In 8 of 12 top milk-producing States, private players procure more from dairy farmers


Private gamers have a solid foothold in eight of the leading twelve milk-manufacturing States in the place that account for 88 for each cent of the country’s milk production as of 2019-20, according to a analyze commissioned by Hatsun Agro Merchandise Ltd and finished by Crisil.

In 2020-21, private dairies in Maharashtra collected 123-127 lakh kg of milk for each working day (LKPD) milk, although cooperative dairies collected 36-38 LKPD milk. In Uttar Pradesh, private dairies collected 121-125 LKPD milk, although cooperative dairies collected 5-seven LKPD milk. Two-thirds of the total milk are managed by private dairies in Tamil Nadu. Private dairies across the States collected 557-562 LKPD milk, although cooperative dairies collected 535-540 LKPD milk. Gujarat, Bihar and Karnataka are between the States wherever cooperative dairies gather more milk when compared to private dairies. In Gujarat, cooperative sector dairies collected 225-227 LKPD milk, although private dairies collected just twelve-fourteen LKPD milk.

“In Karnataka, Rajasthan, Haryana and Telangana, a subsidy of ₹2-six for each litre is getting presented to co-operative dairies for procuring milk This raises the milk procurement selling price presented by co-operatives, encouraging farmers to divert more milk to co-operatives. Private dairies will need to match the procurement selling price of the co-operatives for normal supply of milk, leading to an increase in raw content price for private dairies,” the report said.

RG Chandramogan, Chairman, Hatsun Agro Merchandise Ltd, claimed in a assertion: “The report is comprehensive and presents a good photo of the contribution built by the private sector in the dairy industry starting up from 1992 when the dairy industry was opened up for the private sector. The private sector made use of its personal hazard cash without the need of any subsidies or decline write-off by Point out governments and contributed to the dairy sector development”.