Amul ice creams, especially in Gujarat, where consumption was relatively high.
Amul quietly entered the ice cream space when brands like Vadilal and Havmor were dominant in Gujarat, and competitors like Cadbury’s “Dollops” and Unilever’s “Walls” were also in play. Despite the stiff competition, Amul managed to climb to the top, and by 2001, it had become the leading ice cream brand in India. Today, the Indian ice cream market is valued at around ₹9,000 crore, with Amul holding a significant 40% market share, further solidifying its claim as the “Taste of India.”
From humble beginnings in a small village to becoming a household name, Amul's journey is a testament to the power of cooperative movements, smart marketing, and a relentless pursuit of quality.
