Lok Sabha Question No. 394 (UNSTARRED), answered on 2021-11-30
Subject: Impact of COVID-19 on Poultry and Dairy Sector
Ministry: FISHERIES, ANIMAL HUSBANDRY AND DAIRYING
Asked by: Debasree Chaudhuri

## GOVERNMENT OF INDIA

## MINISTRY OF FISHERIES, ANIMAL HUSBANDRY AND DAIRYING DEPARTMENT OF ANIMAL HUSBANDRY AND DAIRYING

LOK SABHA

UNSTARRED QUESTION NO: 394

TO BE ANSWERED ON 30 Th  NOVEMBER, 2021

## IMPACT OF COVID-19 ON POULTRY AND DAIRY SECTOR

## 394: MS. DEBASREE CHAUDHURI:

## Will the Minister of FISHERIES, ANIMAL HUSBANDRY AND DAIRYING

## मत्स्यपाऱन , पशुपाऱन और डेयरी मंत्री

be pleased to state:

- (a) whether the Government is aware of the losses incurred by the poultry and dairy sector due to lockdown caused by COVID-19 pandemic?
- (b) if so, whether any assessment regarding such losses has been conducted?
- (c) if so, the details thereof?
- (d) whether any compensation for such losses is under consideration of the Government? and
- (e) if so, the details thereof?

## ANSWER

## THE MINISTER FISHERIES, ANIMAL HUSBANDRY AND DAIRYING (SHRI PARSHOTTAM  RUPALA)

(a)  Due  to  COVID-19  pandemic  there  are  losses  faced  by  the  poultry  industry  because  of misleading facts  circulated  through  social  media and  print  media  regarding  spread  of  infection  of coronavirus. The poultry sector suffered further losses due to lock down wherein the sale of eggs, chicken meat and transportation of feed were banned by many States.

So  far  as  Dairy  Sector  is  concerned,  the  average  milk  procurement  from  dairy  farmers including procurement price paid by cooperative sector to dairy farmers has remained stable during the COVID pandemic.  The average milk procurement per day during April 2019 was 473.4 Lakh litres per day (LLPD) which got increased to 480.56 LLPD in April 2020 and was 512.13 LLPD in April 2021.  The average milk procurement price paid to dairy farmer by cooperative sector during April 2019 was Rs 34.38 per kg, during April 2020 was Rs 38.01 per kg and during April 2021 was Rs 39.23 per kg (for 6% fat content and 9% solid not fat content).

(b) to (e) Following steps were taken by the Department of Animal Husbandry & Dairying to help the Poultry sector:

- i. Advisories  were  issued  by  the  Department  of  Animal  Husbandry  and  Dairying  to  counter the spread of rumors of Corona virus infection to human beings through poultry and poultry products.
- ii. Advisories  were  also  issued  for  inclusion  of  Poultry  feed/  poultry  products  and  Eggs  as essential commodities and transport of these items by the States.
- iii. The  milk  situation  in  the  country  was  reviewed  regularly  in  the  Department  of  Animal Husbandry and Dairying in order to monitor the milk procurement, sale, price and stocks of skimmed milk  powder  (SMP),  butter  and  ghee  etc.  During  COVID  pandemic  in  2020  and 2021,  the  Department  of  Animal  Husbandry  and  Dairying  collected  information  on  milk procurement,  price,  sale  and  stocks  on  daily  and  weekly  basis  from  cooperatives  as  well  as some  private  dairies  to  analyze  the  dairy  business  situation  in  the  country.  Based  on  the information received and after analyzing assessment, following measures were taken:-
- a) On 13.05.2020, a new component was introduced in ongoing central sector scheme 'Supporting  State  Dairy  Cooperatives  and  Farmer  Producer  Organizations'  scheme (SDC&FPO)  for  providing  2%  interest  subvention  on  working  capital  loan  to cooperatives and milk producers companies and additional 2% interest subvention for prompt payment.
- b) As a part of Atmanirbhar Bharat package, Department launched 'Campaign for Kisan Credit  Cards  (KCC)  for  providing  working  capital  loan  to  dairy  farmers  of  Milk Cooperatives and Milk Producer Companies' from June 2020 and December 2020.
- c) This  Department  had  requested  State  Governments  of  Rajasthan,  Gujarat,  Punjab, Karnataka, Tamil Nadu, Maharashtra and other States to introduce milk/milk powder through  aanganwadis/Mid-Day  meal  network.  The  states  of  Rajasthan,  Karnataka, Bihar, Haryana and Punjab started the supply to ease out the situation.
- d) Under the Prime Minister's Atmanirbhar Bharat Abhiyan stimulus package Government  of  India  has  introduced  a  new  scheme  namely  Animal  Husbandry Infrastructure  Development  Fund  (AHIDF)  with  an  outlay  of  Rs  15000  Cr  for incentivizing the establishment of dairy processing and value addition, meat processing and  value  addition,  Animal  feed  units  and  Breed  Multiplication  farm  and  Breed improvement technology including establishment of Technologically assisted  poultry farms. Farmer Producer Organization (FPOs), Private companies, Individual entrepreneurs, Section 8 companies, Micro Small and Medium Enterprises(MSME) are eligible  entities.  As  per  the  scheme the Eligible Entity can avail up to 90% credit by providing  10%  margin  money  for  establishment  of  aforementioned  infrastructures. The  Central Government  is  providing 3%  interest subvention and  two years moratorium to the Eligible Beneficiaries availing credit under the scheme. Further, the Central  Government  has  also  established  the  Credit  Guarantee  Trust  for  providing Credit Guarantee to the MSME beneficiaries for up to 25% of the borrowings.