{"id":244856,"date":"2023-05-27T20:20:22","date_gmt":"2023-05-27T14:50:22","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=244856"},"modified":"2023-05-27T20:20:22","modified_gmt":"2023-05-27T14:50:22","slug":"whos-afraid-of-amul","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/whos-afraid-of-amul\/","title":{"rendered":"Who\u2019s afraid of Amul?"},"content":{"rendered":"\n<p><strong>Source<\/strong>: The post is based on the article\u00a0<strong>\u201cWho\u2019s afraid of Amul?<\/strong>\u201d published in<strong> The Indian Express <\/strong>on\u00a0<strong>27<sup>th<\/sup> May 2023<\/strong>.<\/p>\n<p><strong>Syllabus: GS 3 \u2013 <\/strong><strong>Changes in industrial policy and their effects on industrial growth<\/strong><\/p>\n<p><strong>Relevance: <\/strong><strong>About Milk cooperatives<\/strong><\/p>\n<p><strong>News<\/strong>: Tamil Nadu CM has requested Union Home and Cooperation Minister to direct Amul to cease encroaching upon the milk-shed region of the Tamil Nadu Cooperative Milk Producers&#8217; Federation (Aavin).\u00a0However, his demand is unreasonable.<\/p>\n<h2><strong>Why is the demand of Tamil Nadu CM unreasonable?<\/strong><\/h2>\n<p><strong>First<\/strong>, Amul and Aavin are farmer-owned and professionally-managed dairy cooperatives. Hence, it isn\u2019t desirable for any minister or bureaucrat to intervene in the business operations of such organisations.<\/p>\n<p><strong>The urge to control and reduce cooperatives to the govt. departmental undertakings also goes against the spirit of liberalization.<\/strong> Ease of doing business shouldn\u2019t be only limited to large corporations.<\/p>\n<p><strong>Second,<\/strong> the entry of <strong>Amul in Tamil Nadu will benefit both farmers as well as consumers.<\/strong> It will benefit the state\u2019s dairy farmers by buying their milk and benefit consumers by offering choice other than Aavin.<\/p>\n<p>However, <strong>the only loser might be Aavin<\/strong>, because it had a situation of both monopsony (single buyer) and monopoly (single seller).<\/p>\n<p>Hence, the entry of Amul will force Aavin to become more efficient, pay farmers better and work towards retaining consumers.<\/p>\n<p><strong>Must Read: <\/strong><a href=\"https:\/\/forumias.com\/blog\/amul-vs-nandini-threatens-to-limit-choices-for-consumers\/\"><strong>Amul vs Nandini threatens to limit choices for consumers<\/strong><\/a><\/p>\n<h2><strong>What is the way ahead?<\/strong><\/h2>\n<p>Amul has been present in Telangana and north Karnataka for about ten years, but it hasn&#8217;t really made an impact against locally produced cooperative and private dairy brands.<\/p>\n<p>Therefore, state governments should permit the entry of new brands since doing so will promote healthy market competition and will offer greater choice to consumers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Source: The post is based on the article\u00a0\u201cWho\u2019s afraid of Amul?\u201d published in The Indian Express on\u00a027th May 2023. Syllabus: GS 3 \u2013 Changes in industrial policy and their effects on industrial growth Relevance: About Milk cooperatives News: Tamil Nadu CM has requested Union Home and Cooperation Minister to direct Amul to cease encroaching upon&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/whos-afraid-of-amul\/\">Continue reading <span class=\"screen-reader-text\">Who\u2019s afraid of Amul?<\/span><\/a><\/p>\n","protected":false},"author":10320,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[216,10500],"class_list":["post-244856","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-gs-paper-3","tag-indian-express","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":1700797889,"cached_date":1704874975},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/244856","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10320"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=244856"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/244856\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=244856"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=244856"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=244856"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}