Dairy Development

The Indian Dairy Industry has acquired substantial growth from the Eighth Plan onwards, achieving an annual output of over 100.9 million tones of milk at the end of 2006-07. India's milk output has not only placed the industry first in the world, but also represents sustained growth in the availability of milk and milk products. The Government implemented four schemes for the development of dairy sector during 2007-08.

Intensive dairy Development Programme

The Scheme, modified as Intensive Dairy Development Programme on the basis of the recommendation of the evaluation studies was launched during Eighth Plan period and is being continued during the Eleventh Plan with an outlay of Rs. 29.99 crore for 2008-09. So far 84 projects with an outlay of 480.05 crore have been sanctioned in 25 States and one UT. A sum of Rs. 330.35 crore has been released to various State Governments upto 31st March, 2008 and 206 districts have been covered. The scheme has benefited about 15.07 lakh farm families and organized about 24808 village level Dairy Cooperative Societies till 31st March, 2008.

Strengthening Infrastructure for Quality and Clean Milk Production

A new centrally sponsored scheme was launched in Oct 2003, with the main objective of improving the quality of raw milk produced at the village level in the country. Under this scheme, assistance is provided for training of farmers on good milking practices. The scheme is being implemented on 100 per cent grant-in-aid basis to District Coop Milk Union and State Coop Milk Federation through the State Governments/UTs for components viz, training of farmer members, detergents, stainless steel utensils, strengthening of existing laboratory facilities whereas 75 percent financial assistance is provided for setting up of milk chilling facilities at village level in the form of bulk milk coolers. Since inception, 130 projects at total cost of Rs. 194.93 crore with a central share of Rs 159.08 crore have been approved up to 31st March 2008 under this scheme. A total sum of Rs. 100.57 crore as central share has been released to the concerned State Governments for implementation of approved project activities up to 31.03.08. The Scheme has benefited 4,17,000 farmer members by imparting training and by installing 15.56 lakh litre capacity of Bulk Milk Coolers to facilitate marketing of milk produced by them and keeping its quality intact as on 31.03.08.

Assistance to Cooperative

The scheme aims at revitalising the sick dairy cooperative unions at the district level and Co-operative federations at the state level. National Dairy Development Board (NDDB) (External website that opens in a new window) is the project implementing agency and central grant is released through NDDB. The scheme is being continued during Eleventh Five Year Plan with a tentative outlay of Rs. 50 crore. Since inception in 1999-2000, 32 rehabilitation proposals of milk unions in 12 states namely, Madhya Pradesh, Chhattisgarh, Karnataka, Uttar Pradesh, Haryana, Kerala, Maharashtra, Assam, Nagaland, Punjab, West Bengal and Tamil Nadu at a total cost of Rs. 197.37 crore with a central share of Rs. 98.68 crore have been approved upto 31.03.2008. A total sum of Rs. 79.19 crore including Rs. 5.05 crore in 2007-08 has been released till 31.03.08. An amount of Rs. 7.00 crore has been provided for continuation of the scheme during 2008-09. Out of which, a sum of Rs. 2.19 crore has also been released to the concerned milk unions including a new project approved for Saharanpur Milk Union in Uttar Pradesh State during the current financial year till 31.05.08.

Dairy/Poultry Venture Capital Fund

To bring about structural changes in the unorganized sector, the measures like milk processing at village level, marketing of pasteurized milk in a cost effective manner, quality up-gradation of traditional technology to handle commercial scale using modern equipment and management skills and to encourage new pieces of birds and low input technology for poultry farming among rural farmers, a new scheme viz, Dairy/Poultry Venture Capital Fund was initiated in the Tenth Five Year Plan. The assistance under the scheme is provided to the rural/urban beneficiaries; under the scheme include agriculture farmers/individual entrepreneurs and groups of all sections of unorganized as well organized sector including cooperatives and NGO from any part of the country.

The scheme was approved in December, 2004 with a total outlay of Rs. 25.00 crore. It is being implemented through NABARD and the funds are released to NABARD to be kept as revolving fund. Since inception, a sum of Rs. 77.99 crore has been released to NABARD for implementation of scheme upto 31st March, 08. There is a budget provision of Rs. 40.00 crore for implementation of the scheme during 2008-09, out of which Rs. 20.00 crore have been released till 30/6/08.

Milk and Milk Product Order-1992

The Government of India notified the Milk and Milk Product Order on June 1992. As per the provisions of this order, any person/dairy plant handling more than 10,000 liters per day of milk or 500 MT of milk solids per annum needs to be registered with the registering authority appointed by the Central Government.

The Order was amended from time to time as per the decision taken in Milk and Milk Product Advisory Board and as per request received from State Governments. In pursuance of the Cabinet decision dated 22/2/2002, this Department has amended MMPO-1992 vide Milk and Milk Product (Amendment) Order 2002, SO No. 335(E) dated 26.3.2002, where the provisions of assigning milk shed has been done away with. The power of granting Registration to the units up to 2.00 lakh liters per day processing capacity where entire activities of units lies within a State has been delegated to concerned State Registering Authority.

So far Central Registering Authority and State Registering Authority have granted registration to 800 units with a combined capacity of 900 lakh liters per day of milk up to 31.3.2008. During the year 2007-08, the Central Registering Authority granted 7 new Registration Certificates in private sector for a capacity of 20.90 lakh litre per day. Now MMPO has been subsumed as Milk and Milk Products Regulation under section 99 of Food, Safety and Standard Act, 2006, implemented by Ministry of Health & Family Welfare (External website that opens in a new window).

Source: National Portal Content Management Team, Reviewed on: 23-03-2009