Management Case
describes a situation faced, a decision or action taken by an individual manager
or by an organization at the strategic, functional or operational levels.
National Dairy Development Board
Ajit Kanitkar
Prime Minister's Visit to Kaira in 1964:
Desire for Replicating Anand
This case briefly discusses how NDDB
came into existence, its role in promoting
dairy activities in the country, the new
initiatives taken by this institution
beyond the dairy sector, and the present
scenario under the new economic policies
and the political environment in the
country.
The case also raises a few strategic
and other related questions that the
organization needs to address. Readers
are invited to send their responses on the
case to Vikalpa office.
Ajit Kanitkar is a consultant based at Pune.
In 1964, the then Prime Minister of India, Shri Lai
Bahadur Shastri, visited Anand. He stayed a night in
a village in Kaira district as the guest of a farmer and
spent several hours discussing the affairs of their
village milk cooperatives with farmers of all types,
classes, and religions. He talked with them about how
they produced their milk, and about various inputs
and services like artificial insemination, cattlefeed,
veterinary health cover, etc., received from their
cooperatives.
From his observations and discussions, the Prime
Minister could infer that the Kaira farmer had no
special advantage agroclimatically or in the quality of
his cattle. He concluded that because the farmers
owned the dairy, because their elected representatives
managed the village societies and the district union,
and because they had the good sense to employ
competent professionals to manage their dairy factories,
the Amul Dairy was sensitive to their needs and was
responsive to their demands. Their access to a
metropolitan market—Bombay—for milk, and good
national marketing in the case of dairy products, were
their greatest assets. These were the reasons why
Amul was such a great success.
The Prime Minister also wanted to know why,
when Amul was doing so well, the other dairies run
by the central and state governments were not
successful. According to him, all these dairies were
virtually running at a loss, and not increasing their
handling capacities or contributing to milk production
in their respective milksheds.
Creation of NDDB
He desired 'Anand' to be replicated throughout India
and in a letter addressed to the state Chief Ministers,
he said, "We envisage a large programme of
cooperative dairies during the Fourth Plan and this
will, no doubt, be based on the Anand model. If we
can transplant the spirit of Anand in many other
places, it will also result in rapidly transforming the
Vol. 21, No. 2, April - June 1996
53
socio-economic conditions of the rural areas." He
decided that the Government of India would create
a body, whose job would be to replicate 'Anand.' It
would be headed by Dr Verghese Kurien, the then
General Manager of Amul. The National Dairy
Development Board (NDDB) was thus created in 1965.
NDDB soon realized that even though many Chief
Ministers wanted Anand to be replicated in their
states, their officials were less enthusiastic. Perhaps,
they did not want dairies to be owned and run by
farmers. Possibly, they felt that provision of inputs by
the farmers' own employees would erode their own
empires. Whatever the reasons, these officials did not
want the Anand pattern and were not prepared to
make Five-Year Plan funds available for replicating
'Anand' in their states.
For some years, NDDB tried unsuccessfully to
convince one state after another to agree to make these
funds available. It became obvious that if NDDB was
to carry out the objectives for which it was established,
it must have its own programme and funds to
replicate the Anand Pattern. It was thus that 'Operation
Flood' was evolved.
Formulation of Operation Flood I Based on
WFP Food Aid
The objective of Operation Flood (OF) was to replicate
Anand. The state governments could use their own
funds to develop dairying in whichever way they
chose, but the additional funds available under OF
were only to be used for replicating Anand.
By 1968, NDDB had formulated the first phase
of OF which aimed to capture for public dairies a
'commanding share' of the milk market in four
metropolitan cities of Bombay, Delhi, Calcutta, and
Madras. These dairies were, in turn, to be supplied
with liquid milk from modern processing dairies to
be located in rural areas with high milk production
potential (called milksheds) and/or gifted skimmed
milk powder and milk fats for re-combination. The
rural dairies also helped balance seasonal fluctuations
in milk production through the separation of milk into
fat and other solids in the surplus season and their
storage for subsequent use in the lean season.
By 1970, NDDB had succeeded in getting the
Government of India to accept the project for
implementation and the FAO-WFP (World Food
Programme) to fund it through an innovative mechanism. The WFP was to donate, over a period of five
years, 1.26 lakh tons of skimmed milk powder and
42,000 tons of butter oil. These commodities were to
be recombined and sold through the existing dairy
54
system at prevailing prices generating Rs 954 million
over the life of the project. These funds were to be
utilized for pursuing various activities taken up under
OF. To handle the gifted commodities and the funds,
the Government of India created the Indian Dairy
Corporation in 1970 (which was merged with the
NDDB constituted as an institution of national
importance under the NDDB Act, accepted/adopted
by the Parliament in September 1987).
Import of Dairy Commodities
Official data clearly show that the commercial import
of milk powder touched its peak in 1963-64 (53,000
tons). The commercial import of milk powder was
completely stopped during the period 1975-97 to 198687. However, due to an unprecedented and continuous
drought in the country during the three year period
from 1986 to 1988, 26,400 mt milk powder and 10,000
mt butter oil were commercially imported to cater to
the liquid milk market.
During the 50s and 60s, use of imported milk
solids in the total throughput of the dairy industry
averaged 43 per cent which declined to 13 per cent
in the 70s while in the 80s, it was nearly eight per
cent. Under OF HI, a much smaller quantity of gifted
milk powder is envisaged, i.e., 75,000 tons for a period
of seven years out of which nearly 60,000 tons have
been received till January 1994. Commercial import
of milk and other milk products had ceased during
1975-76 to 1986-87, leading to a substantial saving in
foreign exchange.
The funds generated under OF have been used
in dairy development so as to encourage production
of indigenous products to gradually replace imports
and locally meet the growing domestic demand for
milk products. While the bulk of this effort has come
from the cooperatives, certain private sector plants
have also contributed to this happy position by
manufacturing some value added products such as
malted milk foods, condensed milk, and baby foods.
The Government of India has designated NDDB
as the canalizing agency for all dairy imports into the
country. This ensures that there is no indiscriminate
import, which might affect domestic production.
Imported milk powder represents no more than one
per cent of India's own milk production. Had there
been no OF, imports would not only have been a
significant drain on our foreign exchange, but most
likely would be of a volume that would have played
havoc with the Indian dairy industry. Countries which
failed to take such a step have learnt the lesson the
hard way. Pakistan, with the best pasture lands and
Vikalpa
dairy breeds of South Asia, witnessed a gradual
decline in its dairying, with imports of $ 40 million
annually.
Self-reliance in Resources
OF I was funded entirely through gifted commodities.
OF II was financed by a loan from the World Bank
and gifted commodities. NDDB will contribute from
its own resources Rs 2,063 million of the Rs. 9,150
million outlay planned for OF III. In the interim
period of 1985-86 and 1986-87 when the World Bank's
assistance was not available, NDDB contributed about
Rs.2,809 million. At the conclusion of OF III, NDDB
will be in a position to finance a dairy development
programme costing Rs 1000 million every year entirely
out of its own resources for as long as it is needed.
Encouraged by this experience, the Government
of India wants OF to be extended further. There is
a more important reason as well. Although the
development achieved under OF so far is substantial,
it is by no means sufficient. Given the size of India,
production, processing, and marketing of milk must
be enlarged vastly. It must be remembered that even
today, the per capita availability of milk is only
around 186 gms per day. If this is to increase to
anywhere near the global standards, it is essential to
continue and expand OF. India can still afford to
revert to traditional milk processing and trade: it just
cannot cope with the quantities needed, nor can a
bicycle-based trader reach far. Even contemplating
such possibilities is tantamount to turning the clock
back by 40 years.
Other developing countries have not been slow
to see this example and learn from it. Sri Lanka,
Pakistan, China, and the Philippines have all proposed
to take up similar programmes, mostly with an initial
EEC food aid. Even India wants to apply a similar
approach to other commodities such as oilseeds,
fruits, and vegetables.
Among the recommendations made at an
International Workshop, 'Policy Formulation for Dairy
Development in Asia' in October 1989, it was proposed
that NDDB be designated as an international centre
for sharing experience in the field of dairy development
and for providing training in policy formulation and
management.
NDDB's Role in the Implementation of OF
Projects
The OF I project involved creation of Anand Pattern
in areas, also later popularly known as milksheds,
which had the potential in terms of availability of
Vol. 21, No. 2, April - ]une 1996
surplus milk. Through a multidisciplinary team
consisting of veterinarians, dairy technologists,
agricultural scientists, and extension specialists, NDDB
went ahead with the task of creating cooperatives.
This approach was later popularly known as the
Spearhead Team (SHT) approach. Dairy plants up to
a processing capacity of 4 lakh litre per day were built
up. Though the funding and the financial support was
provided by the erstwhile Indian Dairy Corporation
(IDC), NDDB played a crucial role in conceiving and
implementing turnkey projects initially in Gujarat and
later in other states. NDDB also took up the
responsibility of planning, erecting, commissioning,
and monitoring of dairy projects.
The OF II extended the coverage of the NDDB
activities in many other states. Class two milksheds
were also taken up under the Anand Pattern of
cooperatives. Large metro dairies (Mother Dairy
complexes) were commissioned. Elsewhere, capacities
were added. It was around this time that the Gujarat
Cooperative Milk Marketing Federation (GCMMF)
was formed in Gujarat. Within NDDB, spearhead
teams were being slowly withdrawn from states
where cooperative unions were formed. The
engineering department and its activities came to the
forefront primarily because everywhere new capacities
were being created and the existing expanded. As an
apex institution, NDDB played a pivotal role in aiding
the district cooperative unions in the project
formulation and implementation stages all over the
country.
NDDB has the engineering and the design
blueprints ready for dairy plants for 1 lakh to 5 lakh
litre capacity. It was during this time that the regional
offices of the NDDB came into existence. These offices
were established with an objective to cater to the
demands for services arising out of growth of the
cooperatives in the region. These offices represented
NDDB in its interaction with the unions in that region.
AI programmes aimed at enhancing the milk
production became another thrust area for NDDB.
The OF III marked an era of several new initiatives
within NDDB. The oil project, the fruits and vegetables
project, and the salt project are some illustrations.
IRMA emerged in 1980 as one of the responses to
meet the growing felt need for professionals to manage
the businesses of the cooperative sector. NDDB on its
own also got increasingly involved in training and
development activities through the constitution of
MPD/HRD departments within it.
It was in 1987 that IDC and NDDB got merged
and NDDB in its new form got created through an
55
enactment of the parliament. With this merger, NDDB
not only retained its status as an apex technical body
in the field of dairy development but also took over
the role of funding which in the earlier arrangement
was being discharged by the IDC. Three other
important developments took place during this period.
It was during the 1980s that NDDB, at the request
of the Government of India, made an entry into the
oilseeds sector through a mechanism which later on
was widely known as Market Intervention Operation
(MIO). NDDB initiated the formation of oilseeds
growers cooperative unions and federations in states
and areas having major oilseed cultivation. A similar
approach was followed in the formation of oilseeds
cooperatives when spearhead teams organized Oilseeds
Growers Cooperatives. Processing and storage
capacities were created all over the country. Another
important development was the emergence of NCDFI,
a national level federation of state dairy federations.
NDDB also launched a massive educational
programme, popularly known as the CD programme,
to vitalize the dairy cooperatives created all over the
country. The financial viability of the 170 odd Anand
Pattern cooperative institutions also became a focal
point of NDDB's work as NDDB realized that a large
number of the district milk unions were incurring
operating losses. Associated with the poor financial
performance, issues such as the role of the cooperative
laws, relevance of cooperative principles in theory and
practice, suspension of elected boards by state
governments also became a part of the main agenda
of the NDDB.
As OF III was coming to an end, however, there
were significant changes evident in the external macroenvironment with the winds of liberalization blowing
throughout the country.
Part II
The Environment
In the early 1990s, NDDB had realized that the
commodity aid received from various international
agencies including the EC would start dwindling and,
in fact, would not be available once OF III was
completed. The continuation of the OF III into OF IV
was a remote possibility for various reasons. Firstly,
the Indian dairy sector had become self-sufficient as
far as meeting the domestic demand for liquid milk
was concerned. It was also expected that India would
start exporting dairy products soon. A small beginning
had been made by some cooperative and private
sector organizations on this front and India's attempt
at exports was perceived as a threat by some other
countries who had major exports earnings from the
dairy industry. Thus, the Indian economy was no
56
more perceived as an economy whose dairy sector
needed support from the international community.
Secondly, the large surpluses available with the EC
members in the 1960s and 1970s were no more
available for free distribution. Another important
reason cited by the critics of the OF strategy was the
reserves and surpluses available with the NDDB to
self-finance any on-going or future projects. These
critics argued that NDDB as an apex agency no longer
required financial support to initiate dairy development
projects in India. It was capable to do so on its own
initiative.
The changes introduced by the central government
under the leadership of the former Prime Minister,
Shri P V Narasimha Rao and the Finance Minister,
Shri Manmohan Singh had important implications for
NDDB. The new economic policies of the government
favoured increasing privatization and liberalization of
all sectors of the economy. The dairy sector was no
exception to this. The dairy industry was delicensed
in June 1981 and private sector companies were
allowed to set up milk processing and manufacturing
plants. The extent of private sector's interest in the
dairy sector could be judged by the fact that there
were 700 applications filed with the government by
the private businesses. The initial enthusiasm, reflected
by a number of applications, also got substantiated
by a number of public issues (at least 10) floated by
private sector companies during 1991-92 and 1992-93
to raise capital for financing these dairy projects. In
May 1992, the Government of India promulgated the
Milk and Milk Products Order (MMPO), some
provisions of which were again changed in April 1993.
The amended MMPO, as it was observed by critics,
ensured easy entry of private sector into dairy industry
which was attempted to be kept under check by the
MMPO of May 1992.
Prior to the delicensing of dairy industry, the
Government of India had designated NDDB as the
canalizing agency for all dairy imports into the
country. This was done to ensure that there were no
indiscriminate imports of milk products that might
have an adverse effect on the domestic production.
NDDB was also expected to coordinate export of milk
products through this arrangement. After the
delicensing of the dairy industry, NDDB no more
remained as the canalizing agency and any industry
privately owned or a cooperative was permitted to
export its products directly provided there was an
international buyer.
Another important change took place over the
three decades beginning 1970. This was with reference
to the political environment in the country. If the
Vikalpa
1960s and 1970s were dominated by a single party
coming to power at the centre and in the states, the
later decade witnessed a turbulent time as far as
centre-state relationships were concerned. There were
occasions when the Congress party was ruling at the
centre whereas many other states were under the rule
of the opposition parties—either the Janata party or
the Bharatiya Janata party. The decade was also
marked by politics of coalition governments. There
were also instances of emerging conflicts between
states and the centre on issues such as sharing of
water from rivers or appointment of governors. The
implication of these developments for NDDB was that
for the implementation of the OF projects, the state
governments began to use increasing amount of
discretion. Not that there was perfect understanding
and sharing of values between NDDB and the state
governments in the earlier decades. There were genuine
differences but NDDB had a 'say' during negotiations.
Gone were the days when NDDB could muster
political support through the central government to
prevail on the state governments to accept a particular
point of view.
Associated with the changes in the political
environment was the change in the leadership in the
country. OF I was initiated at the specific request of
the then Prime Minister, Shri Lai Bahadur Shastri.
Indira Gandhi led the country from 1966 to 1983
except for a brief interval when the Janata Dal came
to power at the centre. Morarji Desai, Charan Singh,
Rajiv Gandhi, V P Singh, Chandrasekhar, and P V
Narasimha Rao later became the heads of the
government before and after the assassination of
Indira Gandhi. During these years, NDDB continued
to be headed by Dr V Kurien in his capacity as
Chairman. The changes taking place at the centre had
its consequences as far as the relationship between the
NDDB, the Ministry of Agriculture, and the central
and state governments was concerned. These
relationships also probably must have undergone a
sea-change though no official writing is available on
this crucial subject. One possible illustration is the
ambiguity on the continuation of the MIO of the
NDDB. One can make guesses based on anecdotes
heard from different sources including newspaper
articles. What one can infer is that these changes in
the corridors of power must have had some important
bearing on the strategy and the functioning of the
NDDB.
The Unfolding Future and the Strategic
Questions
After reviewing the history of Operation Flood I, II,
and III programmes and NDDB's role in conceiving,
Vol. 21, No. 2, April - June 1996
planning, and implementing those programmes as
also tracking the changes in the environment, a
question one needs to ponder is about the role of
NDDB in the years to come.
Does NDDB have any role to play in the new era
marked by policies of privatization, globalization, and
delicensing of the dairy industry? If replicating the
"Anand Pattern" was the charter which gave birth to
a national level institution such as NDDB, one may
argue that the task of replicating "Anand" is fulfilled
quite successfully and, thus, there is no valid reason
for NDDB to continue to exist as an organization!
Extending this line of argument, one can say further
that NDDB completed its responsibilities by creating
170 odd "Anands" all over the country; a national
milk grid is in place and functioning quite efficiently;
the country has achieved self-sufficiency in liquid
milk; consumption of milk per capita has raised
substantially; and, therefore, it is time for NDDB to
withdraw. Let the challenges of the new era of
globalization be squarely faced by the respective
cooperative organizations; be it district unions or the
state level federations!
A change in the external environment, namely,
discontinuation of commodity aid by international
funding agencies has another set of implications for
NDDB. Though NDDB had invested some resources
from the accruals accumulated during the
implementation of OF projects, the bulk of the source
of funding for NDDB was in terms of grants and/
or soft loans. Thus, historically, NDDB grew as a
"fund receiving institution." What kind of a role will
it be required to play in the changed scenario when
aid, subsidy, and charity are declining slowly and
continuously all over the world? Can it continue to
remain in character a "fund-based organization?"
Exhibit 1 contains extracts from the annual report for
the year 1992-93. Exhibit 2 presents the broad view
of the portfolio of activities in NDDB. Exhibit 3
contains summary of the financial statements for the
year 1992-93.
Human Resources
Associated with the financial resource was the key
issue of human resources. In August 1994, NDDB had
on its pay-roll 1,264 employees, 690 of whom were
officers with professional background in disciplines
such as veterinary science, dairy technology,
management and engineering. The average age of the
employees was 32.6 years. Of the 1,264 employees, 732
were based at Anand, the headquarters of NDDB and
the rest at the regional offices at Bombay, Bangalore,
57
Calcutta, and New Delhi. Exhibit 4 presents some
details on the profile of the officers and employees
working in NDDB. A projection made by the personnel
and administration department indicated that within
the next eight to ten years, 80 per cent of the officers
of the rank of Senior Executive and above (Deputy
Manager, Manager, and General Manager) were due
for retirement. This projection also indicated that the
retirement process, which was to start within the next
two years, would result in a major vacuum in the
middle management cadre the effects of which could
be felt by the beginning of 2000 A D. The reason for
having a 'young' average age in an 'old' organization
was traced to the Voluntary Retirement Scheme (VRS)
introduced by NDDB in 1988. At that time, many of
the employees who had put in service say between
5 and 10 years had opted for VRS. The current profile
of manpower indicated that there were now two
major groups of employees. The first group comprised
of those with five or less than five years of experience
and the second group with 15 years or more.
What kind of a role will the professionals working
in NDDB have to play in the future? These
professionals had grown with NDDB. Many of them
currently occupying senior management positions had
started as members of the SHT, spent time in the field
organizing village-level societies and organizing milk
procurement and processing activities. Beginning as
functional specialists, they had graduated into roles
and responsibilities of general managers or general
management type functions. NDDB had also acquired
significant expertise in undertaking turnkey project
assignments for erection and commissioning of dairy
processing plants of various capacities. While these
strengths in human resources contributed to the
speedy implementation of OF I, II, and III, whether
these strengths could provide a cutting edge for the
future was also a point of debate.
There were many such related questions that
NDDB needed to ask as an organization. What were
the opportunities and threats posed by the changed
environment? Were there any opportunities? Was
NDDB ready to exploit these opportunities and
safeguard against the threats? What kind of mission
and objectives could it pursue in the new context?
Was there a need to redefine the mission? Did it
require to examine its internal functioning, structure,
style, etc? Did it have capabilities—financial, technical,
and human to meet the challenges of the future?
There were some of the questions that needed
careful attention by the leadership of this apex level
institution in the context of the changed environment.
58
Exhibit 1
Members of the Board
(As on March 31, 1992)
V Kurien, Chairman
P G Muralidharan, Secretary Animal Husbandry
and Dairying
Ministry of Agriculture, Government of India
Balishter Singh Mann, Chairman, Punjab
State Cooperative Milk Producer's Federation
Limited
Amrita Patel, Managing Director
A Banerjee, Executive Director
C C Chokshi & Company, Auditors
State Bank of India,
Bank of Baroda, Bankers
Objectives
to promote, plan, and organize programmes for
the purpose of development of dairy and other
agriculture based and allied industries and
biologicals on an intensive and nationwide basis
and to render assistance in the implementation
of such programmes
to adopt the cooperative strategy in a more
effective manner on an intensive and nationwide
basis and to take such steps as may be necessary
for the purposes aforesaid
to facilitate research and promotional activities in
the field of dairying, immunology, animal
husbandry, agriculture, and horticulture
to impart technological know-how to such
organizations in the cooperative or public sector
as are engaged in the production, procurement,
preservation or marketing of milk and milk
products
to facilitate the training of personnel for absorbing
and utilizing the technical know-how that may
be imparted
to engage in the designing, planning, promoting,
developing, constructing, sponsoring and setting
up of dairy industries and undertaking any other
related promotional activity, including their
financing
to provide consultancy and managerial services
and the execution of any project on a turn-key
basis or otherwise, furnishing integral services
such as storage, transportation, processing,
distribution of milk and milk products and to
serve as a lead institution with reference to milk
and milk products
Vikalpa
• to finance cooperative federations, cooperative
unions or cooperative enterprises intended to
stimulate the production, preservation,
distribution, and consumption of milk and
milk products
• to regulate the dairy and allied industries and
function as a regulatory authority, as may be
required by the Central Government
•
•
•
• to collect and compile relevant data and
statistics necessary for the efficient
management of the national milk grid and
national milch herd and on any other
matter relating to dairying and allied
industries
• to recommend to the Government, as and
when necessary, the maximum and minimum
prices to
•
be fixed for the purchase or sale of milk, and if
so required, assist in the enforcement of it
to build up a reserve of buffer stock of basic
commodities
to function as a channelizing agency for the
import and export of milk and milk products and
semen of milch animals and bulls
to carry on any other business or do any other act
or thing as may be necessary, incidental or
conducive to further the objective of NDDB
to take on any activity when entrusted to it by the
Central Government or the Government of any
State, having regard to the special expertise of the
organization
Source: NDDB Annual Report, 1992-93.
Organization
Exhibit 2: The Organization
Board of Directors
Management Committees
Mother Dairy, Delhi
Fruit & Vegetables Project,
Delhi
Mother Dairy, Calcutta
Sugam Dairy, Baroda
Management Pool
Sabarmati Ashram Gaushala,
Bidaj
Indian Immunologicals,
Hyderabad
Foot and Mouth Disease Control
Project
Bhavnagar Vegetable Products
Unit
Tree Growers' Cooperative Project
Animal Breeding Centre,
Rae Bareli
Buffalo Breeding Centre,
Nekarikallu
Rajasthan Cooperative Dairy Federation
Accounts
Commodity Management and
Market Operations
Cooperative Development
Fruit and Vegetables Project
Legal Cell
Manpower Development
Marketing
Personnel and Administration
Planning, Monitoring and
Evaluation
Human Resource Development
Project Finance and Management
Services
Project Appraisal and Finance
Internal Audit
Management Information Systems
- Computer Services
Performance Planning and
Chairman
Budgeting
Policy
Publicity and Press Relations
Managing Director
Plant Management and Engineering
Purchase
Regional Coordination
Regions: East, West, North
Bangalore, Madras
Research and Development—Biotechnology
Centre for Biotechnology,
Bombay
Research and Development—
Plant Technology
Vegetable Oil and Oilseeds Project
Source: NDDB Annual Report, 1992-93.
Vol. 21, No. 2, April - June 1996
59
Exhibit 3: Balance Sheet as at 31st March 1993
Annexure
Liabilities
National Dairy Development
Board fund
General fund
Project fund
Secured loans
Current liabilities
and provisions
Total
Assets
Cash and bank balances
Inventories
Interest accrued
Sundry debtors
Loans and advances
Investments
Fixed assets
Total
Notes to Accounts
I
II
III
IV
V
VI
VII
VIII
IX
X
31.03.93
Rs in lakh
31.03.92
12,49,79.71
6,36,34.93
1,17,78.83
3,97,96.60
7,97,74.03
11,95,70.63
5,74,17.71
88,58.68
20,03,93.47
18,58,47.02
3,03,78.18
75,13.82
9,95.27
7,70.91
11,27,88.53
3,52,02.37
1,27,44.39
20,03,93.47
4,01,26.74
72,19.85
17,97.14
11,61.07
8,91,03.93
3,28,62.29
1,35,76.00
18,58,47.02
4,54,88.12
7,94,91.59
XIX
Income and Expenditure Account for the Year Ended on 31st March 1993
1992-93
Income
Interest and dividend
Service charges
Sales and transfers
Hire charges
Rent received
Other income
Total
Expenditure
Interest and financial charges
Remuneration and benefits to employees
Cost of materials
Manufacturing expenses
Commodities handling expenses
Marketing expenses
Administrative expenses
Subsidies
Livestock and farm expenses
Research and development expenses
Training expenses
Computer expenses
Maintenance of assets
Assets of small value written-off
Other expenses
Provision for contingencies
Bad debts written off
60
9,82.65
2,60,42.63
4,81.69
5,05.08
6,54.00
4,06,53.00
1,10,86.07
10,36.01
2,62,73.89
4,39.25
3,56.58
4,75.10
3,96,66.90
39,51.64
19,05.50
2,27,51.26
14,64.41
50.61
3,60.49
5,51.57
38.00
56.08
45.94
7,13.90
75.61
2,91.03
33,90.93
17,23.78
2,28,79.45
15,27.39
38.99
4,01.77
5,18.29
2,12.00
2,09.23
29.36
61.10
40.31
7,46.74
2,56.79
20,00.00
4.65
20,00.00
-
1,19,87.25
XI
XII
XIII
XIV
XV
XVI
XVII
XVIII
2992-92
Vikalpa
Donation
Depreciation
Provision for wealth tax
Less: Expenses recovered
Net expenditure Excess of income over
expenditure Total
Excess of income over expenditure
Transferred to price fluctuation reserve
Balance transferred to General Fund
0.25
14,58.80
1.25
3,57,20.99
2,26.09
0.25
13,79.86
3,54,16.24
2,20.49
3,54,94.90
51,58.40
4,06,53.30
3,51,95.75
44,71.15
3,96,66.90
51,58.40
44,71.15
2,40.00
42,31.15
51,58.40
51,58.40
Total
As per our separate
report of even date attached
C C Chokshi & Co,
K P Venkateswaran
Chartered Accountants
General Manager
Ahmedabad, 21 July 1993
(Accounts)
44,71.15
On behalf of the Board
Managing Director
V Kurien
Chairman
Anand, 19 July 1993
Source: NDDB Annual Report, 1992-93.
Exhibit 4: Profile of Human Resources (August 1994)
Officers
Staff
Region
East
North
West
South
Head Office (Anand)
46
99
33
129
383
51
62
28
84
349
Total
690
574
Eastern Region
Northern Region
Western Region
Southern Region
Head Office
West Bengal, Orissa, Bihar, North Eastern States
Uttar Pradesh, Rajasthan, Punjab, Himachal Pradesh
Goa, Maharashtra, Madhya Pradesh
Andhra Pradesh, Karnataka, Tamil Nadu, Kerala, Pondicherry
Gujarat
Professionals/Officers in NDDB
Percentage
Background
Veterinary
8
Engineering
28
Management
10
(PGDRM/PGDBA/MBA)
Law and IR
8
Finance (CA/ICWA)
10
Dairy Technology
5
Agriculture
8
Total (officers)
Staff
Source : NDDB.
Vol. 21, No. 2, April - June 1996
67
33
61