IndiaFilings / Learn / Aavin Franchise Retail Outlet
Everything About Aavin Franchise Retail Outlet | IndiaFilings Last updated: January 11th, 2024 9:57 AM

Aavin Franchise Retail Outlet

Aavin Milk – Even Better than Gold

Our country is a major producer of raw milk with massive output. India’s milk consumption is the highest in the world and accounts for approximately 26% of world consumption. In recent years with the growing premiumization and diversification of consumer needs, the uses of milk and diary products have been expanding with high added value. Tamilnadu Co-operative Milk Producers Federation Limited popularly known as Aavin caters to the demands of consumer who wish to eat milk and dairy delicacies in standard food service format and it applies the concept of franchising to milk and diary product retailing.  In this article, we look at the investment and eligibility for starting an Aavin Franchise retail outlet in details. Know more about Elements of Franchise Agreement

Aavin – An Outline

The Dairy Development Department was introduced in the year 1958 in Tamilnadu. The commercial activities of milk procurement, processing, chilling, packing and sale of milk to the consumers etc., formerly dealt with by this Dairy Department. With the adoption of 'Anand pattern' in  Tamilnadu, these commercial activities were transferred to Tamilnadu Co-operative Milk Producers Federation Limited, popularly known as Aavin on 1st February 1981.

Objectives of Aavin

  • To work towards bringing the un-organised dairy sector into an organised structure.
  • To regulate and supervise the activities of dairy Co-operatives
  • To pay the remunerative price to the milk producers based on the quality
  • To ensure consistent growth of dairying on par with other enterprises
  • To develop infrastructure for storage, selling and processing of milk to handle surplus milk.
  • To ensure availability of quality milk to the consumers at reasonable prices
  • To introduce modern technology in the dairy activities and to produce products
  • To ensure availability of milk and dairy products as per prescribed quality specifications
  • Distribution of quality milk and dairy products to the consumers at a reasonable price

Why Aavin Franchise?

Aavin is engaged in the manufacture of milk products such as Yogurt, ice cream, Khova, Kulab Jamoon, Buttermilk, Curd and Mysore pa. It is expected that this trend will lead to further growth in milk consumption. So setting up Aavin Milk Franchise Retail outlet is a booming business opportunity for those who are looking for profitable business.

Franchisee Profile

Aavin franchise retail outlets are focusing for master partners with an entrepreneurial spirit, a strong stimulus to emerge and deserve willingness to invest and produce a strong benevolence along with commitment and customer-intended thinking. Experience in the franchising is not essential for setting up an Aavin FRO. Any individual with a minimum qualification of plus two can apply for the Aavin Franchise Retail Outlet.

Agreement and Term Details

To officially nominate the applicant as a franchisee for Aavin FRO, a contract agreement will be signed by Tamilnadu Co-operative Milk Producers Federation Limited. After obtaining this agreement order, the new entrepreneur can operate his Aavin franchise retail outlet. This agreement will be for a valid for lifetime.

General Conditions

  • Only Aavin products will be allowed for selling through these Aavin outlets.
  • Unsold Products will not be taken back
  • All products to be sold on MRP

Criteria for Infrastructure

The Aavin FRO will require an area of about 120 square feet at ground floor level, and the location of the outlet should be minimum 1/2 KM away from any other existing Aavin outlets. It is expected that the Aavin FRO will be on leased or rented or own premises. However, the applicant may also consider constructing a separate building, or purchasing an existing building.

Required Investments

The applicant interested in opening an Aavin FRO would be needed to invest Rs.1 lakh. Necessary loan arrangements will be made with leading banks. For setting up an Aavin Franchise outlet at Airport, the applicant requires to deposit an amount of Rs.25000.

Documents Required

The applicant should attach the following documents along with the duly filled in application form:
  • Identification Proof - Aadhaar card, Pan Card, Voter ID or Driving Licence
  • Address proof - Aadhaar card, Pan Card or Driving Licence, Voter ID,
  • Bank Statement for last six months
  • If owned space for FRO – a copy of Electricity Bill / Tax Bill
  • If Rental space for FRO - a copy of Rental Agreement valid for two years Agreement and Electricity bill
  • Passport size photographs – 2 Nos.

Enrolment Details

Aavin is interested in engaging franchisee retailers to sell Aavin milk and milk products in Chennai city and other suburban areas. If an entrepreneur wishes to join hands to excel in milk retailing business and cash upon the vast opportunities of the ever-growing milk market, drop a mail at gmmarketingaavin@gamil.com Individuals who interested to start Franchise Retail Outlet to sell Aavin products need to submit an application form to the below-mentioned Address: Address for Contact: General Manager, Metro Products Marketing, Corporate Office Tamilnadu Cooperative Milk Producers’ Federation Limited Pasumpon Muthuramalingam Salai, Nandanam, Chennai – 6000035 Contact Number: 044-23464565 Application Form for running Aavin outlets or retail franchise outlets is reproduced here. We have here with attached an application for setting up an Aavin FRO at Airport:

Apply through Phone

To become Aavin Franchise retailer, you can directly contact the Head office on the phone. On receiving the required information, the field staff will contact the applicant. The applicant will have to be required to fill out and submit a detailed Franchise Application Form. Once your application for FRO is selected, you will be called for a Discussion about the business plan with a customer representative. After discussion, you will be provided with a contract agreement document. If there are no significant issues, it is easily possible to commence operations within a time frame the date of the agreement.

Training and Support from Aavin Federation

Experience in the franchise retail outlet is not required for setting up an Aavin FRO, Aavin Milk Federation will provide training and support in all aspects of business management and operations. Once the entrepreneur has selected a location, as a franchise partner with Aavin he/she can generate a good return on investment. Following services will be provided by Federation:
  • Necessary Infrastructure like a Deep freezer, Bottle cooler, will be provided by Aavin Federation.
  • The Federation will do essential branding
  • All transaction will be on cash on carrying basis