Comparative analysis of distribution cost of milk and milk products in organised sector of Tamil Nadu.

2013 
The distribution cost of milk and milk products in Salem District of Tamil Nadu in the private sector was studied. The distribution cost of dairy products namely, toned milk, standardized milk, full cream milk, butter, ghee and SMP were Rs. 1.36/litre, Rs. 1.80/litre, Rs. 1.48/litre,Rs. 18.21/kg, Rs. 37.06/kg andRs. 27.76/kg, respectively for the co-operative dairy plant. The corresponding distribution cost of dairy products in a private plant were Rs. 0.93/litre, Rs. 1.04/litre, Rs. 1.37/litre, Rs. 22.73/kg, Rs. 36.93/kg andRs. 27.49/Kg respectively. The distribution cost was lower for the co-operative dairy plant for butter only whereas the distribution cost of toned milk, standardized milk, full cream milk, ghee and Skim Milk Powder was lower for the private dairy plant. The private dairy plant incurs less expenditure on salary of staff and cost of transportation as compared to the co-operative dairy plant.
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