Lok Sabha Question No. 111 (STARRED), answered on 2018-12-18
Subject: Milk Production Sector
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: NARANBHAI KACHHADIA, BIDYUT BARAN MAHATO

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF ANIMAL HUSBANDRY, DAIRYING AND FISHERIES LOK SABHA STARRED QUESTION NO.111 TO BE ANSWERED ON 18 TH  DECEMBER, 2018

## MILK PRODUCTION SECTOR

## *111 SHRI NARANBHAI KACHHADIYA: SHRI BIDYUT BARAN MAHATO:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ षि और ककसान कल्याण मंत्री be pleased to state:

- (a)  whether  India  has  come  down  to  the  second  rank  in  the  milk  production  sector  after  being ranked number one in the said sector for the last few years; (b) if so, the reasons therefor; (c) whether the Government proposes to promote animal husbandry in the country; (d) if so, the reasons therefor; and (e) whether the Government is formulating any scheme to regain its number one ranking/status in
- the milk production sector and if so, the details thereof?

## ANSWER

THE MINISTER FOR AGRICULTURE AND FARMERS WELFARE (SHRI RADHA MOHAN SINGH)

- (a) to (e) A Statement is laid on the Table of the House.

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## STATEMENT  REFERRED  TO  IN  REPLY  OF  LOK  SABHA  STARRED  QUESTION NO.111 PART (a) TO (e) ON 'MILK PRODUCTION SECTOR' TO BE ANSWERED ON 18.12.2018.

- (a) No,  Madam.  As  per  Food  Outlook  July  2018  published  by  FAO.  India  ranks  first  in  Milk Production in the World.
- (b) Does not arise

(c) & (d) Yes Madam, Considering the important role of livestock sector in national economy and socio-economic development of the country, the Government of India is implementing  following schemes to supplement the efforts  of  the  State/  Union  Territory  Governments  for  the  sustainable development of Animal Husbandry:

- (i) Rashtriya  Gokul  Mission with  the  aim  to  develop  and  conserve  indigenous  breeds  and enhancing their production and productivity.
- (ii) National  Dairy  Plan-I being  implemented  to  increase  productivity  of  milch  animals  and provide rural milk producers with greater access to the organized milk processing sector.
- (iii) Livestock Health & Disease Control scheme is implemented in order to prevent, control and contain animal diseases in the country.
- (iv) National  Livestock  Mission being implemented  with  a focus on feed and fodder development  to  increase  fodder  availability  in  the  country  and  sub-mission  on  livestock development  having  component  for  livestock  insurance  including  insurance  of  milch animals.
- (v) Dairy Entrepreneurship Development Scheme is being implemented with the objective of generation of self employment opportunities in the dairy sector, covering activities such as enhancement of milk production, procurement, preservation, transportation, processing and marketing of milk.
- (e) Apart  from  the  schemes  mentioned  above,  Government  has  formulated  a  scheme  named 'Dairy Processing and Infrastructure Development Fund (DIDF)' amounting to Rs.10881 crore with objective to replace old dairy processing units and to create infrastructure for new dairy processing units and value added products. Details of DIDF is annexed.

.

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## Dairy Processing Infrastructure and Development Fund (DIDF) Scheme

Union Budget 2017-18, Govt. of India announced creation of Dairy Processing and Infrastructure Development Fund (DIDF) with a corpus of Rs. 8000 crore in National Bank for Agriculture and Rural Development (NABARD) to modernise/creation of new processing plant and manufacturing facilities for Value Added Products. On 21 December 2017, the DADF, GoI, issued administrative approval of the scheme with an outlay of Rs 10,881 crore (loan - Rs. 8004 crore, contribution of Milk  Cooperative/  MPC  -  Rs.  2001  crore,  GoI  interest  subvention  -  Rs.  864  crore  and  National Diary  Development  Board  (NDDB)/  National  Cooperative  Development  Corporation  (NCDC) management/  technical  support  -  Rs.  12  crore) to  be  implemented  over  a  period  of  three  years (2017-18 to 2019-20).

Components funded under the project are:

- i. Modernisation  &  creation  of  -  milk  processing  facilities  and  manufacturing facilities for Value added Products
- ii. Creation of village level chilling infrastructure
- iii. Setting up of electronic milk testing equipment

Targets envisaged under above components are as under:

| No .   |                                                                                                            |                                                                        | Financial Outlays (Rs. in Crore)                        | Financial Outlays (Rs. in Crore)                        | Financial Outlays (Rs. in Crore)                        | Financial Outlays (Rs. in Crore)   |
|--------|------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------|---------------------------------------------------------|---------------------------------------------------------|---------------------------------------------------------|------------------------------------|
| No .   | Component                                                                                                  | Physical Targets                                                       | NABARD Loan                                             | EBs' contribution                                       | Implementing Agency's contribution                      | Total Outlay                       |
| A      | Modernisation& creation of - milk processing facilities& manufacturing facilities for Value Added Products | Processing Cap - 126 LLPD, Drying Cap - 210 MTPD, VAP - 4599 MTPD/TLPD | 5,577                                                   | 1,384                                                   | 0                                                       | 6,971                              |
| B      | Chilling Infrastructure                                                                                    | 140 LLPD                                                               | 2,063                                                   | 516                                                     | 0                                                       | 2,579                              |
| C      | Electronic Milk Testing Equipment                                                                          | 28000 Nos.                                                             | 364                                                     | 91                                                      | 0                                                       | 455                                |
| D      | Project Management &Learning                                                                               |                                                                        | 0                                                       | 0                                                       | 12                                                      | 12                                 |
|        | Total                                                                                                      |                                                                        | 8,004                                                   | 2,001                                                   | 12                                                      | 10,017                             |
|        | Interest subvention from DADF, GoI                                                                         | Interest subvention from DADF, GoI                                     | Interest subvention from DADF, GoI                      | Interest subvention from DADF, GoI                      | Interest subvention from DADF, GoI                      | 864                                |
|        | Total Project Cost including interest subvention amount                                                    | Total Project Cost including interest subvention amount                | Total Project Cost including interest subvention amount | Total Project Cost including interest subvention amount | Total Project Cost including interest subvention amount | 10,881                             |

The scheme will be implemented by NDDB/NCDC through eligible End Borrowers such as Milk Unions,  State  Dairy  Federations,  Multi-state  Milk  Cooperatives,  Milk  Producer  Companies  and NDDB subsidiaries.  The loan will be available to eligible End Borrowers at interest rate of 6.5% p.a.

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