BAMUL posts a massive ₹60 crore profit this financial year, a major turnaround from last year’s ₹14.5 crore loss. For the first time, farmers will receive a direct Ugadi gift, while tech upgrades improve transparency in milk collection and payments.
Bengaluru Cooperative Milk Union Limited (BAMUL) has recorded a massive estimated profit of ₹60 crore for this financial year, marking a remarkable turnaround from last year’s ₹14.5 crore loss. Just a few months after actress Sudharani became the union’s brand ambassador, BAMUL President DK Suresh announced the results at a press conference on Thursday at the Bangalore Dairy office in Adugodi. He credited the success to administrative reforms, increased milk collection, and higher turnover, which have collectively strengthened the organisation’s financial health.
Business Is On The Rise
BAMUL’s turnover, which stood at ₹2,900 crore last year, is expected to reach ₹3,400 crore by 31 March.
“We have managed to increase our turnover by about ₹500 crore this year. Our daily milk collection average has also gone up by 1.5 lakh litres, reaching a total average of 16.5 lakh litres,” said Suresh.
Despite high administrative costs, BAMUL achieved this profit. The monthly expense for its 880 permanent employees and 1,800 contract workers is around ₹16 crore. The new board focused on market and administrative reforms to stabilise and grow the organisation efficiently.
First-Ever Ugadi Gift For Farmers
For the first time since its inception in 1965, BAMUL will provide a “Ugadi gift” directly to the bank accounts of milk producers. A total of ₹59.39 crore has been set aside as incentives for 1,27,644 farmers. The incentive is calculated at ₹1 for every kilogram of milk supplied between 1 April 2023 and 31 March 2024.
“Whether a farmer supplied 200 litres or several thousand, every single drop given to the union this year will be rewarded,” Suresh clarified, adding that payments will be completed by 31 March.
Tech Integration For Transparency
BAMUL is also embracing technology to improve transparency and quality. AI-driven systems are being implemented to track milk packaging and enable online booking for packets. Additionally, the integration of NDDB software at the society level allows farmers to receive an automatic SMS within a minute of pouring milk, detailing weight, quality such as fat content, and the amount credited to their account.
Scaling Up For The Future
“Our goal is to increase turnover to ₹5,000 crore. Only by scaling up our business can we reduce administrative costs, which are currently 6.5 per cent, much higher than the 2 per cent mandated by the government,” said Suresh.
