Indias government wants to help dairy farmers with outlet for milk

India's government wants to help dairy farmers with outlet for milk

Milk producers in the Indian state of Odisha aim to double their production in the next five years, setting up four plants to cover local demand.

Jitendra Ballabh Mohapatra, general manager, projects, at the Orissa State Cooperative Milk Producers' Federation, told just-food two milk processing sites and two units producing ice cream will be built.

"We want to double our milk procurement in the next five years from 500,000 litres per day at present to one million litres per day," Mohapatra said.

With an individual processing capacity of 30,000 litres per day the two new dairies, producing liquid milk yogurt, ghee and paneer are already under construction at Angul and Keonjhar at a cost of US$670,000. The cost of the two ice cream manufacturing units will be US$2m and they will have a daily manufacturing capacity of 6,000 litres, says Mohapatra.

The Indian government will cover 75% of the investment and the rest will be covered by OMFED. Delhi is keen to help poor dairy farmers, who according to Mohapatra are exploited by private milk collectors.