Group 3: Amrit Banaspati Company LTD

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AMRIT BANASPATI COMPANY LTD.

GROUP 3
 2 manufacturing plants
 Rajpura, Abohar (Punjab)

 Products manufactured
 Rajpura – Complete Ginni Gold Portfolio
Complete Merrigold Portfolio
Complete Vanaspati Portfolio
Amrit Salt
 Abohar - Ginni Gold Soyabean Oil
Ginni Gold Cottonseed Oil
Ginni Gold Sunflower Oil
Mustard Oil

 Total stock in supply chain


 2000 KL
 2 weeks inventory
 5 warehouses
 3 in Rajpura, (Punjab)
 1 in Jalalabad (Punjab)
 1 in Gandhidham (Gujarat)

 Approx Size: 50m X 20m


 All variants, SKUs not available in all warehouses
 Servicing done from all warehouses to all northern states
 Delivery to depot normally on same day or by next working
day
 40 company owned depots
▪ Punjab, Haryana, HP, UP, Rajasthan, Uttarakhand, Delhi &
Chandigarh

 Average stock per depot – 30 KL

 Each depot handles appox. 25 stockists

 Choosing criteria
▪ Area Requirement
▪ Supply cost
▪ Servicing time
 Stockists’ order is completed on the same day
 Frequency of dispatch from Depot to Stockist – 4 to 8 times
a month
 Margin - NIL
 Average sale per depot – 100KL
 Personnel employed
 2 permanent (staff)
 6-8 casual labor for loading/ unloading

 Depots connected to warehouse by WBDBMS & SAP


 More than 800 stockists
 Punjab, Haryana, HP, UP, Rajasthan, Uttarakhand, Delhi &
Chandigarh

 Criteria for appointment


 Business reputation
 Financial soundness
 Reach & coverage area

 Each stockists handles approx. 100-200 retailers


 Personnel employed
 2-4 salesman
 Casual loading labor
 Margin – Between 1-2%
 Categorized as
 Category A – Above 5 KL (2% Margin)
 Category B – Between 2 & 5 KL (1.5% Margin)
 Category C – Below 2 KL (1% Margin)

 Evaluation criteria
 Fixed sales target: Separate for bulk(15 ltr) & small (other than 15 ltr)
 Incentives in increased sales
 Monthly target not reached, adjusted in quarterly target otherwise
yearly incentive lost

 For stockist, information is gathered through phone


 Include
 Kirana shops
 Modern retail stores
 Army canteen
 Small retailers

 No internal categorization of retailers


 Average no. of order per month – 4-8
 Visited twice a week by salesman
 Contacted almost daily on phone
 Margin – 1-2%
 Modern retail stores & Army Canteen
furnished directly by depots

 Small retailers
▪ In villages of Punjab & Haryana
▪ Furnished through retailers in nearby towns
 Includes high consumption end users
▪ Restaurants
▪ Sweet shops
▪ Bakery shops
▪ Banquets
▪ Caterers

 Furnished directly by stockists in that area


 Corrugated cardboard boxes strapped by nylon straps

 15 ltr – only bottom cover

 5 ltr – single pack in one box

 2 ltr – 25 pouches in a single box

 1 ltr – 50 pouches in a single box


Tempo, Cycle
Riskshaw & Auto

TRUCK LOAD
3 & 5 Ton Capacity EACH RETAILER
4-6 TIMES IN
MONTH
EACH STOCKIST
4-8 TIMES IN
MONTH
TRUCK LOAD – 3, 5, 9 and
15 Ton Capacity
25 TIMES DAILY
 Legal implications
▪ VAT @ 4%
▪ CST @ 2%

 Product covered under


▪ Prevention of Food Adulteration act
▪ Standards of Weights & Measures act
▪ Packaged Commodity act
▪ Vegetable Oil Product Regulation order

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