UPMSP Co-operative Studies: Co-operative Processing, Dairy and Agro-based Societies

Co-operative Processing, Dairy and Agro-based Societies

This domain tests value addition through member-owned processing and the Anand pattern.

Processing societies

Sugar mills, cotton ginning and spinning, oil crushing, rice mills and cold storage. Members supply raw material and share the processed value; the society must manage capacity, quality and working capital.

Dairy

The Anand pattern has three tiers: village dairy co-operative society, district milk union and State milk federation. NDDB (1965) and Operation Flood (launched 1970) built the White Revolution. Amul is the brand of the Gujarat Co-operative Milk Marketing Federation. Milk is paid for on fat and SNF content, and the union processes and markets.

Worked example

A village society collects 1,000 litres. It tests fat, pays members on a fat-based rate, chills the milk and sends it to the district union. The union makes butter and milk powder and returns a share of the surplus. Reasoning: the village society handles procurement and member payment; the union handles processing and brand marketing.

Traps

NDDB is a statutory development body, not a co-operative. Amul is a brand, not the village society. A dairy co-operative is not a private dairy with member suppliers. Processing societies need professional quality control, not only member enthusiasm.