Amul Micro ATM payment at doorsteps for dairy farmers

Anandpara, a small village in Rajkot district with a population of around 4,000 and milk procurement of 2,000 liters per day, has created history. Anandpara Village Dairy Co-operative Society of Rajkot milk union has adopted a new digitalization method by installing the first Micro ATM payment center at the doorstep of milk producer members. Rajkot District Co-operative Milk Producers’ Union, Gopal Dairy, an affiliated dairy union of Amul, has taken the initiative and taken a concrete step to digitalize the rural economy.

On this occasion, Gordhanbhi Dhamaliya, chairman, Rajkot Dairy, has virtually inaugurated the Aadhar based Amul Micro ATM facility for the milk pouring members of Anandpara Village society. He said that any member could visit the milk society, withdraw the money through Amul Micro ATM, and get the payment immediately. It is a big relief for farmers as members need not visit the bank and incurring the time and traveling cost. He also mentioned that such types of transactions are safe during the pandemic, and there is no need for any credit or debit card as the entire transaction is based on a thumb impression.

Valamjibhai Humbal, vice chairman, Gujarat Co-operative Milk Marketing Federation (GCMMF) (Amul), congratulated the team of Rajkot Dairy for the implementation of such a unique project and added that this project would give confidence to small, marginal, and landless farmers and will cultivate a saving habit for future needs. Since demonetization, we are working on this project, and it is a matter of pride for us that we have started the project from Rajkot.

Shamalbhai Patel, chairman, Gujarat Co-operative Milk Marketing Federation Limited (GCMMF) (Amul), has virtually attended the function. He said by adopting the Micro ATM technology, milk producer members are linked with the digital payment system. He also emphasized that member unions of GCMMF will roll out the Amul Micro ATM project in all village cooperative societies at the earliest. “We are working on this project for quite some time, and it is a matter of pride for us to fulfill the “Digital India” vision of our hon’ble prime minister.”

R S Sodhi, managing director, Gujarat Co-operative Milk Marketing Federation Limited (GCMMF) (Amul), said the lack of digital banking technology in remote villages had given the idea to start this project. Under the project, around 4,000 village milk cooperative societies across Rajkot, Surat, Bharuch, and Surendranagar districts were surveyed to get an idea about the actual difficulties faced by them. He added that member unions of GCMMF had opened more than 25 lakhs bank account for milk producer members after demonetization during demonetization time. He also informed that there are three main advantages of the project – increase in transparency in all financial transactions and the credit worthiness of individuals, which would be beneficial for them for availing any loan. In addition, it will further cultivate the habit of savings.

Vinod Vyas, managing director, Rajkot Dairy, has conveyed his sincere thanks to all chairmen and managing directors who attended the function. He has also informed that under the project, not only milk producer members but all villagers will be benefited. He also congratulated the dedicated staff of Rajkot dairy, Digivridhi (Fintech), and Federal bank to implement the pilot project successfully.

Amul Micro ATM system has been developed with joint efforts by GCMMF (AMUL) Fintech Company, Digivridhi with banking partner Federal Bank who arranged the cash delivery at villages which was the key challenge of this project. Raghvan from Digividhhi, executive director, Federal Bank, Atul Kumar Agrawal, senior general manager (Finance), GCMMF, were also present on occasion.

It is pertinent to note that member unions of GCMMF are already making digital payments of around Rs 140 to Rs 150 crore per day to its village societies.