Lok Sabha Question No. 568 (UNSTARRED), answered on 2024-02-06
Subject: Income of Dairy Farmers
Ministry: FISHERIES, ANIMAL HUSBANDRY AND DAIRYING
Asked by: M. K. Raghavan

## GOVERNMENT OF INDIA MINISTRY OF FISHERIES, ANIMAL HUSBANDRY AND DAIRYING DEPARTMENT OF ANIMAL HUSBANDRY AND DAIRYING LOK SABHA

ADMITTED UNSTARRED QUESTION NO.568 TO BE ANSWERED ON 6 TH  FEBRUARY, 2024

## INCOME OF DAIRY FARMERS

## 568.  SHRI M.K. RAGHAVAN:

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

,

मत्स्यपालन

पशुपालन और डेयरी मंत्री

be pleased to state:

(a)  whether  the  Government  has  realistic  data  regarding  the  dairy  including  production  and  cost  of production in Kerala, if so, the details thereof;

(b) whether the Government has any data regarding the average income of dairy farmers in the country, if so, the details thereof, State-wise;

(c)  whether  the  National  Dairy  Development  Board (NDDB) is providing any support to farmers of Kerala, if so, the details thereof;

(d)  the  details  of  funds  provided  to  the  State  milk  procurement  agencies  in  the  States  and  rate  of utilisation of the same, State-wise; and

(e) the details and the list of Central schemes on Dairying availed by the State of Kerala?

## ANSWER

## THE MINISTER FOR FISHERIES, ANIMAL HUSBANDRY AND DAIRYING

## (SHRI PARSHOTTAM RUPALA)

- (a) Yes Sir, as per Basic Animal Husbandry Statistics 2023, the estimated Milk production in the State of Kerala during year 2022-23 was 2579.76 thousand tonnes and as per the Directorate of Animal  Husbandry  and  Dairying  of  Kerala,  the  overall  milk  procurement  of  Kerala  through Dairy Co-operative Societies is around 7.39 Lakh Metric during the year 2022-23. According to the expert study conducted by MILMA in 2022, the average cost of production per litre among the subsistence farms (less than 4 cows) comes to Rs. 49.05/-, the medium- sized farms with 4 to 10 cows could produce milk at the cost of Rs. 49.33/- and large- sized farms with more than 10 cows could produce milk at the cost of Rs. 46.68/-.
- (b) No Sir.
- (c) National  Dairy  Development  Board  (NDDB)  does  not  provide  any  direct  support  to  the farmers.  However,  the  details  of  major  Projects/  Schemes  of  NDDB  which  are  being implemented through Dairy Cooperatives to benefit the dairy farmers in Kerala are placed at Annexure-I .
- (d) Details  of  State-wise  funds  approved,  released  and  utilised  under  National  Programme  for Dairy  Development  (NPDD)  scheme  since  inception  i.e.  from  2014-15  to  2023-24  (till 31.01.2024) is at Annexure-II .
- (e) The details of the list of Central schemes on Dairying availed by State of Kerala are placed at Annexure-III .

****

Annexure related to the Lok Sabha Unstarred Parliament Question No.568 due for answer on 06.02.2024

The major Projects/ Schemes of NDDB being implemented through Dairy Cooperatives, benefiting the dairy farmers in Kerala.

## 1. Revitalizing Promising Producers' Owned Institutions (RPOI) scheme:

To  support  the  promising  Producers'  Owned  Institutions  to  strengthen  their  overall  business operations, so as to increase their market share and create self-sustaining institution benefitting all concerned, NDDB implementing Revitalizing Promising Producers' Owned Institutions Scheme.

Under the project, one project proposal of Ernakulam Milk Union is being implemented with a total outlay of Rs.15.25 Crore. The project will help the milk union in strengthening milk procurement activities, institution building, manpower support and training & capacity building.

## 2. NDDB Working Capital Loan Scheme:

NDDB has sanctioned Working Capital loan of Rs.10 Crore to Kerala Co-operative Milk Marketing Federations to tide over its financial need when their capital is likely to get locked up in the form of inventory of milk products/ raw materials.

## 3. Disease Control through Alternate Medicine (DCAM):

NDDB has been  implementing  DCAM  in  100  villages  of  Malabar  Union  &  Ernakulam  Union. Major  activities  include  use  of  alternate  medicine  &  ethnoveterinary  practices  for  treatment  of various bovine ailments.

Extension  materials  for  dairy  farmers  like  'Handbook  on  Good  Animal  Husbandry  Practices', 'Ethnoveterinary  booklet  and  posters',  'Cow  Comfort  Manual'  and  'Awareness  videos'  in Malayalam  language  have  also  developed.  The  activity  is  helping  the  farmers  in  controlling common bovine ailments in easy and cost-effective manner and also reducing usage of antibiotics.

## 4. Marketing Support: Re-Launch of brand 'Milma':

NDDB has provided support of around Rs. 56 Lakhs for development of marketing competencies and expanding the consumer base for 'Milma'. NDDB conducted a market assessment study, based on which KCMMF relaunched 'Milma' with technical and financial assistance from NDDB.

## Annexure related to the Lok Sabha Unstarred Parliament Question No.568 due for  answer on 06.02.2024

| Details of State-wise funds approved, released and utilised under NPDD scheme (2014-15 to 2023- 24)   | Details of State-wise funds approved, released and utilised under NPDD scheme (2014-15 to 2023- 24)   | Details of State-wise funds approved, released and utilised under NPDD scheme (2014-15 to 2023- 24)   | Details of State-wise funds approved, released and utilised under NPDD scheme (2014-15 to 2023- 24)   | Details of State-wise funds approved, released and utilised under NPDD scheme (2014-15 to 2023- 24)   | Details of State-wise funds approved, released and utilised under NPDD scheme (2014-15 to 2023- 24)   |
|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|
| S. No.                                                                                                | State/UTs                                                                                             | Approved Cost                                                                                         | Central Share                                                                                         | Total release                                                                                         | Funds Utilised                                                                                        |
| 1                                                                                                     | Andhra Pradesh                                                                                        | 23504.51                                                                                              | 16224.88                                                                                              | 6219.20                                                                                               | 3311.12                                                                                               |
| 2                                                                                                     | Arunachal Pradesh                                                                                     | 1191.33                                                                                               | 1126.40                                                                                               | 883.50                                                                                                | 372.31                                                                                                |
| 3                                                                                                     | Assam                                                                                                 | 3435.90                                                                                               | 3265.49                                                                                               | 455.09                                                                                                | 82.72                                                                                                 |
| 4                                                                                                     | Bihar                                                                                                 | 26322.54                                                                                              | 21019.23                                                                                              | 20407.09                                                                                              | 18181.66                                                                                              |
| 5                                                                                                     | Chhattisgarh                                                                                          | 2338.99                                                                                               | 2096.11                                                                                               | 1114.36                                                                                               | 861.01                                                                                                |
| 6                                                                                                     | Goa                                                                                                   | 1689.97                                                                                               | 1393.45                                                                                               | 873.81                                                                                                | 178.38                                                                                                |
| 7                                                                                                     | Gujarat                                                                                               | 55281.98                                                                                              | 33751.82                                                                                              | 20703.85                                                                                              | 10576.94                                                                                              |
| 8                                                                                                     | Haryana                                                                                               | 2523.99                                                                                               | 2132.74                                                                                               | 1932.08                                                                                               | 1332.74                                                                                               |
| 9                                                                                                     | Himachal Pradesh                                                                                      | 5716.04                                                                                               | 5238.54                                                                                               | 4357.55                                                                                               | 3571.37                                                                                               |
| 10                                                                                                    | Jammu &Kashmir                                                                                        | 15111.51                                                                                              | 13980.77                                                                                              | 12157.42                                                                                              | 11549.70                                                                                              |
| 11                                                                                                    | Jharkhand                                                                                             | 3153.80                                                                                               | 2502.40                                                                                               | 1254.69                                                                                               | 976.44                                                                                                |
| 12                                                                                                    | Karnataka                                                                                             | 40839.44                                                                                              | 28172.38                                                                                              | 18390.95                                                                                              | 13591.37                                                                                              |
| 13                                                                                                    | Kerala                                                                                                | 18182.32                                                                                              | 13411.21                                                                                              | 12295.51                                                                                              | 11281.73                                                                                              |
| 14                                                                                                    | Madhya Pradesh                                                                                        | 7129.04                                                                                               | 5935.82                                                                                               | 5469.99                                                                                               | 5370.74                                                                                               |
| 15                                                                                                    | Maharashtra                                                                                           | 5177.21                                                                                               | 4645.99                                                                                               | 3884.44                                                                                               | 3601.55                                                                                               |
| 16                                                                                                    | Manipur                                                                                               | 3029.04                                                                                               | 2784.90                                                                                               | 2340.90                                                                                               | 1639.86                                                                                               |
| 17                                                                                                    | Meghalaya                                                                                             | 6393.68                                                                                               | 5780.48                                                                                               | 4768.76                                                                                               | 4394.68                                                                                               |
| 18                                                                                                    | Mizoram                                                                                               | 1100.64                                                                                               | 1031.13                                                                                               | 1031.13                                                                                               | 1031.13                                                                                               |
| 19                                                                                                    | Nagaland                                                                                              | 1306.44                                                                                               | 1214.61                                                                                               | 1214.61                                                                                               | 1019.90                                                                                               |
| 20                                                                                                    | Odisha                                                                                                | 6259.66                                                                                               | 5533.40                                                                                               | 4824.10                                                                                               | 4345.72                                                                                               |
| 21                                                                                                    | Puducherry                                                                                            | 437.78                                                                                                | 421.18                                                                                                | 347.12                                                                                                | 313.55                                                                                                |
| 22                                                                                                    | Punjab                                                                                                | 25120.95                                                                                              | 16719.20                                                                                              | 12532.16                                                                                              | 11679.68                                                                                              |
| 23                                                                                                    | Rajasthan                                                                                             | 29214.92                                                                                              | 21471.51                                                                                              | 18525.42                                                                                              | 15977.54                                                                                              |
| 24                                                                                                    | Sikkim                                                                                                | 5372.45                                                                                               | 4962.21                                                                                               | 4245.25                                                                                               | 3984.36                                                                                               |
| 25                                                                                                    | Tamil Nadu                                                                                            | 25922.50                                                                                              | 18210.30                                                                                              | 13642.40                                                                                              | 12024.19                                                                                              |
| 26                                                                                                    | Telangana                                                                                             | 8916.24                                                                                               | 6967.31                                                                                               | 3770.88                                                                                               | 2968.69                                                                                               |
| 27                                                                                                    | Tripura                                                                                               | 2292.10                                                                                               | 2025.87                                                                                               | 1723.73                                                                                               | 1557.95                                                                                               |
| 28                                                                                                    | Uttar Pradesh                                                                                         | 8183.83                                                                                               | 6842.73                                                                                               | 4507.68                                                                                               | 751.91                                                                                                |
| 29                                                                                                    | Uttarakhand                                                                                           | 7504.26                                                                                               | 6411.69                                                                                               | 4781.83                                                                                               | 4102.94                                                                                               |
| 30                                                                                                    | West Bengal                                                                                           | 403.47                                                                                                | 393.47                                                                                                | 363.16                                                                                                | 356.37                                                                                                |
|                                                                                                       | Grand total                                                                                           | 343056.52                                                                                             | 255667.21                                                                                             | 189018.63                                                                                             | 150988.26                                                                                             |

## Annexure-III

## Annexure related to the Lok Sabha Unstarred Parliament Question No.568 due for answer on 06.02.2024

The details of the list of Central schemes on Dairying availed by State of Kerala are given as below-

## I. National Programme for Dairy Development (NPDD):

Department  of  Animal  Husbandry  &  Dairying  (DAHD)  is  implementing  'National  Programme  for Dairy  Development  (NPDD)'  scheme  across  the  country  since  Feb-2014.  The  scheme  has  been restructured/ realigned in July 2021 for implementation from 2021-22 to 2025-26 with the following two components:

## Component A:

(i)  This  component  of  NPDD  focuses  on  creating/strengthening  of  infrastructure  for  quality  milk testing equipment as well as primary chilling facilities for State Cooperative Dairy Federations/ District Cooperative Milk Producers' Union/SHGs/Milk Producer Companies/Farmer Producer Organizations.

(ii) The Component 'B' of the NPDD scheme "Dairying through Cooperatives' aims to increase sale of milk and dairy products by increasing farmer's access to organized market, upgrading dairy processing facilities and marketing infrastructure and enhancing the capacity of producer owned institutions.

(iii) Under NPDD scheme, 14 projects have been approved in Kerala with the total project cost of Rs 18182.32 lakh with a central share of Rs. 13411.21 lakh. An amount of Rs. 12295.51 lakh has been released till date.

## Component B:

The  Dairying through Cooperatives  (DTC)  Component  B  of  National  Programme  for Dairy Development (NPDD) was launched in 2021-22 with an outlay of Rs. 1568.28 Crore. It provides for loan and/ or grant to the beneficiaries for the approved components as per the Operational Guidelines of the scheme.

Objective:  To  increase  sales  of  milk  and  dairy  products,  upgrading  dairy  processing  facilities  and marketing infrastructure and enhancing the capacity of producer-owned institutions.

Scheme duration: 2021-22 to 2025-26

Scheme  Geographical  Coverage:  Bihar,  Uttar  Pradesh,  West  Bengal,  Madhya  Pradesh,  Andhra Pradesh, Telangana, Punjab, Rajasthan and Uttarakhand

Scheme Beneficiary:  Producer  Oriented  Institutions  (POIs)  such  as  State  Dairy  Federation,  District/ Taluka  Milk  Unions,  Milk  Producer  Companies  and  Cluster  Level  Federation  formed  under  the National Rural Livelihood Mission (NRLM) engaged in Dairying activity

Scheme  components:  Strengthening  of  milk  procurement infrastructure, strengthening of milk processing  infrastructure,  strengthening  of  marketing  infrastructure,  support  for  ICT  Infrastructure, Productivity  Enhancement  -  through  nutritional  interventions,  Project  Management  and  Learning, Training and Capacity Building.

II. NDDB is implementing following Central Government schemes for dairy development in Kerala:

1. Rashtriya  Gokul  Mission  (RGM): Under  the  scheme,  NDDB  is  implementing  following projects in Kerala under which subsidy is being provided to the farmers of Kerala State:
2.  Breed Multiplication Farms (BMF): Under this project, 50% capital subsidy (maximum upto Rs.  2  crore)  is  being  provided  the  interested  entrepreneurs  for  establishment  of  farm  of  200 animals. So far, 3 applications have been sanctioned in Kerala and a subsidy amounting Rs.50 lakhs have been released under BMF project.
3.  Accelerated  Breed  Improvement  Programme  using  sex  sorted  semen  (ABIP  SS): The project was sanctioned to promote use of sexed semen for production of a greater number of female  calves  of  various  breeds  of  cattle  and  buffalo  including  indigenous  breeds  with  90% accuracy. Under this project AI with sexed semen is carried out @ Rs.675/AI for maximum 2 AIs per lactation, with a subsidy from the Govt. @ Rs. 425 per insemination for maximum 2 AI per lactation to the farmers.

In Kerala,ABIP Sex Sorted project has been sanctioned with a target of 3 lakh pregnancies by End of Project (EOP).  The EOP outlay is Rs. 4208.24 Lakh and is being rolled out by KLDB.

In addition to above, following projects with an objective of genetic improvement of cattle and buffaloes are being implemented in Kerala under RGM:

-  Progeny Testing Project: A Progeny testing project for Crossbred HF (CBHF) breed has been sanctioned  to  Kerala  Livestock  Development  Board  (KLDB)  with  a  total  outlay  of  Rs.2233 Lakhs under RGM.
-  Support to Semen Production: Strengthening  of  the  existing  3  Semen  Stations  viz;  Dhoni, Mattupatti and Kulthupuzzha semen stations have been approved under RGM with total outlay of Rs.2804 lakhs. Work has been initiated and is in progress.

## 2. Dairy Processing and Infrastructure Development Fund (DIDF)

To  ensure  that  Dairy  Cooperatives  remain  competitive  for  the  sustained  benefit  of  farmers,  the Government  of India announced the creation of the Dairy Processing and Infrastructure Development  Fund  (DIDF)  with  a  total  scheme  outlay  of  Rs.  11,184  Cr.  Under  the  scheme,  a corpus  fund  of  Rs.  8004  Cr.  has  been  set  up  for  the  creation  of  dairy  processing  infrastructure during the period from 2018-19 to 2022-23.

-  As of 31 st December 2023, the details of the project sanctioned and loan released to the End Borrower in the state of Kerala under the DIDF scheme is given below:

| No.   | End Borrower         | Project Details                                                                                                                |   Project outlay approved |   Loan sanctioned |   EB's Margin |   Loan Released till 31 Dec 2023 |
|-------|----------------------|--------------------------------------------------------------------------------------------------------------------------------|---------------------------|-------------------|---------------|----------------------------------|
| 1     | Ernakulam Milk Union | Strengthening of Products Dairy, Edappally at Kochi, Kerala &Setting-up 2 MWSolar Power Plant at Tripunithura Dairy, Ernakulam |                     15.25 |              12.2 |          3.05 |                             5.42 |
| Total |                      |                                                                                                                                |                     15.25 |              12.2 |          3.05 |                             5.42 |

-  Implementation Status: Project of Ernakulam Milk Union is under implementation.
3. Formation and promotion of 10,000 Farmer Producer Organizations (FPOs):
-  To address fodder scarcity and establish an organized supply chain of green and dry fodder in the  state  of  Kerala,  NDDB,  is  implementing  Central  Sector  Scheme  'Fodder  Plus  Farmer Producer Organizations'  scheme in collaboration  with the Ministry of Agriculture &  Farmers Welfare (MOA&FW).

Nine Fodder Plus FPOs have been formed thorough two Cluster-Based Business Organizations (CBBOs), namely the Centre for Innovation in Science and Social Action (CISSA) and Kerala Livestock  Development  Board  (KLDB).  These  FPOs  have  initiated  field  activities  such  as farmer mobilization, seed distribution among farmers for green fodder production, training, and handholding of dairy farmers for the production of green fodder, silage, etc. As of now, a total of Rs. 22.5 lakh has been disbursed to these CBBOs, and Rs. 12 Lakh has been released to four FPOs under the scheme.

-  Under the scheme, two Beekeepers' FPO have also been formed in Kerala.