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After more than a decade at the helm, RS Sodhi on Monday resigned as the Managing Director of Gujarat Cooperative Milk Marketing Federation (GCMMF), which owns the brand Amul, on Monday.
Confirming that he resigned, Sodhi told The Indian Express, “I was already on extension for two years and I was continuing on the request of the board (of GCMMF). Jayen Mehta, my colleague who had been with the federation for the past 32 years and was the chief operating officer of GCMMF, has been appointed as the new managing director,” Sodhi told The Indian Express. Mehta has been appointed as MD for an interim period.
“I am also the president of the Indian Dairy Association and it was getting difficult to handle the increasing work,” he added. In June 2021, Sodhi was unanimously elected to the Board of International Dairy Federation (IDF).
Sodhi said he joined GCMMF on March 1982 as a senior sales officer and retired on December 31, 2020. “I was a part of the first batch that passed out of Institute of Rural Management Anand (IRMA),” he added.
When asked about a letter addressed to him by the GCMMF board that was strongly worded as ending his services as MD “with immediate effect”, Sodhi said, “I cannot talk about the decisions made by the Board to the press.”
The letter addressed to Sodhi, signed by chairman Shamal Patel and vice-chairman Valamji Humbal, states, “The board has resolved that you end your services as the managing director of the federation with immediate effect. Thus you should leave the charge as MD with immediate effect”, and simultaneously directs Chief Operating Officer Jayen Mehta to take over.
Sodhi claimed that he had resigned and was not asked to go by the GCMMF board. “My term had ended two years ago and I was already on extension. I convinced the board to accept my resignation.”
Sources in the Amul’s board of directors said that 13 members of the board attended the meeting that resolved to end his tenure after he remained firm on his decision to not continue any further as MD.
“He had been requesting the board for the past four months to allow him to quit. However, the board requested him to continue at least till the Assembly election in the state was over and a successor is identified. Today also, the board requested him to continue for some more time but Sodhi remained firm on his decision to quit. Therefore, the board asked COO Jayen Mehta if he would be able to take over as MD and he said, Yes. Therefore, the board decided to allow Sodhi to quit,” said sources.
They added that Sodhi thanked Amul for providing him the opportunity to serve for 40 years. “He also said that he will continue to live in Anand and will be available to Amul anytime for any assistance,” sources added, while dismissing reports of Amul sacking the MD as “rumours in bad taste that can harm the reputation of both Amul and Sodhi”.
During Sodhi’s tenure as managing director, GCMMF’s sales turnover increased from Rs 8,005 crore in 2009-’10 to Rs 46,481 crore in 2021-’22. Average daily milk procurement by its member unions went up from 93.02 lakh kg to 263.66 lakh kg, while the average procurement price paid to dairy farmers in Gujarat rose from Rs 337 to Rs 820 per kg fat, with the number of producer members of GCMMF unions also going up from 29.10 lakh to 36.40 lakh.
Sodhi’s tenure also saw GCMMF expand its milk collection beyond Gujarat. In 2009-20, its member unions were not procuring a single litre outside Gujarat. In 2021-’22, out of the total average procurement of 263.66 lakh kg per day, 42.68 lakh kg was from other states.
“My organisation’s turnover was just Rs 121 crore when I joined. Our six district unions then (Kheda, Mehsana, Sabarkantha, Baroda, Surat and Banaskantha) were together procuring only an average 12 lakh kg per day of milk. I have seen Amul grow over four decades,” Sodhi told The Indian Express.
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