Cooperative model for India’s dairy sector is poised for a boost

The government is focusing on incorporating more dairy farmers into cooperatives to ensure fair prices and improved product quality. It plans to enhance Uttar Pradesh’s cooperative model with support from the National Dairy Development Board. India leads global milk production with 57.62% growth and is the second-largest fish producer.

The government seeks to bring more dairy farmers from the unorganised sector into the cooperative model to ensure they receive better prices and higher-quality products are made available in the market, according to Mr. Rajiv Ranjan (Lalan) Singh, Minister for fisheries, animal husbandry and dairying.

While briefing on the achievement of his ministry in the last 100 days of NDA government, the Minister stated, “We are focussing on those states where dairy cooperatives have not performed well and the National Dairy Development Board (NDDB) is providing technical support to several states for building cooperatives model where farmers get remunerative prices.”

The Ministry plans to focus on Uttar Pradesh, India’s largest milk producer, aiming to strengthen the cooperative structure in the state. The National Dairy Development Board (NDDB) has already been supporting Uttar Pradesh by managing state cooperative plants in Rampur and Mirzapur.

Recently, NDDB signed a memorandum of understanding with the Madhya Pradesh Milk Union, with the Madhya Pradesh government approving a five-year handover of its State Cooperative Dairy Federation and milk unions to the NDDB. 

Ms Alka Upadhyaya, Secretary, Department of animal husbandry and dairying, informed, “NDDB has signed MoUs with Madhya Pradesh for technical support for strengthening the Sanchi brand and expansion of the cooperative while strengthening marketing of its products. Once the organisation is strengthened it would be handed over to the state.” 

NDDB has also taken over cooperatives in Maharashtra (Mahananda Cooperative Dairy) and Uttar Pradesh (Sreeja Cooperative Dairy), and has partnered with the Odisha State Cooperative Milk Producers’ Federation (OMFED) to enhance supply chains and marketing.

The Minister highlighted that India leads global milk production, achieving 57.62% growth over the last nine years. India has also become the world’s second-largest fish producer, driven by investments of Rs38,572 crore in initiatives like the Blue Revolution, Pradhan Mantri Matsya Sampada Yojana, and Fisheries and Aquaculture Infrastructure Development Fund.