What happened to the Supply of Milk and Other products in India, Due To COVID-19 Of LockDown?

Once the coronavirus lockdown was declared, people rushed to the nearest grocery stores to get ready for the pantry. Some were overstocked and others returned empty-handed. The unprecedented consumer demand had an impact on the supply chain that forced every link in the chain to go the extra mile. This changed the journey of products, perhaps from farm to fork, adapting to the new normal. This rising the demand curve that has had a forlorn impact on producers and farmers. This is more generally referred to as the Bull-whip effect. The last week of March reported that between mid-February and mid-March of this year quantified the exact buyer behavior the purchase of packaged atta saw a spike of 16%, spices saw a rise of 21% while cooking oil purchases saw a whopping increase of 106%. This purchasing behavior as' pantry preparation and quarantined living that included the heavy purchase of staple food categories namely Packaged Wheat Meal (Aata) and Packaged Pulses. Likewise, we have seen significant growth in the categories of indulgence foods.

This has led to multiple simultaneous happenings. First, for the next consumer, the shelves were empty. "Secondly, because of stock unavailability and excessive demand, retailers are starting to panic and thus placing a bulk order with the manufacturers of FMCG. That, in effect, also puts a burden on the farmers. More than 14 percent of those surveyed were unable to procure milk and other dairy products in March. Where ITC Foods selling Ashirwad Atta ramped up its food factory production, Parag Milk Foods altered its production plans. It procured maximum milk from the region itself to improve the farmer 's sales in that vicinity.

 The nation is the largest milk producer and consumer, pouring it liberally into sugar teas and coffees, as well as using daily cooking derivatives such as ghee, curd, and cottage cheese. Company shares have risen around 90 percent since 24 March, when Prime Minister Narendra Modi halted public transportation and stopped selling almost all goods except food and some other important things in an all-out attempt to contain the coronavirus. RGL was faced with the same challenges as other logistics firms in the supply chain, RGL had to bifurcate teams for flexibility in the workplace. RCL also had to ask its employees to resume, albeit on alternative days, but to provide the customer with more value.

Demand for everyday staples such as fresh milk remains unchanged, not to mention its immunity-boosting properties despite the Coronavirus scare, "wrote Shradha Sheth, an analyst based in Mumbai with Edelweiss Securities Ltd., in a recent article.

Also, at Parag Milks, the positions of the dairy company's employees were reshuffled. The workers living nearby attended production plans, manufacturing units and backend personnel assisted from their respective locations, Shah said. In return, the company took care of the employees' food, stay travel, and safety at an additional cost. Demand for everyday staples such as fresh milk remains unchanged, not to mention its immunity-boosting properties despite the Coronavirus scare, "wrote Shradha Sheth, an analyst based in Mumbai with Edelweiss Securities Ltd., in a recent article. She estimates that the supply of packaged milk as a dairy that was used until recently to produce goods such as sweets has now been diverted to daily consumption has risen by 15 percent -20 percent. Rakesh Roy, an analyst with Investec Securities & Finance Ltd., says increased milk demand has allowed businesses to maintain prices while input costs have plummeted. This benefit, however, may wane once the lockdown has eased a bit, he added.