Dairy woes spill on to the streets

Dairy woes spill on to the streets

Farmers’ unions hold protests, demand higher price and special subsidy for milk producers

Sanjay Jog Dhaval KulkarniUpdated: Monday, July 20, 2020, 11:52 PM IST
article-image
Swabhimani Shetkari Sanghatna activists during a demonstration demanding a subsidy of Rs 5 per litre milk, waiver of goods and services tax on butter and milk powder among others. PTI Photo |

After a day-long symbolic protest to seek relief for dairy farmers, Swabhimani Shetkari Sanghatana (SSS) has threatened an indefinite blockade of milk supplies by producers if their demands are not met. In a similar move, farmers organisations across the state launched an agitation by throwing milk on the road and demanding higher price and special subsidy for producers.

Raju Shetti, former Lok Sabha Member of the Parliament (MP) and SSS chief told the Free Press Journal that they had given a call for a one-day protest on Tuesday, wherein dairy farmers would not sell milk to dairies. “We are seeking that the state and central governments must take the initiative to provide relief to the dairy sector. The industry is in deep trouble due to the lockdown as the demand for milk has dipped by 40 per cent,” said Shetti.

While surplus milk was being converted into powder and butter, the prices of milk powder had fallen from the previous levels of Rs 530 per kg to Rs 160 per kg due to increased demand. Similarly, the rates for butter had also declined to Rs 210 per kg from Rs 340. This had led to farmers not being paid for their milk.

“Despite this, the central government has decided to allow the import of 10,000 ton of milk powder. We are demanding that this decision be scrapped and the government maintain a buffer stock of 30,000 kg of milk powder,” said Shetti, who is aligned with the Congress and Nationalist Congress Party (NCP).

He added that the SSS was also seeking a Rs 30 per kg grant for the export of milk powder, scrapping the Goods and Services Tax (GST) on butter, ghee and milk products, and a Rs 5 per liter grant by the state to milk producers to be deposited in their bank accounts.

“The protest, on Tuesday, is a symbolic one, and if our issues are not addressed, we will be compelled to launch an indefinite blockade of milk supplies,” threatened Shetti. Animal Husbandry and Dairy Development Minister Sunil Kedar has called a meeting of stakeholders on Tuesday.

Maharashtra’s milk production is estimated at around 3 crore liters daily, with an around 1.10 crore to 1.40 crore liters marketable surplus. Cow's milk forms around 70 per cent of the collections. However, demand has fallen due to the lockdown and economic distress, leading to a surplus of 20 lakh litres of milk daily.

This had led to milk federations and private dairies giving farmers just around Rs 22 per liter of milk (with three units of fat and six units of solid not fats or SNF), as against the cost of production of Rs 27 to 35, which pushed these farmers into losses.

All India Kisan Sabha leader Ajit Navale has appealed to the state government to deposit subsidy of Rs 10 per litre directly into the bank account of farmers. However, he has demanded that the central government should withdraw the decision to import 10,000 tonnes of milk powder. On the other hand, Bharatiya Janata Party has demanded a subsidy to Rs 10 per litre to be deposited in the farmers’ accounts, Rs 50 per kg subsidy for the milk powder export and Rs 30 per litre for cow milk.

Parag Milk Foods MD Pritam Shah said the government’s intervention is necessary to provide much needed relief to farmers and milk powder producers. “The government needs to give a subsidy of Rs 300 crore to the milk powder producers and also provide subsidy to the farmers in the present situation,” he noted.

RECENT STORIES

Mumbai Accident Video: 2 Minor Girls Injured After Being Hit By Speeding Car Near Mahalaxmi Temple

Mumbai Accident Video: 2 Minor Girls Injured After Being Hit By Speeding Car Near Mahalaxmi Temple

Ramakant Khalap, Congress Candidate From North Goa Slams BJP For Not Providing Jobs To Locals At...

Ramakant Khalap, Congress Candidate From North Goa Slams BJP For Not Providing Jobs To Locals At...

Mumbai Police Receives 'Hoax' Call Of Attack In City By Lawrence Bishnoi Gang Member; Probe Underway

Mumbai Police Receives 'Hoax' Call Of Attack In City By Lawrence Bishnoi Gang Member; Probe Underway

India, Australia Join Hands For New-Age 'Deep Dive' Into Culture

India, Australia Join Hands For New-Age 'Deep Dive' Into Culture

Navi Mumbai: 5 Including Life Guards & Swimming Coach Booked After 17-Year-Old Drowns In Vashi...

Navi Mumbai: 5 Including Life Guards & Swimming Coach Booked After 17-Year-Old Drowns In Vashi...