Karnataka’s dairy sector has achieved a major milestone with the State-run Karnataka Cooperative Milk Federation (KMF) surpassing 10 million liters in daily milk procurement. This achievement represents a significant increase from last year’s 9 million liters per day. The milestone was marked by Chief Minister Siddaramaiah, who also highlighted the government’s increased subsidy to dairy farmers and KMF’s expansion into international markets. The success underscores the state’s commitment to enhancing dairy production and supporting farmers, despite challenges from competing dairy sectors like Gujarat.
Karnataka’s dairy sector has reached a significant milestone with the Karnataka Cooperative Milk Federation (KMF) surpassing 10 million liters of milk procurement per day. This achievement highlights the state’s robust dairy industry and its growing impact on both local and international markets.
Record-Breaking Procurement
The Karnataka Cooperative Milk Federation, known for its Nandini brand, recently celebrated its record-breaking achievement of procuring 10 million litres of milk daily. This figure marks an increase from the previous record of 9 million litres per day achieved in June of the previous year. Chief Minister Siddaramaiah announced this milestone during a ceremonial cow worship, underscoring the significance of this achievement for Karnataka’s dairy sector.
Government Support and Subsidies
In response to the increased milk supply, the Karnataka government has raised its subsidy to dairy farmers from Rs 2 per litre to Rs 5 per litre. This adjustment reflects the government’s commitment to supporting dairy farmers and stabilising the industry. The daily procurement now translates into a subsidy expenditure of Rs 5 crore per day, which accumulates to Rs 150 crore monthly and Rs 1,800 crore annually.
This enhanced subsidy was a policy change initiated by the Congress government in 2019 and has continued under the current administration. Chief Minister Siddaramaiah, who previously served as the Animal Husbandry Minister in the 1980s, emphasized the positive impact of these subsidies on the dairy farming community.
Market Expansion and Global Presence
KMF’s Nandini brand has not only made a mark in Karnataka but has also expanded its reach beyond state borders. The brand now serves customers in Malaysia, Vietnam, Singapore, the UAE, and the US. This international expansion showcases the quality and competitiveness of Karnataka’s dairy products on a global stage. Furthermore, the brand has gained prominence by sponsoring cricket teams from Scotland and Ireland in the ICC Men’s T20 World Cup, enhancing its visibility and reputation.
Consolidation and Sector Growth
The growth of Karnataka’s dairy sector can be attributed to the consolidation efforts led by Chief Minister Siddaramaiah. Under his leadership, 16,000 primary milk cooperatives were aggregated into 15 cooperative milk unions. This strategic move has streamlined operations and enhanced efficiency within the sector. Despite some opposition from dairy farmers, Siddaramaiah defended the minimal price increase for milk, arguing that it would benefit both farmers and consumers by ensuring fair prices and improved milk quantities.
Comparison with Other States
While Karnataka’s achievement is noteworthy, it is essential to recognize the scale of operations in other states. For instance, the Gujarat Cooperative Milk Marketing Federation leads the country with an average procurement of 26 million liters of milk per day. This comparison puts Karnataka’s achievement into perspective, highlighting the competitive landscape within the dairy industry.
Future Outlook
The record-breaking procurement in Karnataka underscores the state’s strong agricultural practices and the government’s dedication to supporting the dairy sector. Moving forward, sustained efforts in subsidy management and market expansion will be crucial for further strengthening Karnataka’s position as a leading milk producer in India. The focus will need to remain on maintaining high standards of dairy production while expanding both domestic and international markets.
Karnataka’s achievement of 10 million liters of daily milk procurement marks a significant milestone for the state’s dairy sector. With robust government support, strategic market expansion, and effective consolidation, Karnataka continues to enhance its standing as a key player in the dairy industry. The success of KMF and its Nandini brand reflects the state’s commitment to dairy farming and its potential for future growth and innovation.
