The state Cabinet on Tuesday gave its nod for Rs 3 per litre subsidy for milk powder manufacturers to boost milk powder production taking in to account falling price of milk. The decision would benefit private as well as cooperative milk producers in the state.
Mahadev Jankar, minister for dairy development informed media that the decision would be implemented in the next 30 days and the state would have to bear a burden of Rs 33 crore towards this subsidy. Jankar however made it clear that this subsidy would be given to cooperatives and private milk companies which generate 20 per cent more milk powder than there regular production. At the end of March 31, 2018 a total of 26 thousand 506 metric tonnes of milk powder was left in stock in the state and the cooperatives produced 10,000 mt of milk powder per month.
Milk cooperatives said that due to the drop in milk rates in the national and international market, they are making losses and are not a position to give dairy farmers desired rate for the milk. Ajit Navle, a farmer leader welcomed the decision and said that this is not enough to provide relief. An official with Pune Zilha Sahakari Dudh Utpadak Sangh, Katraj informed that they are making a loss of Rs 3.24 per liter if they convert it into milk powder, and to bridge the gap the subsidy was announced.
Dairy farmers in some parts of the state have been protesting against the low rates that cooperatives pay for their produce.There are a total of 28 milk powder manufacturers out of which 21 are private and 7 are co-operatives which process milk to milk powder. In all 8 milk powder units are non-functional and out of 20 functional units, about 8kg of powder and 4kg of white butter can be prepared after processing 100 litre of milk.
MILKY WAY
- Maharashtra govt to give Rs 3-per-litre subsidy to milk powder manufacturers
- The state would have to bear a burden of Rs 33 crore towards this subsidy
- This subsidy would be given to manufacturers which generate 20 per cent more milk powder
