Incentive sought for milk producers

September 27, 2011 02:37 pm | Updated 02:37 pm IST - DHARWAD:

Karnataka Milk Federation (KMF) president G. Somshekar Reddy has urged the Government to provide an additional incentive of Rs. 3 per litre to buffalo milk producers of north Karnataka to enhance milk production.

Speaking at the inauguration of the silver jubilee celebrations of Dharwad Milk Union (DMU) here on Monday, Mr. Reddy said there was a huge difference in milk production between south and north Karnataka. While the daily milk procurement was 38 lakh litres in the southern regions, it was only 9 lakh litres a day in the north, he said.

Turnover

Mr. Reddy said that KMF's turnover was Rs. 5,700 crore in the last fiscal, and it was expected to reach Rs. 9,000 crore in the next two years.

The federation procured nearly 47 lakh litres of milk a day.

Milk production increased after the Government announced a support price of Rs. 2. While the production was 20 lakh litres earlier, it was expected to reach 60 lakh litres by the end of the year, he said.

Besides, the accumulated loss of DMU had been cleared, following a special grant of Rs. 8 crore from the Government.

High growth

In the dairy development sector, KMF was achieving 10 per cent growth, although the Centre had directed milk federations to ensure annual growth of 4 per cent, the KMF president said.

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