Supplyco Supermarket Kerala - Unique retail chain market

Supplyco retail super market

Supplyco (Kerala State Civil Supplies Corporation) is public sector undertaking of the Kerala State Government. The Supplyco was originally started as a Government Department to distribute essential commodities at the Government subsidized rate under the State's Public Distribution System (PDS) in the year 1974. During the next year, 1975, the Government converted the Department into a Public Sector Undertaking with a capital of Rs 15 Crores as a, separate corporation. The Supplyco was established with the aim of supplying the essential commodities to the economically weaker section of the population at subsidized rates and for the rest of the population at less profit charged with reasonable rates. At the moment Supplyco has 10 super stores with 1400 outlets. Among the public sector retails networks Supplyco with of about 30 million clientele is the largest one in India. It is a different type of super/hyper market in Kerala in many respects. While all super/hyper markets or malls concentrated in big cities, Supplyco is spread throughout Kerala. Normal ones have one place where all items will be available where as Supplyco have different types of stores to cater to the needs of different strata of population like the Maveli store for common man, Labham for middle class and the posh ones for the upper class. Supplyco has mobile stores to reach remote areas so that the people of that area can also avail the facility of the super market. While the super/hyper markets are for profit making, Supplyco is to curb excess profiteering, black marketing and to regulate the prices of essential commodities. The Supplyco made a profit of Rs 18.25 crores in 2007 and in the next year, 2008 the profit is 23.36 crores. Supplyco is the only profit making retail Public Sector Undertaking in India.

Activities of the Supplyco

Supplyco System of marketing

There are about 800 stores of Supplyco with the name of ‘Maveli Stores' all over the state of Kerala. These Maveli Stores sell unbranded rice, sugar, pulses and spices at subsidized rates to the poor. These stores are to meet the requirements of the poor and weaker sections of the society and protect the public from profiteers, black marketers. The subsidy and price is fixed by the Government. The supply of items will be through ration cards issued by the concerned authorities. The Towns based Maveli stores will also sell other branded consumer products in addition to the items under Government directives.

Labham means profit and the essence of the activity of the Labham stores is to transfer the profit to the public by selling at reduced profit. There are 13 Labham stores in the cities and major towns of Kerala. These Labham stores sell most of the branded products along with the unbranded products. Since the Supplyco keep only a small margin of profit it is like selling at subsidized rates. During the Festival seasons and times Special occasions people bazaars are opened to distribute the essential items, branded daily need items and vegetables to the public to curb the tendency of price rise customary during festival seasons by the private traders.

There are 347 super markets of Supplyco in various parts of Kerala selling subsidized, non-subsidized, branded and ordinary items. They are on par with any other super markets. The prices are less than other stores as the profit margin is kept low. The packing made by Supplyco itself are on par with the International standard of packaging known as the HACCP (Hazard analysis and critical control points). This standard is devised in such manner that it helps to prevent biological, physical and chemical hazards. In these stores all requirements of grocery, stationary and diary items etc are available.

To regulate the prices of medical items Supplyco has 92 medical stores in selected locations. Some of them are part of the existing Maveli stores, but as different counters named as Maveli Medicals. The exclusive medical stores of Supplyco are named as Sabari Stores. These stores sell life saving drugs at subsidized rates to public. For the weaker sections of population these drugs are sold at nominal rates.

The premium stores sell branded premium products, cosmetics, perfumes, food and drinks, dairy products, vegetables, bakery and meat items. Supplyco has 3 Hypermarkets selling almost all the household items. They stock Furniture, dress materials, fabrics, life styles materials etc for the customers. There is an outlet in the Cochin International Airport, by Supplyco.

Supplyco Store Brands

Supplyco markets some of its own brand tea known as the Sabari Tea, coffee, atta, turmeric, chilly and spices.

Supplyco - other activities

The Kerala Government procure its requirements of paddy through the Corporation purchase and mills the paddy. This custom milled rice is distributed through the Fair Value shops in the state. The farmers are benefited as the margin of the middlemen normally engaged in such activities are eliminated and consequently their margin is passed on to the farmers. The procurement and sales are posted through web where all the activities are duly accounted for making it straight and transparent. The farmers of Kerala get the highest support price for paddy comparing to the other Indian states.

Supplyco New Projects in pipeline

About Supplyco

Supplyco (The Kerala State Civil Supplies Corporation) is a novel institution special only to Kerala State to cater to the food security program of the needs of around 30 million people of Kerala. It helps the poor with nominally priced essential commodities; others are benefited by quality items at cheaper prices. It caters to the urban and rural people alike. Supplyco was started with a capitol of Rs 15 crores about 3 decades back and has grown is tremendously despite it being a Government establishment in a state like Kerala where agitations for each and everything are the rule. It has 5 regional offices, 14 district wise depots and 42 taluk wise depots with about a 1000 retail outlets manned by about 3500 number task force

Supplyco for market regulation

Supplyco was started with the idea of controlling the price rise of essential items of life in the open market. For the implementation of the food security scheme pulses and spices are bought in bulk and sold at subsidized rate to the BPL category people. For others it is given at a very nominal margin rate. The name Maveli was given in remembrance of the supposed good times during the rule of the legendary king Mahabali (Maveli) and the store has become a household name in Kerala. It serves the papoose of supplying quality products at subsidized or lower prices compared to other private stores. It has expanded its operations to super markets, petrol stations, LPG outlets, Medical stress and marketing its own brands of several products like tea, coffee, soaps, detergents, iodized salt, curry powders and Wheat products etc. It conducts festival markets during festival times; like the Onam, Xmas, and Ramzan etc when the prices are likely to fluctuate. They are the sole distributors of the levy sugar to ration card holders in Kerala.