April 24, 2013

India able to meet high milk demand by 2020-21

Local demand for milk products in India will reach about 172.20 million tonnes by 2020-21, according to the government, and the country’s production is expected to meet this demand.

India's Minister of State for Agriculture and Food Processing Industry, Charan Das Mahant, also added that the government is currently not providing subsidies on milk product exports.

However, an incentive of 5% duty credit on the basis of Free on Board (FoB) on skimmed milk powder (SMP) exports is being provided, Mahant said .

According to Mahant, the government is implementing various schemes for dairy development in the country, in order to promote village-based milk procurement systems through dairy cooperatives.

These dairy cooperatives procure milk from farmers based on price determined by dairy cooperative unions or the state milk federation.

Mahant noted that the government is providing financial assistance to the dairy cooperatives under its schemes, Rashtriya Krishi Vikas Yojna and National Mission for Protein Supplements.