1.70 lakh milk farmers from Rajasthan seek CM’s intervention for their inclusion in the Mukhyamantri Dugdh Sambal Yojna

Udaipur : 1.70 lakh milk farmers including 70,000 women from 4 organizations created by the farmers on cooperative principles, today sought Rajasthan’s Hon’ble CM Shri Ashok Gehlot’s intervention for their inclusion in Rs 5 per litre cash support scheme of the state government.

“The disparity created by their exclusion from the scheme could pose serious hardships for us and could even kill the livelihood of thousands of our members”, Chairperson of these milk farmers’ organizations represented by Smt. Mamta Chaudhary, Paayas Dairy, Jaipur, Smt. Manjeet Kaur, Sakhi Dairy, Alwar, Smt. Kanya, Asha Dairy, Udaipur and Smt. Anju Kevat, Ujala Dairy, Kota said in a joint statement.

To provide financial help for the welfare of milk producers of Rajasthan, “MukhyamantriDugdh Sambal Yojna" was announced in the FY19-20 state budget, under which the state government gave a grant of Rs 2/- per litre to the cattle owners for supplying milk in the cooperative milk producers' unions of the state. In the recently presented budget of the fiscal 2022-23, it has been announced to increase with subsidy on milk from Rs 2/- per litre to Rs 5/- per litre under the said scheme.

The four organizations have been established by the dairy farmers by investing their own money as share capital. They said that these four farmer organizations jointly collect over 10 lakh kilograms of milk every day from their members for which payments are made directly into their bank accounts in a cycle of three times a month.

The four organizations have together paid a total of Rs 8,732 crore to the members, by way of milk price, cash incentive and dividends, since the first organization began operations 10 years ago.

In addition to the remuneration received by members on behalf of milk poured, these members receive cash incentives and dividends. As a policy, none of these organizations collect milk from anyone who is not a member/shareholder of the organization. These four institutions are run by the members of the Board of Directors elected by the members of the respective organizations, who are milk pourers.

The Union Agriculture Ministry’s advisory dated March 23, 2012 bearing circular no L-12011/1/2012-I&P stated that the Producer Companies combine the institutional strengths of cooperative principles with the flexibility, autonomy and transparency of company and a cooperative society. In view of this, the Union Government advised states to consider extending concessions/benefits to such organizations formed by farmers at par with cooperative societies.