Milk Procurement

Hatsun Agro Product procures fresh milk directly from the farmers. To facilitate it in this process Hatsun has around 10,000 plus Hatsun Milk Banks (HMBs) covering over 10,000 villages. Every day more than 4 lakh farmers pour their milk at these HMBs. At the HMBs, every farmer's milk is tested for its quality. Based on the quality, per-litre price of milk is determined with the help of a two-way price chart. The two parameters tested for determining quality are Fat and SNF (solids not fat).

Based on the quality and the number of litres poured by the farmer, their total amount is calculated. This process is done for each and every farmer who pours milk at the HMB. Once all the tests are done, each farmer's data (quantity, Fat & SNF% along with the farmer's unique number) is updated in the EKO machines and data is transferred to cloud servers on the same day. The farmer is paid every 10 days on a fixed day. The entire farmers'database is managed through a state-of-the-art computer software system. It would not be out of place to mention that Hatsun has been paying the farmers' on time every 10 days once without any exception – rain or shine. Hatsun takes great pride in maintaining this track record for more than two decades. The entire dairy farming community in the milk shed where Hatsun operates is aware of this unique track record.

Hatsun operates more than 1,100 rural milk procurement routes. These routes have a regular route plan with the timing to pick up milk cans from each HMB/village in the morning and evening. All farmers have to pour the milk before the milk truck reaches their HMB. Once all the farmers have poured their milk, it is collected in cans and loaded onto the trucks on the time fixed for picking up the cans at the HMB. After collecting milk from all the allotted HMBs, the milk procurement vehicle arrives at the Hatsun Milk Chilling Center (CC). At the CC, the milk is tested again for more parameters. Once the milk is tested organoleptically, it is weighed. Samples are taken for more detailed tests and pumped to the chilling unit. The samples are taken for detailed testing. Once all the vehicles have arrived and all the milk is transferred for chilling, the samples are taken for testing. After the tests are completed and the suitability of the entire CCs milk is confirmed to meet Hatsun's strict quality norms, the milk is loaded into a milk tanker and sent to the dairy. At the dairy the milk is put through more tests before taking it up for further processing.

In order to get adequate quantity and quality of milk (as per the rigorous QA norms), Hatsun undertakes a series of measures to help the farmers. Some of the measures taken are as follows:

A new and advanced process of procuring and chilling the milk at the village level using ABC (Active Bulk Cooler) has been introduced at more than 1100 locations. This helps us improve quality and retain freshness as the milk gets chilled at the initial stage, starting from the village.

  • Farmers have flexibility to pour their milk (3 hours of milk collection per shift)
  • Instant chilling at Village level within 2 hours (Farmers' milk's quality is increased)
  • Avoiding milk spoilage & spillage
  • Improved MBRT hours
  • Reduce aluminium can usage
  • Increasing HMB in-charge’s enthusiasm