Kurien calls it a day .............
Painful parting of India’s White Revolutionary
Kurien heads home as internal rivalry in the dairy sector claims its patriarch
ASHOK B SHARMA
Posted online: Tuesday, March 21, 2006 at 0047 hours IST
http://www.financialexpress.com/fe_full_story.php?content_id=121116
Verghese Kurien’s resignation from the chairmanship of the Gujarat Cooperative Milk Marketing Federation or GCMMF on Monday may have come a shocker to many but several of his peers feel the cooperative moghul’s chips turned down in 1992 when New Delhi started opening up imports and lowering duties.
Powerful till then with easy access to even the prime minister’s office, his protests started falling on deaf ears, who viewed him as a “protectionist”. A decision by the Union government in the mid-1990s to reduce the import duty on edible oils four-fifths to 20% sealed the impression that the grand old man was shorn of his legendary lobbying abilities.
The situation only got less and less tenable for the father of India’s white revolution over the years. Disheartened, he had stepped down from the post of chairmanship of the National Dairy Development Board in 1998. Amrita Patel, once the managing director of GCMMF and a protégé of Dr Kurien, stepped into his shoes. Very soon, his professional relationship with her took a nosedive.
After taking over NDDB, she was seen going against the very founding principles of dairy cooperatives that Amul founder Tribhuvandas Patel, former prime minister Lal Bahadur Shastri and Dr Kurien held sacrosanct. Patel floated a proposal to involve NDDB in marketing at the state federations to keep up with corporate rivals. The message for the cooperatives was that they had failed to deliver. The new concept, which found support in the corridoors of power of the National Democratic Alliance government of the day, sparked an open war of words between her and Dr Kurien.
The final nail in the coffin, so to say, came last week when some among the12 GCMMF board members met outside Ahmedabad without Dr Kurien’s knowledge, according to sources. It was decided they would move a vote of no-confidence at a meeting to be held soon. The father of the white revolution saw this move as the latest of machinations hatched by his foes in the industry.
The move came on the heels of a court case filed by Mohan Bhai Barward, president of Ahmedabad milk cooperative union – a member of GCMMF — seeking Dr Kurien’s removal over a technicality of a bylaw allowing his tenure as chairman. The epilogue to this move, Kurien supporters say, was because Barward was removed from the GCMMF a few months ago after it was found he was selling NDDB’s Sugam brand of products, instead of GCMMF’s Amul-branded produce. Barward, subsequently, got a stay order against his removal.
Rather than face the ignominy of being thrown out of his baby GCMMF or face an unfavourable court verdict on the case filed against him by Barward, Dr Kurien, 85, decided he had enough. Insiders say he had made his decision to resign as early as Saturday.
Dr Kurien’s exit from GCMMF marks the end of an era in the dairy movement in India. Analysts of the sector the world over recognise him as a one-person army who took on the might both the bureaucracy and vested private interests. Neighbouring Sri Lanka wanted to copy the strategy and working details of Operation Flood, a successful 25-year programme that spread the Amul model across India. What started as a milk processing facility handling 5,000 litres a day in 1948 at Anand has today grown into a movement handling 20 million litres a day. A positive rub-off on a growing private dairy sector has helped India become the world’s largest milk producer.
The days ahead for GCMMF are clouded with uncertainty, especially with reports that its managing director and Kurien’s right hand man, BM Vyas is being poached by a private sector entrant into processed foods. If this too happens, it will further worsen the setback to the Indian dairy sector with Dr Kurien’s resignation and will prove a challenging void to fill.
The formidable Dr Kurien
The cooperative czar, hard as nails at work, can be mirthful with a child
BY JYOTSNA BHATNAGAR
Posted online: Tuesday, March 21, 2006 at 0048 hours IST
IF there’s one thing about the legendary father of country’s white revolution, Dr Verghese Kurien, that strikes you when you meet him is that the body may have aged, the face may be getting wizened but the rheumy eyes still have a glint and the brain is still as agile as that of a man half his age.
For the octogenarian who is credited with having ushered in the cooperative movement into the milk sector in the country, Dr Kurien is a feisty old man with his razor-sharp wit and sense of repartee still intact. Counter weighing his age-old charm is his obsession for punctuality, cleanliness and a temper that erupts when faced with mediocrity and obstacles at his work. Little surprise then that he made foes of bureaucrats and political leaders alike.
In some ways he’s almost child-like - like the way he flaunts a gift from his grandson Siddharth: a Rolex watch, which he says is his most expensive personal possession. He can strike an instant rapport with children and enjoys regaling them with anecdotes. When a visiting child refused litchi juice Dr Kurien offered him on the grounds that he suffered from tonsillitis, the grand old man had a simple remedy: “Just remember to do saline gargles after you have anything cold like juice or ice cream and you’ll be fine.” The child went home happy.
His pride in his formidable body of work and the numerous honours which have been bestowed on him including the Padma Vibhushan as he takes you around his house - which has been converted to a museum displaying his various achievements. He personally chaperones you to the first house he was given in Anand when he came there to start the cooperative movement - a ramshackle garage crudely converted into living quarters. “Nobody was willing to let out their house to me because I was a non-vegetarian,” he chuckles.
Through his years at Anand, Dr Kurien has led a simple life with wife Molly. In the mid-1970s, Kurien bought a plot of land for a nominal price from the Maharaja of Baroda, who was under fire following the abolition of privy purses. That investment turned good for the Kuriens allowing them to exit it a decade later. Then, dipping into his provident fund account, Dr Kurien bought a plot opposite the GCMMF office in Anand and built a spacious house on a street that has since been named Dr Kurien Enclave.
Dr Kurien’s larger-than-life presence is irreplaceable at Anand. Small wonder then that there’s a palpable pall of gloom at the GCMMF headquarters in India’s milk capital. As a person who’s known him and worked with him closely over the years says, “It’s the saddest day for people here. He has an unmatched contribution in shaping the lives of the country’s farmers and after Gandhiji, is probably among the few people who actually worked for the masses. Everyone down the line is feeling sad.”
Kurien calls it a day
Anil Rana in Anand March 20. — In a pre-emptive move, Dr Verghese Kurien today gave up his membership and quit as chairman of the board of directors of the Gujarat Co-operative Milk Marketing Federation (Amul). He held the position for the past 34 years. The resignation came four days before the GCMMF board was to pass a no-confidence motion against him and three months after he had been re-elected chairman for a three-year spell. The Father of the White Revolution who has won awards national as well as global said: “I am pained by a recent move by the GCMMF board against me. The members have taken a decision to pass a motion of no-trust and gone to the board of nominees with the objective of restraining me from carrying out my functions as chairman. Having served the dairy sector for over five decades with complete dedication, do I deserve this kind of treatment?” Dr Kurien, though, retained for the present his position of chairman of the Institute of Rural Management at Anand. Asked if he had been illegally functioning as GCMMF chief since its inception, Dr Kurien said: “No. The laws which permitted me to be co-opted as a dairy management expert were approved by the government before the GCMMF was registered in 1974. Now, after I’ve spent 34 years building GCMMF up to a Rs 3,600-crore business, the largest of its kind in India, questioning my inclusion is not fair.”Gujarat High Court is currently hearing a petition challenging the legality of Dr Kurien’s continuance as Irma chairman. Asked if he planned to leave it, the 85-year-old celebrity replied: “At my age, the answer could not be a ‘No.’ You will hear from me on this.” Dr Kurien alleged that the board’s decision to remove him had been orchestrated by high-level people. According to him: “Today, under the leadership of the present chairman of the National Dairy Development Board, all that has been achieved is under threat. Instead of promoting the Amul model of co-operatives, owned by farmers, the NDDB is building its own empire. If the NDDB does not follow the cooperative strategy, it implies contempt of Parliament. Dairy farmers will lose their biggest asset — government ownership under NDDB’S ownership.” Dr Kurien said he was contemplating helping Pakistan set up a cooperative on the lines of Amul. The 24 March GCMMF meeting is likely to elect a new chairman.
http://www.thestatesman.net/page.news.php?clid=1&theme=&usrsess=1&id=110261
'Decision in deference to HC order'
Subodh Ghildiyal Times of India[ Tuesday, March 21, 2006 11:03:51 pm TIMES NEWS NETWORK ]
ANAND: 'Milkman of India' Verghese Kurien on Monday said his resignation had nothing to do with the Gujarat Co-operative Milk Marketing Federation board's threats. The next meeting of the board is scheduled for March 24. "My decision is in deference to the recent order of the Gujarat HC on the issue of co-option of members on the management committee of the co-operative bodies in Gujarat. I have taken the decision as a person firmly believing in the rule of law and principles of co-operatives," he said. The court had recently disallowed co-opted members to continue in the management committees of all co-operatives. Chairman of the Ahmedabad union had also moved HC, challenging Kurien's chairmanship as he is a co-opted member.
Refuting allegations that he had illegally occupied the post, Kurien said the bylaws permitted him to be co-opted as a dairy management expert, which was also approved by the then government before GCMMF was registered in 1974. It was only on Saturday that the state registrar of co-operatives had passed a resolution on the lines of an HC order, which banned co-option of members in co-operative institutes. Kurien alleged, "The GCMMF board has become a pawn in the bigger game plan of some vested interests bent upon capturing the co-operative body." He also attacked GCMMF managing director B M Vyas who, sources suggest, had plans to quit the federation. Vyas was so far one of Kurien's trusted lieutenants.
In fact, none of Kurien's trusted men were by his side when he announced his exit. Kurien hinted that he may leave IRMA too, citing his advancing age as the reason. His resignation has, however, not ended his differences with his estranged protege, NDDB chairperson Amrita Patel. He alleged that NDDB under Patel's chairmanship has diverted from its path of building and supporting co-operatives in the name of joint ventures and new generation co-operatives. He also alleged that there is no government audit of the accounts of the NDDB. Kurien's one-time protege and now arch-rival, NDDB chairperson Amrita Patel, said she was "saddened" by the development.
"Dr Kurien has without doubt made an invaluable contribution to the growth of our cooperative dairy industry," she said at a press conference. "I have worked with this great man for 35 years... But, time moves on." Patel distanced herself from the no-confidence move made by GCMMF's board of directors. She also refuted the allegations that NDDB's accounts are not audited. "Accounts are audited and the annual report is prepared every year. Such allegations have been raised time and again. We have duly answered all queries."
Milk mogul goes in utterly bitterly coup
RATHIN DasAhmedabad, March 20, 2006
VERGHESE KURIEN, father of India's modern dairy industry, has quit as chairman of the Gujarat Cooperative Milk Marketing Federation he helped build over three decades ago.
Announcing his resignation at a press meet in Anand on Monday, Kurien said his decision to step down was in deference to the recent Gujarat High Court order on the issue of co-option of members on the management committees of cooperative bodies.
The 84-year-old Kurien is known as the 'Milkman' for his role in popularising GCMMF's flagship brand Amul. Though a whisper campaign against his continuance as chairman was on for several months now, the latest provocation was the calling of an extraordinary meeting of the GCMMF board of directors on March 24 during which a no-confidence motion against him was supposed to be passed.
The GCMMF board is made up of the chairmen of 12 district milk marketing federations in Gujarat. Kurien said he was "anguished and pained" by the proposed move of the GCMMF board to pass a no-confidence motion against him.
Saying that the board had unanimously elected him as chairman for three years only three months back, Kurien said he had not caused any harm to 'Amul' or farmers to warrant a no-confidence motion.
"Such acts pain me and at the same time have raised my concerns about the future of the GCMMF," he said, adding that "the board has only become a pawn in the bigger game plan of some vested interests bent on capturing the co-operative body, which has withstood such attempts in the past."
He accused the incumbent GCCMF managing director of instigating the no-trust move and asked the Gujarat government and the Centre to order an "inquiry" into the workings of certain co-operatives in Anand, including GCMMF.
‘Maybe, I still have several aces up my sleeve’Sandeep BamzaiNew Delhi, March 20, 2006
Dr Verghese Kurien, the nation’s doodhwala, finally hung up his boots on Monday. But he didn’t do it willingly. The 84-year-old had to do so under pressure. By resigning as chairman of GCMMF, he pre-empted a planned move by 12 of the dairy federation’s board members to oust him. Chairman for a tad over 30 years, Dr K is known for unleashing the milk revolution in the country, a subject which was made into a celebrated film by Shyam Benegal, titled Manthan. In an extensive conversation with Sandeep Bamzai, he says perhaps, he still has a few aces up his sleeves. Excerpts:
There must be a sense of hurt with this decision today?
I guess it is good that it came after 34 years and not 24 years. Things happen and I guess this was one of them.
But is this a result of your long running feud with NDDB boss Amrita patel, who in any case is a protege of yours...
The cooperative movement is an article of faith and faith for me is belief without reason. Even though I groomed her, she unfortunately has shown no faith. Which is a travesty. The board of the federation met today and asked me whether I should resign and I said I am 84 years old, I have played my innings and maybe it was time for me to go. At the same time, I am anguished and pained by the recent move of the GCMMF board against me. Having served the cooperative dairy sector for over five decades, do I deserve this treatment from the board members? Such acts pain me and raise concerns in my mind about where the movement that all of us built so assiduously is headed.
So, then why did you quit now, after all many attempts have been made in the past to unseat you?
My decision is in accordance of the recent Gujarat High Court order on the issue of cooption of members on the management committee of the cooperative bodies in Gujarat. As you know I believe in following the rule of law and principles of cooperatives in toto and hence I decided to resign. I must add that if the members feel that a younger and more virile person should head the GCMMF, then so be it. There was a vote of no confidence against me. I cannot hold onto a job forever. I created this enterprise and ran it for many years.
Is it true that another of your proteges B.M. Vyas, Managing Director of GCMMF, has also defected to Amrita Patel’s side, and this in turn acted as a catalyst for the pressure mounting on you to resign by at least 12 of the members of the federation?
One should always remember that if the Managing Director can put his chairman in trouble, then corporate democracy is at risk. Whether he has defected is another matter. Today he sent me a message that he wants to come and see me tomorrow. Let’s see what tomorrow holds. I also read today that Vyas wants to leave GCMMF and join a private sector company.
What is at stake here? Does Amrita Patel or B.M. Vyas want to be appointed chairman of GCMMF, the organisation behind Amul which is a very big brand in India today?
Then both of them are misinformed. Firstly, you have to be chairman of a district union, which they are not.
Is there a sense of fulfillment about what has been achieved?
You must understand the import of what we have been able to achieve. Much to the annoyance of the rest of the world, we are the world's largest producer of milk. With the help of lakhs of farmers, we created a global enterprise.
Have you spoken to anybody in government on this issue?
I am averse to involving anybody in the government on this. Yes, the President is somebody who was kind enough to unveil my book recently, but why should I burden him with this?
You said it was the farmers who helped you in creating this enterprise of faith. What about them, are they in agreement with what has transpired today?
I don't want to involve them at this stage, because the whole thing can turn volatile. I don’t want any problems in my old age. I will, however, continue to serve as the chairman of IRMA. But let me add that the last word hasn’t been said or written on this subject. The end comes when it ends. Maybe I still have several aces up my sleeve.
What does the future hold for you?
Only a couple of months ago, 15-odd Pakistanis came to me from their dairy field. They left behind a standing invitation for me, asking me to teach them how to produce milks. I told themfirst stop eating the good cows. Sri Lankans, Filipinos and even African countries have come to me asking for help. I am too old to travel, maybe some of my deputies will go across and help them.
http://www.hindustantimes.com/news/181_1655017,0035.htm
Amul, NDDB back to doing business with each other
Dharini Nagarajan
GCMMF sold 2,000 t skimmed milk powder to Mother Dairy
The sale was made at Rs 92 a kg and talks are on for further deliveries.
New Delhi , March 20
Call it coincidence or something else — the exit of Dr Verghese Kurien from chairmanship of Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF) has taken place in the face of an important corporate development.
For the first time in three years after the spat between GCMMF and Dr Amrita Patel-headed National Dairy Development Board (NDDB) broke out in the open, the two co-operatives are back to doing business.
Just about 15 days back, GCMMF sold 2,000 tonnes of skimmed milk powder (SMP) to the NDDB-owned Mother Dairy - something unimaginable considering the animosity levels that had sprung up between the two of them in the recent period.
Mr R.S. Sodhi, Chief General Manager, GCMMF, confirmed the deal to Business Line.
It is reliably learnt that the sale was made at Rs 92 per kg and that negotiations are currently on for further deliveries to enable Mother Dairy stock up sufficiently for the summer to ensure liquid milk supplies in the national Capital.
Industry sources say that the exit of Dr Kurien may provide a further impetus to the co-operation of the two co-operatives.
In the last couple of years the two co-operatives have been carrying out a no-holds-barred battle in the market place with Mother Dairy launching butter to take on GCMMF established Amul brand.
Further, GCMMF had launched Amul ice-cream in Mother Dairy's Delhi backyard, while Mother Dairy has started marketing its milk in Gujarat.
Short of stocks
Mother Dairy, which sells some 20 lakh litres a day (LLPD) in Delhi (the country's largest milk market), is currently reported to be holding hardly 800 tonnes of SMP. Last year, at this time, it had inventories of over 10,000 tonnes.
The reason for shortages this year, sources noted, were two-fold. The first is the large-scale export of casein and SMP.
During 2004-05, India exported Rs 400 crore worth of dairy products, including Rs 210 crore of casein.
The figure is expected to double this fiscal, with the export of casein touching 15,000 tonnes and powder another 30,000 tonnes.
Casein is a group name for the dominant class of proteins in milk, responsible for its viscosity and white colour.
Mr Sodhi attributes the high prices of SMP to globalisation, saying that earlier prices in India were below the world trade prices and now with the opening up of the economy, prices are moving upwards equalling the global prices that are ruling above $2,200 a tonne.
"It's just a matter of demand and supply," he added.
After 33 years, the Milk Man leaves Amul
Tuesday March 21 2006 00:00 IST
ANAND: Entering the Institute of Rural Management (IRMA), Anand, auditorium through the exit gate, Verghese Kurien announced his resignation from the chairmanship of Gujarat Co-operative Milk Marketing Federation Limited (GCMMF) on Monday, a post he held for 33 years.The Grand Old Man of the Indian Milk Revolution, however, refused to give up his “fight for the farmers' cause”, but told the IRMA faculty and students that he was pained over the latest ouster bid. The GCMMF will hold a board meeting on March 24 to discuss the resignation.The resignation is the latest chapter in Kurien's run-in with former protege Amrita Patel, chairperson of the National Dairy Development Board (NDDB). But yet another protege seems to have abandoned him-Kurien was critical of GCMMF managing director B M Vyas' reported move to join Reliance.The resignation came after 11 of the 12 dairy co-operatives in the GCMMF board proposed to move a no-confidence motion against Kurien. While there was no official reaction from the GCMMF, a feeling that the differences are taking a toll on the co-operatives' functioning remained palpable.While he had himself stepped down from the NDDB, his chairmanship in another institution he formed and headed-IRMA-remains under a cloud.Reiterating that the fight was not personal at all, either with the present NDDB or with the GCMMF board, Kurien alleged that the milk federation had “become a pawn in a gameplan initiated by vested interests out to capture the co-operative body.” But he seemed to put in faith in the farmers, particularly those of Amul and Gujarat, and called upon them to come forward and take control of the co-operatives.He invoked central Gujarat greats like Sardar Patel, Tribhovandas Patel, Mansinh Chaudhary and contemporaries to explain what had gone into the making of the co-operatives, that, he alleged, were now facing moves to destablise them.His resignation speech was peppered by old allegations and arguments, be it the functioning of the present NDDB or the Netherland Bank's advisory role to NDDB.Not tempted by Pakistan's standing offer to head its co-operative movement, and ever ready to provide consultancy for the co-operative cause, he reiterated his faith in the farmers' power and co-operatives.Unfazed by the prospect of Reliance's entry in the sector, he was equally dismissive of who the next GCMMF chairman will be.However, when asked if he would leave IRMA, the reply was trademark Kurien: “At my age, the answer could not be a No. You will hear from me on this before long.”
http://www.newindpress.com/NewsItems.asp?ID=IEH20060320082352&Page=H&Title=Top+Stories&Topic=0
Kurien calls it quits, finally
Our Regional Bureau / Anand/Ahmedabad March 21, 2006
Giving in to mounting pressure, Verghese Kurien, the father of the country’s “white revolution”, has finally quit as chairman of the Gujarat Co-operative Milk Marketing Federation (GCMMF), which owns the Amul brand.
Kurien called a press conference in Anand today to announce his resignation in the wake of the decision of the GCMMF board of directors to oust him from his post.
“‘My decision is in deference to the recent order passed by the Gujarat High Court on the issue of co-option of members on the management committee of the co-operative bodies in the state. Therefore, I have taken the decision, believing in the rule of law and principles of co-operatives,” he said.
The octogenarian, who has headed the GCMMF for over three decades, has been in conflict with National Dairy Development Board Chairperson Amrita Patel, once his protégé, for mooting the idea of corporatising cooperatives.
Reacting to Kurien’s move, Patel said, “I am truly saddened that it has happened in this way. Kurien has without doubt made an invaluable contribution to the growth of our co-operative dairy industry.”
There is considerable uncertainty over who will succeed Kurien. A close associate of Kurien said Vipul Chowdhary, chairperson of the Mehsana District Dairy, could be the next chairman of the GCMMF.
“In the next board meeting, we will decide the successor. We will try to convince Kurien to be adviser to the next chairman,” he said.
Talking to the media, Kurien said, “Today, under the control of the present chairman of the National Dairy Development Board, all that has been accomplished lies under threat.”
According to him, dairy farmers and their federations are losing their say because of the NDDB. “The NDDB is building its own empire,” he added.
But, justifying the transformation of the co-operative bodies, Patel said, “The NDDB is turning co-operative bodies into professional entities.”
http://www.business-standard.com/common/storypage.php?storyflag=y&leftnm=lmnu1&leftindx=1&lselect=1&chklogin=N&autono=219349
'India's Milkman' Kurien quits Amul
TIMES NEWS NETWORK [ TUESDAY, MARCH 21, 2006 12:42:01 AM
ANAND: Monday marked the end of an era in the history of the dairy co-operative sector. An “anguished and pained” Verghese Kurien, founder-chairman of Gujarat Co-operative Milk Marketing Federation (GCMMF) announced his resignation in a packed Irma auditorium, pre-empting his ouster by the board of the dairy federation, where he created the iconic ‘Amul’ brand. But true to his style, before he threw in the towel, the 84-year old octogenarian, also called ‘India’s Milkman’ also warned the farmers that the GCMMF board was a mere pawn in a much bigger design to finish the co-operative movement. Then, he levelled serious allegations against the National Dairy Development Board (NDDB) and its chairperson Amrita Patel. Hours later, Ms Patel called a press conference to deny those allegations once again. It was a quintessential Mr Kurien — sad and yet witty — who fired one salvo after another at “those bent upon destroying the co-operative sector.”“Members of the GCMMF board have taken a decision to pass a no-confidence motion against me.
I am anguished and pained by the recent move of the GCMMF board against me. Having served the co-operative dairy sector for over five decades with complete dedication and commitment, do I deserve this kind of treatment from the board members,” said an emotionally-charged Mr Kurien. His wife Molly and daughter Nirmala watched him from the front row. Students of Irma who have come to the institute to learn management of the co-operative sector also stood in awe. Nearly 50-years ago, a young Mr Kurien, then still nurturing dreams of making an ‘atom bomb,’ had landed in this tiny village of Anand, and finding no hotel accommodation spent his first few nights in a garage, which is now displayed at the institute’s campus. Since then, he braved many storms and built an institution unparalleled in the world. Ironically, his own lieutenants had deserted him in this hour of sadness.
He still put up a brave face and refused to go without a fight. The ‘father of the white revolution’ said he could only think that the recent decision of the board members for his removal was an orchestrated act involving people at a “very high level.” He also denied allegations that he was illegally occupying the chairmanship of GCMMF since its inception 34 years ago. “The board has only become a pawn in the bigger gameplan of some vested interests bent upon capturing the co-operative body. My worry is that the federation, which has emerged as the symbol of co-operative success should not succumb to such designs and in the process harm the interests of farmers,” he said, expressing hope, adding, “no attempts will be made to destabilise and deform institutions like Irma and NCDFI.” Terming his decision to quit in deference to the recent Gujarat High Court order, Mr Kurien levelled serious allegations against NDDB and its chairman Amrita Patel, who he accused of corporatising the co-operatives.
Mr Kurien went on to the extent of saying the NDDB was building its own empire at the cost of farmers’ interests and was drifting away from its objective. “Why is the government not ordering a high-level enquiry into the affairs of NDDB and its companies to find out whether they are following the provisions of the Parliament Act? Public has the right to know where and why and how NDDB’s funds are being used. There is no CAG or any government audit of the accounts of the NDDB and its companies,” he said. Ms Patel, on the other hand, countered the allegation by saying that NDDB’s annual report is tabled in the parliament every year and that its accounts are very clear. “We are by no means corporatising co-operatives. We are just trying to bring in a professional approach,” she said. When asked whether he would accept the GCMMF’s chairmanship if he was requested, Mr Kurien said, “I may consider it, but for a short period. But I will continue working in the interests of farmers. I am 84 but if any co-operative wants to consult me I would be available for them.”
Hero Kurien scripts sad end
- Milked of options, father of white revolution quits
OUR CORRESPONDENT
Kurien: Tragic departure
Anand, March 20: Verghese Kurien, the father of India’s white revolution, quit today asking why he should step down and not why not.
“Having served the co-operative dairy sector for over five decades with dedication and commitment, do I deserve this kind of treatment…?” he asked while announcing his resignation as chairman of the Gujarat Cooperative Milk Marketing Federation (GCMMF).
Kurien, feted the world over for starting from a garage to build a farmers’ cooperative that made the brand Amul famous, quit because, otherwise, the people he mentored would have thrown him out.
Eleven of the 12 members of the board of the federation had sponsored a no-confidence motion that was to be moved on March 24 against the man who has had a 33-year association with the cooperative.
Kurien is 84, but he has held on to several posts despite being under pressure to give up and celebrated estrangements with proteges like Amrita Patel, who — once handpicked by him — heads the National Dairy Development Board (NDDB).
Known as the Milkman of India, Kurien expressed “anguish and pain” that one-time loyalists now wanted him out “and have even restrained me from carrying out my functions as chairman’’.
He leaves behind a Rs 3,600-crore cooperative and Amul, a brand known in all corners of India — utterly famous.
Kurien came to Anand in 1948 and built a network of cooperatives as well as the NDDB, National Cooperative Dairy Federation of India and the Institute of Rural Management, Anand (IRMA).
His decision to quit the federation came when he learnt yesterday afternoon that another “trusted loyalist”, the federation’s managing director B.M. Vyas, had joined hands with his opponents.
A board member had handed Kurien a letter, signed by most fellow members, asking him to convene a board meeting because they wanted to pass a no-confidence motion. “The board member told me that Vyas has also turned against me.”
The statement has all the sound of the voice of a tragic hero which Kurien should not be simply because of his sheer achievement.
But he seemed determined today to strike that pose. “It takes a clear vision and life-long dedication with determination to build great institutions like Amul, NDDB…,” he said.
The mechanical engineer from Madras University with a degree also from Michigan State University continued: “I have more respect elsewhere than in my own country where I have served.”
He has received numerous national and international awards.
Kurien is not stepping away from the limelight with the ultimate award of his working life: that is to hang up his gloves at a moment of his choosing. Instead he’s going down, throwing punches.
Asked if he might quit IRMA, too, he was partially evasive: “At my age, the answer could not be a ‘no’. Sooner or later I will step down.”
Like many other pioneers before him who have had problems with bowing out, Kurien voiced the “after me, the deluge” sentiment.
He alleged that some of the cooperative institutions, set up to empower farmers with “direct ownership and control”, were “drifting away” from their mission. He urged farmers and those associated with Amul to keep their eyes and ears open.
“I hope no attempts will be made to destabilise and deform other institutions like IRMA,” Kurien said. He has in the past accused the NDDB of trying to take over the cooperative dairy sector.
The battle, in which he and Patel were engaged in, was over control of cooperatives and markets.
Kurien alleged that an “orchestrated act involving people at a very high level” was behind the move to get rid of him. “Vested interests” were out to capture the cooperative bodies, using the board as a “pawn”.
He said the board had just three months ago elected him chairman for a further three years. “I am sure I have not caused any harm to GCMMF or the farmers to warrant a no-confidence move.”
Anand, which inspired the Shyam Benegal movie Nishant that was made with a Re 1 donation each from dairy farmers, may have no use for him, but Pakistan wants him.
“During my last visit, the Pakistanis had showered loads of respect and hospitality on me. When I returned, I told the leaders in Delhi that this was the way one should treat Kurien.”
http://www.telegraphindia.com/1060321/asp/frontpage/story_5993907.asp
Gujarat HC Disposes Off Petition Against Verghese Kurien
March 20, 2006Gujarat High Court today disposed of a petition challenging Dr Verghese Kurien's continuance as the president and director of Gujarat Cooperative Milk Marketing Federation (GCMMF), on the ground that he was co-opted and not an elected director. The petition was rendered infructuous after Dr Kurien announced his resignation from the post. His counsel read out his resignation letter in the presence of single judge bench of Justice Jayant Patel.The petition had been filed by Mohan Bhawrwad, the Chairman of Ahmedabad District Milk Producers Union, seeking Dr Kurien's ouster. His counsel Bharat Patel said as per an amendment in 1982 in the section 74 (C) of the Cooperative Society Act, a director of the cooperative has to be elected. So Dr Kurien's continuance in the post since his co-option in 1973, had been challenged, he added.
Kurien ... anguished
ANAND, Gujarat: Verghese Kurien, considered the father of India’s White Revolution that made milk easily available to the common man, resigned yesterday as chairman of the Gujarat Co-operative Milk Marketing Federation (GCMMF) following dissidence from fellow board members.
“I have resigned following an order by the Gujarat High Court prohibiting the inclusion of any co-opted members in the executive committee of the co-operative,” Kurien told reporters at the dairy town of Anand, about 70km from Ahmedabad.
The court order was seen as limiting his powers.
The rebellion of fellow dairy chairpersons and board members was also attributed by Kurien as the reason for his decision to step down from a post he had held for 34 years.
“I am anguished and pained by a recent move of the GCMMF board against me. The members of the board have taken a decision to pass a no-confidence motion against me and have even gone to the board of nominees restraining me from carrying out my functions as chairman,” he said.
Kurien called the board members’ move an “orchestrated act” involving “people at a very high level”.
There was considerable opposition to his continuation as the chairman with 11 of the 12 district dairy chairpersons that constitute the GCMMF gathered in this dairy town to discuss the no-confidence motion.
Earlier, a majority of members from the board supported a move by the chairman of the Sabarkantha District Milk Producers Union to freeze the powers of Kurien.
Expressing doubts about the future of GCMMF, among the most successful dairy co-operatives in the country known through its Amul brand, Kurien in his parting advice cautioned the organisation not to “succumb to such designs and in the process harm the interests of the farmer members.”
He also demanded an official inquiry into the affairs of the competitor National Dairy Development Board (NDDB), headed by his protÈgÈ-turned-opponent Amrita Patel to know “why and how its funds are being used.”
The genesis of Kurien’s problems dates back a few years with his opposition to Patel’s plans to expand the operations of the NDDB, a government-controlled body for promotion of dairy activity in the country, through joint ventures with co-operatives in different states.
Voicing opposition to the NDDB plans for having a major stake in joint ventures with co-operatives, Kurien had often stated that the business model violated the spirit of co-operative movement.
“There is no government audit of the accounts of the NDDB, and its half a dozen subsidiaries,” Kurien said.
Patel, meanwhile, said she was “disturbed” by the development.
“Kurien’s contribution is beyond doubt and let us hope that the GCMMF elects some leader who is capable enough to run the organisation efficiently,” she said in a statement. – Indo-Asian News Service
Father of 'White Revolution' Verghese Kurien resigns
ANAND, MAR 20 (PTI) OUTLOOK India
Verghese Kurien, father of India's modern dairy industry, today quit as chairman of the Gujarat Cooperative Milk Marketing Federation he helped build 33 years ago, alleging that vested interests were out to "capture" the dairy body.
The octogenarian, known to Indians as the 'Milkman' for his role in popularising GCMMF's flagship brand Amul, pre-empted a move by the dairy federation's Board to oust him.
"I would like to inform you that I have today tendered my resignation as the member and chairman of the board of directors of GCMMF," Kurien, 84, told reporters here.
Staff and students of IRMA also attended the press meet.
He said he was "anguished and pained" by a proposed move of the GCMMF board to pass a no-confidence motion against him. The member had "even gone to the Board of Nominees restraining me from carrying out my function as chairman."
The Board was scheduled to take up the no-confidence motion at its meeting on March 24.
"Having served the co-operative dairy sector for over five decades with dedication and commitment, do I deserve this kind of treatment from the board members," he asked.
Kurien, who has continued as Chairman of GCMMF since its inception in 1973, came to Anand in 1948 and established a network of cooperatives in Gujarat, including world-class institutions like NDDB, NCDFI and IRMA.
"Such acts pain me and at the same time have raised my concerns about the future of GCMMF," he said, adding that "the board has only become a pawn in the bigger game plan of some vested interests bent on capturing the co-operative body, which has withstood such attempts in the past. "I did my best to fulfil the dreams of India's farmers. In the process I might have antagonised some people and confronted certain vested interests bent on exploiting India's farmers," Kurien explained. But he said he had no "personal grudges" against anybody in this matter.
"Further, I would like to mention that the Board had elected me unanimously just about three months back as the Chairman for a period of three years," Kurien said.
"I am sure I have not caused any harm to GCMMF or the farmers in general to warrant a no confidence move by the board members," the mechanical engineer-turned dairy engineer said.
Kurien, a recipient of innumerable awards including the Padma Vibhushan and Ramon Magsaysay Award for community leadership, wondered what "considerations prompted the members to adopt such a course of action." "I could only think that the recent decision of the Board members for my removal is an orchestrated act involving people at very high level."
"My decision (to step down) is in deference to the recent order of the Gujarat High Court on the issue of co-option of members on the management committee of the cooperative bodies in the state. I have taken the decision as a person firmly believing in rule of law and principles of co-operatives," Kurien said.
Later, he accused the incumbent GCCMF Managing Director of instigating the no-confidence move and also asked the Gujarat government and the UPA government at the Centre to order an "inquiry" into the workings of certain co-operatives in Anand, including GCMMF.
"All co-operative institutions in Anand have been created with the sole purpose of helping farmers by giving them direct ownership and control of the organisations," Kurien said.
"Of late, however, some of these institutions are drifting away from their original mission of supporting the cause of farmers' co-operatives," he remarked.
In the past, Kurien had launched an attack on the National Dairy Development Board, which he said was trying to takeover the cooperative dairy sector.
He called upon farmers and those associated with Amul (a marketing arm of GCMMF) in particular to be fully aware of such threats and be vigilant to protect these institutions.
"I sincerely hope that no attempts will be made t o destabilise and deform other institutions like IRMA (of which Kurien is still the chairman) and NCDFI located in Anand, which are meant to serve the farmers' interests in their own unique ways," Kurien said.
Asked whether he would step down from chairmanship of IRMA, Kurien replied: "IRMA is a separate institution. It is a training institute. However, at my age, the answer could not be a no. Sooner or later I will step down."
"I am ready to come back as the chairman (of GCMMF) if the board asks me to," he said when asked whether he would again take up the chairmanship.
"It will be only for a small period though," he said adding, it was for the farmers to decide his successor.
"It will be difficult as everybody here wants to become the chairman," he said while getting nostalgic about the period when he had first come to Anand in 1948 and his meeting with former Prime Ministers Jawaharlal Nehru and Lal Bahadur Shastri who had encouraged him to set up a co-operative network in Gujarat.
Father of India's dairy movement Kurien calls it a day
ANAND, MAR 20 (PTI)
India's white revolution owes its genesis to a small garage here, a sleepy town back in 1973, from where Verghese Kurien began cobbling together one of the world's largest dairy cooperative federations.
Kurien, 84, who today quit as head of the dairy cooperative he built over the last 33 years, leaves behind a Rs 3,600 crore establishment and a brand (Amul) that is a beloved household name.
Amul, which is managed by the Gujarat Cooperative Milk Marketing Federation (GCMMF) founded by Kurien, today sells dairy products not only in India, but abroad too.
"It takes a clear vision and life long dedication with determination to build great institutions like Amul, NDDB, GCMMF, NCDFI & IRMA," said the 84-year-old as he announced his resignation as chairman of GCMMF.
He is known to Indians as 'Milkman' for introducing Amul to them, but not many are aware that the architect of India's dairy revolution is a mechanical engineer from University of Madras, who also picked up a masters in mechanical engineering from Michigan State University.
But Kurien's swan song remains this Malayalam proverb: "Muttatha mullaku Manam illa" (the fragrance of a jasmine in ones own backyard has little value).
"Like the Malayalam proverb, I have more respect elsewhere than in my own country where I have served" said the octogenerian, who has been decorated with innumerable awards including the Padma Vibhushan and the Ramon Magsaysay Award for community leadership.In his parting speech, Kurien remembered how he was born in Calicut, Kerala in the November of 1921 and had come to this sleepy town of Anand in 1948 and had begun his activities from the small garage. Armed with a post-graduate degree in mechanical engineering from Michigan State University and specialised training in dairying from the National Dairy Research Institute, Bangalore, Kurien set up GCMMF on the advice of then prime minister Lal Bahadur Shastri.
Apart from GCMMF, Kurien remained the chairman of National Dairy Development Board (NDDB) till 1998 till he handed over the reins to his protege Amrita Patel.
Both Kurien and Patel fell apart after differences cropped up over marketing strategies.
The tussle between the two spilled out in public last year when Kurien, the chairman of IRMA (Institute of Rural Management-Anand) sacked the director V Pratap Reddy and appointed L K Vasvani in his place.
During the convocation ceremony of IRMA, Patel and her supporters in the IRMA board protested outside the institute's gates against Kurien's move not to allow some of Patel's aides from entering the institute's premises.
The battle intensified after NDDB tried to counter Amul's monopoly in the market by selling packaged milk under the brand name Sugam in Ahmedabad market.
Hitting out at Patel, Kurien said: "Today, under the chairmanship of NDDB all that has been achieved is under threat. Instead of promoting the Amul Model cooperatives owned by the farmers themselves, NDDB is building its own empire".
Indian dairy’s father quits in ‘anguish’
http://www.deccanherald.com/deccanherald/mar212006/national177192006320.asp
Anand, PTI:
The octogenarian, known as the “Milkman” for his role in popularising GCMMF’s flagship brand Amul, pre-empted a move by the dairy federation’s board to oust him.
Verghese Kurien, the father of India’s modern dairy industry, on Monday quit as chairman of the Gujarat Cooperative Milk Marketing Federation he helped build for 33 years, alleging that vested interests were out to “capture” the dairy body. The octogenarian, known as the “Milkman” for his role in popularising GCMMF’s flagship brand Amul, pre-empted a move by the dairy federation’s board to oust him. “I would like to inform you that I have today tendered my resignation as member and chairman of the board of directors of GCMMF,” Mr Kurien, 84, told reporters here on Monday. Staff and students of the Institute of Rural Management-Anand, also attended the press meet.
Mr Kurien said he was “anguished and pained” by a proposed move of the GCMMF board to pass a no-confidence motion against him. “The members had even gone to the Board of Nominees to restrain me from carrying out my functions as chairman,” he said. The board was scheduled to take up the no-confidence motion at its meeting on March 24. “After having served the co-operative dairy sector for over five decades with dedication and commitment, do I deserve this kind of treatment from the board members?” he asked. Mr Kurien, who has been chairman of GCMMF since its inception in 1973, came to Anand first in 1948 and established a network of cooperatives in Gujarat, and, over time, world class institutions like NDDB, NCDFI and IRMA. ‘Vested interests’ “Such acts pain me and at the same time raise my concerns about the future of GCMMF,” he said. “The board has become a pawn in the bigger game plan of some vested interests bent on capturing the co-operative body, which has withstood such attempts in the past.” “I did my best to fulfil the dreams of India’s farmers,” Mr Kurien said. “In the process I might have antagonised some people and confronted certain vested interests bent on exploiting India’s farmers.” But he said he had no “personal grudges” against anybody in this matter. “Further, I would like to mention that the board elected me unanimously just about three months back as the chairman for a period of three years,” he said. “I am sure I have not caused any harm to GCMMF or the farmers in general to warrant a no-confidence move by the board members,” the mechanical engineer-turned dairy engineer said. Mr Kurien, who has won many awards including the Padma Vibhushan and Ramon Magsaysay Award for community leadership, said, “I wonder what considerations prompted the members to adopt such a course of action. I can only think that the recent decision of the board members... is an orchestrated act involving people at very high level.” He said, “My decision (to step down) is in deference to the recent order of the Gujarat High Court on the issue of co-option of members on the management committee of the cooperative bodies in the state. I have taken the decision as a person firmly believing in rule of law and principles of co-operatives.” He accused the incumbent GCCMF managing director of instigating the no-confidence move and also asked the Gujarat government and the UPA government at the Centre to order an “inquiry” into the workings of certain co-operatives in Anand, including GCMMF.
A bow to Dr Kurien
Lesson: never overstay your welcome
Posted online: Wednesday, March 22, 2006 at 0000 hours IST
It is sad to see a titan fall. More, when he’s pushed out by his own creations. It is not necessary to agree with Dr Verghese Kurien’s recent views or actions to salute him. Observers have, for decades, struggled for superlatives to describe what he’s done for India’s dairy cooperatives, for farmers and for us citizens. Recall that his monumental achievements of the past four decades actually came after he’d already got the Padma Shri, Padma Bhushan and Ramon Magsaysay awards. He’s been a continuous creator of reality, on a scale which few can even contemplate, whose spinoffs changed this nation in fundamentally better ways.
If this sounds like a roll call for quasi-divinity, it was never so. Dr Kurien has been dogged by genuine sceptics for as long as he’s been adulated: it is difficult to recall now that in the early 1980s Indira Gandhi was forced by such questioning into a formal probe on whether Kurien’s Operation Flood didn’t have more hype than substance. (The probe, by the respected late LK Jha, mixed its praise with some criticism, too). What is undeniable is that Amul’s success could not be replicated elsewhere in the country or even in any other sector. In oilseeds, where Dr Kurien did try, his experiment was not a success and he had to retreat after many charges were levelled against the National Dairy Development Board (NDDB).
His extraordinary exchange of anathemas with Amrita Patel and other once-proteges at the NDDB over the past four-odd years shows that even his disciples and fellow believers disagreed with his assessments and policies in basic ways. He has labelled them ingrates and traitors: they say he’s unable to see his limitations. If there’s one lesson in the please-leave-now signal he got from the GCMMF, the Amul cooperative, his own baby for decades, it is that even men of stature—or, perhaps, especially men of stature—should be mindful of not overstaying their welcome. Once you’ve put a system in place, quit and move on, dignity intact. No one can be glad at the manner of Dr Kurien’s exit; it is little balm to note that his huge achievements will endure.
Scaling up Kurien
YK ALAGH
Posted online: Wednesday, March 22, 2006 at 0000 hours IST
One statistic captures the change brought by Dr Verghese Kurien in India’s villages. In the early 1960s, the animal husbandry sector accounted for just 2% of rural income; today, it is about a third. Given its employment intensity, four crore people—a fair number of them women—today depend on animal husbandry for their livelihood. Even in poor and backward areas in Bihar, dairying is a fast-growing activity. A major part of this is from the dairy sector.
The orthodoxy in the Food and Agriculture Organisation (of the UN) in the late 1970s—and, ironically, remains so—was that dairying is a large-scale industry and cannot be organised at the household level. Kurien and India very convincingly changed that thinking. This will perhaps not make Page 3 news, but this form of organisation has been clearly proven, and is being replicated successfully, in India.
Kurien’s feat was all the more credible because he achieved this with almost no support from the bureaucracy. India, for instance, has a cooperative law handed down from the British ages that has, if anything, ended by bureaucratising our cooperatives. It’s to Kurien’s managerial credit that he spread the cooperative concept beyond anyone’s wildest dreams. Despite the success of the ‘white revolution,’ it is India’s failure that it has not introduced systems conducive to the spread and growth of cooperatives.
A tribute to the NDDB (National Dairy Development Board, an apex organisation in the milk industry that Kurien headed until 1998) model is that it is being replicated in other areas such as watershed development. Cooperatives are mushrooming in the irrigation sector and already there are a few hundred such bodies operating in the country. Today, half a million hectares of land are irrigated under such cooperative models, which is almost equal to what the governments do at a much higher cost.
A fine example is the Satguru Foundation in Dahod, Gujarat. Originally funded by the Mafatlals, the Foundation today has about 184 cooperatives, each operating at the village level, irrigating some 100,000 acre. Villagers supplement external funding from their own sources, use low-cost technology to set up a small irrigation system, create reserves for as long as two years, and make money by selling the water. The model is now being copied in Rajasthan.
Similar examples are emerging across India in farm management, medical services, forest preservation and finance sectors. And, several of these, as they unfold, are exact copies of the Anand or NDDB model. Kurien, to me, is clearly an icon of the last century. And, it is impossible for anyone to chip away at that memory.
(As told to Financial Express)
—The writer, an eminent economist, is also a former Union minister
Kurien writes to PM seeking inquiry against NDDB
AHMEDABAD, MAR 21 (PTI) OUTLOOK
Verghese Kurien, who resigned as head of the Gujarat Co-operative Milk Marketing Federation, has written letters to Prime Minister Manmohan Singh and UPA chief Sonia Gandhi seeking a high-level inquiry into the working of the National Dairy Development Board headed by Amrita Patel.
"Kurien has written to the Union government several times about the financial irregularities and the working of the NDDB in the past," an official close to Kurien said.
"He has written to Prime Minister Manmohan Singh, Sonia Gandhi, the Finance Minister and the Agriculture Minister regarding the working of NDDB (of which Kurien was a former chairman)," he said.
But he denied that the Kurien's letter to the Prime Minister was a fallout of his resignation yesterday as chairman of the GCMMF.
"The last time he wrote a letter regarding NDDB was a month ago," the official said, adding that the government had failed to take any step against NDDB chairperson Amrita Patel inspite of Kurien writing to the ministries concerned several times.
Kurien in his letter has said Patel should be sacked from the chairmanship as she had "violated" the provisions of the NDDB Act. He has also demanded that a high-level inquiry committee be instituted to probe into the alleged "shady" working of the NDDB.
Kurien says NDDB chief's performance not satisfactory
NEW DELHI, MAR 21 (PTI)
A day after he quit as Chairman of the Gujarat Cooperative Milk Marketing Federation, Varghese Kurien today attacked Amrita Patel and wanted her to be removed as Chairman of the National Dairy Development Board.
"I do not think Ms Patel can continue for long as Chairman of the National Dairy Development Board ... Because she has not performed satisfactorily," Kurien, credited with developing the modern dairy industry in the country, said.
"I am sure she would be replaced and someone more suited can be found," he told NDTV.
Kurien said under the NDDB Act Patel was to create cooperatives and not companies .... Cooperatives which are owned by producers of milk.
He said when he quit as Chairman of the NDDB, he had left behind Rs 4,000 crore in cash.
Indicating mismanagement of affairs in the NDDB, he called for an inquiry by a Joint Parliamentary Committee.
"Government has already ordered an inquiry, but it is taking a long time," he said.
A hero, never mind the bitter end
The bitterness that marked the resignation of Dr Varghese Kurien as head of the Gujarat Cooperative Milk Marketing Federation should not stop us from celebrating one of the most inspiring careers in the history of independent India. Dr Kurien transformed milk production, liberated milk producers from abject dependence on those who procured their milk and modernised the cooperative movement as a whole. By replicating the Anand model elsewhere, he demonstrated its success was not peculiar to the cooperative movement in that region, but one of providing producers direct access to a modern system, including modern technology. And by taking the Amul brand to other products, he confirmed that the cooperative sector need not be confined to the realms of equity politics, but could play a significant role in a modern economy.
As with most successful strategies, though, its very success prevented a recognition that even the best plans are not valid for all time to come. And this is particularly true of modernisation strategies, for what was pathbreaking and modern in the 1950s when Dr Kurien started out, is a part of the past today. At that time, it was enough to provide farmers technology and it was possible to protect them from the market. But if Amul is to survive and grow as a brand today, it will have to meet the challenges of globalisation.
The cooperative movement will have to develop the strength and the flexibility to deal with the world’s most powerful brands. And a protectionist environment gives the cooperative movement little or no opportunity to develop this competitiveness. It could well be the case that cooperatives need to use corporate forms at apex levels. The best tribute we can pay Dr Kurien is to bring to the process of modernisation of the cooperative movement, the innovation, idealism and commitment of his early years rather than stick to the specifics of a strategy that is now outdated
HindustanTimes.com » Editorial » Story
Manthan in the boardroomNew Delhi, March 22, 2006
There is a heartfelt tragic aspect to the news of Verghese Kurien being shunted out of his decades-old position as chairman of the Gujarat Cooperative Milk Marketing Federation (GCMMF).
After all, neither is the GCMMF any entrepreneurial body nor is Mr Kurien any old chairman unwilling to give up his seat. We are talking here of the man who pretty much single-handedly created India’s White Revolution, pooling in the resources of farmers through the cooperative structure. Mr Kurien is rightfully a legend.
The tragedy is not that Mr Kurien is being made to step down by an alleged cabal led by his one-time protege and present National Dairy Development Board chairperson Amrita Patel.
‘Federation’ politics can be just as brutal as corporate politics. It is tragic because the GCMMF, along with its flagship brand Amul, remains a rousing success story. Far too often has one witnessed leaders past their shelf-lives holding on to their posts simply by virtue of their remarkable successes in the past. Whether it is in the field of politics or sports, the unwillingness to realise that it’s time to let loose of the reins has affected the best and the worst of people. One understands what worries Mr Kurien. He is suspicious of the ‘corporatisation’ of the GCMMF and that this may unravel the whole cooperative structure he has lovingly and so successfully maintained over the decades. But it is also true that Mr Kurien may just have fallen a bit too much in love with his own creation. He is more than human to do so, being the friend, entrepreneur and guide to so many dairy farmers. But there may be a case that the GCMMF may have to move forward in directions that the 84-year-old icon may not have been willing to take it to.
It is unfortunate that Mr Kurien had to step down in such a manner and that he is still willing to resist his ‘forced retirement’. But at the same time it is a telling legacy that Mr Kurien leaves behind, something that cannot be said for so many other pioneers who insist on marring the institution that they have so much trouble leaving behind.
Kurien heir: BJP, Cong in milk war
TIMES NEWS NETWORK [ WEDNESDAY, MARCH 22, 2006 12:00:38 AM]
AHMEDABAD/ANAND: Verghese Kurien’s resignation is not simply about a legend quitting a high-profile office. Indications are that it could impact the future of Gujarat’s politics, considering the immense influence that dairy farmers wield. The vacancy at the Rs 3,500-crore Gujarat Milk Marketing Federation (GCMMF) may have several heaving a sigh of relief, but the real worries have only just begun. Did Chief Minister Narendra Modi engineer the Kurien ouster? — is the million-dollar question since a majority of the dairies under the federation that went against Kurien were BJP controlled. Besides, the dislike between Modi and Kurien was evident in their many public spats. Kurien and Modi had crossed wires at a Krishi mela in Anand in 2004 and never agreed since. There are also murmurs that the Congress may have wished Kurien away, for the good of the party and his own. Sources say, Modi may have approached certain Congress members of the GCMMF board to help oust Kurien, to later compromise by replacing him with a Congress ally. On Tuesday, Congress president Sonia Gandhi was apprised of the issue at a meeting in Delhi and she is taking keen interest in the matter. Now the BJP and Congress are brokering over a candidate favourable to them to step into Kurien’s shoes, but both are tightlipped about the issue, at least till Friday when the no-confidence motion against Kurien will be moved in Anand.
“Whether there will be elections for the new chairperson to head GCMMF will be decided after that,” says Uttam dairy chairman Mohan Bharwad who had filed a petition in the Gujarat High Court protesting Kurien’s co-option as a member in GCMMF. The general feeling is that “Kurien should have resigned long back and done a graceful exit”, says Anand-based BJP member and industrialist Kiran Patel. But Patel adds, “The one who takes his place should have as much knowledge of milk and milk products, or the movement will go to the dogs.” Bharwad thinks Kurien a “misfit”. “He was a good manager to run machines, not a leader of the people,” says Bharwad. The overpowering fear now is that the massive dairy co-operative movement may go through a power-shift quite like the co-operative bank movement, which the BJP took control of till its collapse. The tug-of-war to take control of the federation is now between the BJP and the Congress and who can win over the 13 dairy directors under GCMMF.
The milkman goes
Business Standard / New Delhi March 22, 2006
Verghese Kurien first talked of retirement a quarter century ago, when he was approaching 60. His departure on Monday has therefore been long overdue, and it is sad that it should have been precipitated finally by a revolt by colleagues. Always feisty, ever intent on having his own way, and never shy of getting into a scrap, the father of India’s milk revolution has in recent years been at loggerheads with board colleagues not just at the Gujarat Cooperative Milk Marketing Federation (whose chairmanship he has just given up), but also at the Institute of Rural Management (where he tried to sack the director and locked out fellow-directors from a board meeting), while indulging in a prolonged slanging match with his handpicked successor at the National Dairy Development Board, Amrita Patel. None of this is out of character, but that does not make any of it necessary. Having done enough and more to fill more than one lifetime, and to merit all the recognition, awards and even adulation that have come his way, Dr Kurien should have gone quietly and gracefully, instead of waiting to be pushed out.
As ever, India’s milkman staked his ground on an issue of principle—which is that farmers’ cooperatives should be run by farmers, not taken over by bureaucrats or anyone else. This has been the issue on which he has fought numerous battles in the past, and the reason why he was never seduced by New Delhi and made a wayside town in Gujarat the country’s milk capital. But it is also true that, in the name of being the farmers’ servant, Dr Kurien was as autocratic as they come—reflecting a pattern familiar in many joint stock companies. The difference between him and many others is of course that he also built institutions, not one but several; he emphasised quality and performance; he was an intense nationalist, out to prove that an Indian company could do everything the global corporations did; and at no stage was he attracted to personal rewards, other than the weakness of always wanting his own way.
His legacy is that India is no longer plagued by milk shortages and the milk rationing that was common in the cities when he launched Operation Flood in 1970. His legacy is also a large and well-organised business, with several brands as household names (Amul is only one of them). Indeed, the conceptualisation of Operation Flood was itself a brilliant way of turning a threat (gifted imports of Europe’s surplus milk powder that would have depressed the domestic market) into a financing mechanism for using the gifts to get the milk revolution under way. The first phase of the programme did not, in fact, meet most of its targets, but Dr Kurien was convinced about the viability of the idea and launched a second, larger second phase that eventually paid off. It is therefore a tribute also to his staying power and ability to ride out the rough patches. The extension of the same ideas into vegetable oils led to less dramatic results, but caused a display of the same autocratic tendencies. In the end, though, the country should be grateful to Dr Kurien for what he has done to benefit millions of dairy farmers and the many more millions of consumers of milk and milk products.
http://www.business-standard.com/common/storypage.php?storyflag=y&leftnm=lmnu5&leftindx=5&lselect=1&chklogin=N&autono=219427
‘Milkman’ Kurien attacks NDDB chief Amrita
Tuesday, 21 March , 2006, 22:48 http://sify.com/news/fullstory.php?id=14167368
New Delhi: A day after he quit as Chairman of the Gujarat Cooperative Milk Marketing Federation, Verghese Kurien on Tuesday attacked Amrita Patel.
Kurien wanted her to be removed as Chairman of the National Dairy Development Board.
"I do not think Patel can continue for long as Chairman of the National Dairy Development Board ... Because she has not performed satisfactorily," Kurien, credited with developing the modern dairy industry in the country, said.
"I am sure she would be replaced and someone more suited can be found," he told a television channel.
Kurien said under the NDDB Act Patel was to create cooperatives and not companies ... Cooperatives which are owned by producers of milk.
He said when he quit as Chairman of the NDDB, he had left behind Rs 4,000 crore in cash.
Indicating mismanagement of affairs in the NDDB, he called for an inquiry by a Joint Parliamentary Committee.
"Government has already ordered an inquiry, but it is taking a long time," he said.
Kurien, who resigned as head of Gujarat Co-operative Milk Marketing Federation, has written letters to Manmohan Singh and Sonia Gandhi seeking a high-level inquiry into the working of National Dairy Development Board headed by Amrita Patel.
"Kurien has written to Centre several times about the financial irregularities and the working of the NDDB in the past," an official close to Kurien said.
"He has written to Manmohan Singh, Sonia Gandhi, the Finance Minister and the Agriculture Minister regarding the working of NDDB (of which Kurien was a former chairman)," he said.
But he denied that the Kurien's letter to the Prime Minister was a fallout of his resignation on Monday as Chairman of the GCMMF.
"The last time he wrote a letter regarding NDDB was a month ago," the official said, adding that the government had failed to take any step against NDDB chairperson Amrita Patel in spite of Kurien writing to the ministries concerned several times.
Kurien in his letter has said Patel should be sacked from the chairmanship as she had "violated" the provisions of the NDDB Act.
He has also demanded that a high-level inquiry committee be instituted to probe into the alleged "shady" working of the NDDB.
Kurien hangs up his boots
The father of white revolution Dr Verghese Kurien has decided to call it a day! The dairy veteran signed off on an emotional note on March 20, 2006,as the Chairman of the Gujarat Co-operative Milk Marketing Federation (GCMMF), better known for `Amul' brand of milk products.
The octogenarian’s exit stems from the no-confidence motion called against him on March 24. The GCMMF board was witness to simmering differences between the veteran and his proteges for quite sometime now and things came to a head with the call for no-confidence motion.
Announcing his resignation in an emotionally charged tone, Dr Kurien said: "I am anguished and pained by a recent move of the GCMMF Board against me. The members have taken a decision to pass a no-confidence motion against me and have even gone to the Board of Nominees restraining me from carrying out my functions as Chairman."
Upset at the move to oust him from an institution he had helped create, Dr Kurien said: "Having served the co-operative dairy sector for over five decades with complete dedication and commitment, do I deserve this kind of treatment from the board members?"
Surprisingly, just three months ago the same Board had unanimously elected him as Chairman for a three-year term.
"I can only think that the recent decision of the Board members for my removal is an orchestrated act involving people at a very high level. The board has become a pawn in the bigger game of some vested interests bent upon capturing the cooperative body," he said.
Kurien's Amul Stint
1950 :
Kurien appointed manager for Amul.
1949-'73:
White Revolution. Initiates reforms in dairy co-operatives and launches Operation Flood programme.
1998:
Kurien retires from NDDB, hands over reigns to Amrita Patel.
2002:
NDDB terminated GCMMF's contract which allowed Mother Dairy to buy up to 20,000 tonnes of milk powder from GCMMF annually.
2003:
Mother Dairy stops buying Amul milk and selling Amul products. Amul enters Delhi milk market and challenges Mother Dairy.
2005:
Kurien re-elected as chairman of GCMMF for 3 more years. Meanwhile, his leadership is constantly being challenged by his proteges.
2006:
Kurien resigns from the membership and chairmanship of GCMMF