Professional Documents
Culture Documents
Model Report For Benchmark Survey
Model Report For Benchmark Survey
Sponsored by
Department of Animal Husbandry, Dairying and Fisheries
Government of India
Implemented by
Malabar Regional Cooperative
Milk Producers Union Ltd.
Report from
Dr N.R. Unnithan
2014
ACKNOWLEDGEMENT
CONTENTS
Page
No. Topic
No.
1 Introduction 1
2 Palakkad District 11
3 Malappuram District 57
4 Kozhikode District 99
Annex.
Information and Communication System -
1
NPDD
List of Tables
Table Page
Table
No. No.
2.1 Chilling Facility in Palakkad District during March 2014 21
Amount Spent and Infrastructure Created under CSS in
2.2 24
Palakkad Dairy
2.3 Processing Equipments and Machineries in Palakkad Dairy 24
2.4 Infrastructure for Ghee Production Palakkad Dairy 27
Additional Facilities Suggested for Palakkad Dairy under
2.5 28
NPDD
2.6 Milk and Milk Products Sale Palakkad District 30
Market Size for Milk and Market Share in Palakkad District
2.7 31
2013-14
Marketing Facilities Available under MRCMPU in Palakkad
2.8 32
District March 2014
List of Activities and Equipments Suggested for Market
2.9 34
Development in Palakkad District 2014-15 to 2016-17
2.10 Profile of DCS in Palakkad District 2013-14 40
2.11 Palakkad District Av. Milk Quality 2013-14 42
Components Suggested under NPDD for Strengthening the
2.12 43
Milk Procurement in Palakkad District 2014-15 to 2016-17
2.13 Farm Equipments Supplied to Farmers in Palakkad District 46
Cattle Sheds and Farm Machineries Suggested under NPDD
2.14 46
Palakkad District
2.15 Cattle Induction Program Proposed for Palakkad District 47
Equipments and Facilities Suggested for Quality Control Lab
2.16 48
Palakkad Dairy under NPDD (2014-17)
2.17 Assistance under SIQCMP in Palakkad District 48
CMP Kits Suggested under NPDD in Palakkad District (2014-
2.18 49
17)
Technical Input Services Components and Achievements
2.19 50
Palakkad District
2.20 Technical Input Services for Palakkad District 50
Information and Communication Technology Networking-
2.21 52
Palakkad District
Farmers and DCS Employees Trained under IDDP/SIQCMP in
2.22 53
Palakkad District during the Last Five Years
2.23 Training Suggested under NPDD 2014-15 to 2016-17 54
The Amount Required to Pay Milk Value for 21 Days in
2.24 56
Palakkad District
3.1 Chilling Facility in Malappuram 2013-14 67
3.2 Existing Equipments in Nilambur Milk Chilling Plant 69
Equipments Suggested under NPDD for Milk Processing in
3.3 70
Malappuram District
3.4 Milk and Milk Products Sold in Malappuram District 72
3.5 Supply Demand Position in Malappuram District 2014 73
3.6 Existing Marketing Facility Malappuram District 2013-14 74
Introduction
6
Introduction
7
Introduction
8
Introduction
9
Introduction
Contents
10
Introduction
11
Introduction
8. Construction/Establishment
3. Create infrastructure for
of Milk and Milk Product
training of dairy farmers.
Testing Laboratories.
4. Strengthen dairy cooperatives/
9. Clean Milk Production Kits.
Producers companies in
10. Technical Input Services.
villages.
11. Information and
5. Increase milk production by Communication Technology.
providing Technical Input 12. Manpower and Skill
Services like cattle feed, Development.
minerals and so on.
13. Working Capital for DCS and
6. Assist rehabilitation of Milk Union.
12
Introduction
13
Introduction
14
Introduction
15
Introduction
16
Introduction
spanning over forty three years in feed and fodder, milk price, CMP
livestock production and the procedures and so on). The same
insights gained through DCS were studied for gathering
monitoring and evaluations of information on milk procurement
dairy development programs have procedures and quality
enriched the outcome of this administration. Structured and
study. pre-tested questionnaire were
administered to elicit information
1.7.2 Study Method at different levels (Milk
The study has been accomplished Union/DCS) besides Focus Group
through a combination of different Discussion and personal
methods and tools. In order to interviews of farmers in villages.
identify the areas uncovered under The data generated has been
milk procurement and to study the analyzed to make informed
potential for milk collection a list judgments and draw conclusions.
of such Panchayats/Panchayat The details of sample size are
wards were prepared and two presented in table 1.
villages and households were
Table 1.1 Sample DCS and
selected at random and surveyed.
households - Milk Production and
To gather data from the existing
Disposal Survey
DCS area random sampling model
Sl. DCS Households
has been adopted. All DCS in the No.
District
Studied Surveyed
district were stratified into three 1 Palakkad 6 305
categories BMC DCS (having in- 2 Malappuram 3 300
3 Kozhikode 4 300
house BMC), Cluster DCS
4 Wayanad 3 299
(supplying milk to BMC) and 5 Kannur 6 300
Direct DCS (supplying in Dairy). At 6 Kasaragod 6 300
Total 28 1804
least one DCS from each stratum
and 15 farmers from each DCS
In addition to the milk production
was interviewed at random for
survey an independent consumer
chosen parameters (milk
survey has been carried out to
production, milk procurement,
understand milk consumption in
17
Introduction
all the six districts. The district collected from several sources -
has been stratified in to costal, available/ published sources
midland and high land and further including the reports, records and
sub stratified as urban and rural MIS of Milk Union, reports from
based on the revenue classification ISS of AHD, and Economic Review
(Municipality as urban and published by the State Planning
Panchayat as rural). At least one Board, Government of Kerala.
village each has been randomly Also, directed questionnaire were
selected from among the urban developed to gather information on
and rural villages and fifty house qualitative dimensions milk
holds studied to understand the collection procedure, quality
milk and milk powder consumed. testing, milk price payment,
The sample size for the consumer quality of input delivery system,
study can be found from table 1.2. etc. Personal interviews and
discussion with field staff, staff
The data has been analyzed and
members of DCS, executives of the
studied to under stand the milk
Milk Union yielded enormous
production and disposal pattern
volume of information on systems
in villages, and household
and procedures followed in the
consumption of milk in rural and
Field as well as in the Dairy. The
urban areas. The secondary data
market information was gathered
on each component has been
through interviewing retail dealers
18
Introduction
19
2. PALAKKAD DISTRICT
Contents
Palakkad District
Palakkad
District
12
Introduction
Executive Summary
13
Palakkad District
14
Palakkad District
15
Palakkad District
Amount
Component
(Rs in Lakh)
Milk processing and packaging 126.00
Milk marketing 382.20
Milk procurement 500.35
Cattle sheds and farm machineries 82.50
Cattle induction 92.55
Central testing laboratory 32.00
CMP kits and milking machines to farmers 17.49
Technical inputs services 48.20
Information and communication technology 149.35
Human resource development 57.45
Working capital 110.00
Total 1598.09
16
Palakkad District
17
Palakkad District
include one district office, one dairy and two milk chilling centers
District Veterinary Center, 4 apart from the two Procurement &
Veterinary Poly Clinics, 15 Input services Units one each at
Veterinary Hospitals, 78 Palakkad and Pattambi and one
Veterinary Dispensaries, 3 Mobile straw based cattle feed unit. The
Farm Aid Units, one Mobile district houses the largest cattle
Veterinary Dispensary and 72 feed plant under Milma at
ICDP Sub Centers for AI in cattle. Malampuzha, 8 km away from
The Department of Dairy Palakkad town. The Kerala
Development is in charge of the Livestock Development Board
livestock extension services and responsible for the frozen semen
administration of milk production and genetic
cooperatives. The Department has improvement of dairy cattle in the
one district office, 13 Dairy state has one bull station, one
Extension Service Centers, one training center and one fodder
quality control center and one seed testing lab at Dhoni in
Dairy Training Center. The Palakkad district.
MRCMPU has one milk processing
200000
150000
100000
50000
0
1996 2000 2003 2007 2012
Total Cattle 303935 272981 263763 215095 169208
Cows in milk 82378 98034 84787 73986 118900
Buffalo in milk 10646 2198 1506 1379 5400
18
Palakkad District
Palakkad district has the highest impact the milk production in the
per cent from 1996 to 2007 and 1083.04 MT. The pertinent
19
Palakkad District
450
384.36
400
350
300
242.49
228.98
220.75
Milk '000 MT
216.19
207.67
205.23
250
200
150
100
50
0
2001-02 2002-03 2003-04 2004-05 2005-06 2008-09 2012-13
20
Palakkad District
21
Palakkad District
22
Palakkad District
250000
200000
150000
Milk LPD
100000
50000
0
e c be r
ry
y
r
ne
ch
Au y
il
o v er
t
ay
be
be
Se gus
ar
pr
l
Ju
ua
ob
Ju
ar
M
em
A
nu
em
em
br
M
ct
Ja
Fe
O
pt
ProcesshallPalakkadDairy
23
Palakkad District
the IDDP and SIQCMP schemes as Palakkad Dairy are shown in table
well as the investment made by 2.2.
the MRCMPU from own resources.
The important equipments and
The amount spent under the CSS
machineries available in Palakkad
and the major infrastructure
Dairy are listed in table 2.3.
created for Milk Processing in
24
Palakkad District
Sl.
Name Specification Units
No.
2.9 CIP system- Double circuit 20 KLPH 1
2.10 Pasteurizer 10 KLPH 2
2.11 Milk silo 60 KL 2
Pouch filling machine DHG
2.12
mechanical 5000 PPH 8
Pouch filling machine auto SH
2.13
mechanical 2500 PPH 1
2.14 Milk pumps 10000 LPH 4
2.15 Cold store conveyor 1200 cr/hr 1
Date coding device for pouch filling
2.16
machines 60 IMP/Mnt 10
3 Fat Handling
3.1 Sour milk separator 500 LPH 1
3.2 Cream storage tank 2000 LTS 3
3.3 Cream pump 5000 LPH 1
3.4 Ghee boiler 2000 LTS 2
3.5 Ghee settling tank 3000 LTS 3
3.6 Ghee storage tank 3000 LTS 3
3.7 Ghee pump 3000 LPH 1
3.8 Ghee clarifier 2000 LPH 1
3.9 Emulsifying tank 5000 LTS
3.10 Homogenizer 10 KLPH 1
4 Service Equipment
4.1 Refrigeration compressors 30 TR 3
4.2 Chilled water pump 90 KLPH 2
4.3 Chilled water agitator 5 HP 3
4.4 Air handling unit for cold storage/
deep freezer (make/model/cap) 3 TR 4
5 Steam Raising Plant
5.1 Boiler (oil/coal) 1 MT 1
5.2 Water softening plant 2 KLPH 1
6 Compressed Air System
6.1 Air compressors 50 CFM 2
7 Industrial Electrical
7.1 DG set 250 KVA 1
7.2 Transformer 315 KVA 1
8 Water Supply System
8.1 Water storage tank 50 KL 1
25
Palakkad District
b. Ghee Production
2.5.4 Product Manufacturing
Palakkad has immense potential to
Palakkad Dairy manufactures
produce and market ghee. Ghee
three products namely Curd, Ghee
market, however, in this part of
and Sambharam (Butter Milk).
the state is fiercely competitive due
a. Curd Production to its proximity to the state of
During the year 2013-14 Palakkad Tamil Nadu. Nevertheless,
dairy produced and marketed on Palakkad dairy produced 45,659
an average 7056 Kg of Curd. The Kg of ghee per month during 2013-
Palakkad Dairy follows the 14. The infrastructure available is
26
Palakkad District
shown in table 2.4. The facility for production facilities (Table 2.5) be
ghee production is scale strengthened/added on priority.
inadequate to meet the current
a. Additional Processing
and future level of production
Capacity for Palakkad Dairy
which needs to be scaled up in the
The additional processing capacity
immediate future.
for Palakkad Dairy is examined on
Table 2.4 Infrastructure for Ghee the basis of:
Production Palakkad Dairy growth in milk procurement
Name Specification Units peak period procurement
Cream pump 5000 LPH 1 demand supply gap in the
Ghee boiler 2000 LTR 2 market
Ghee settling
tank 3000 LTR 3 potential for market
Ghee storage expansion
tank 3000 LTR 3
available infrastructure for
Ghee pump 3000 LPH 1
Ghee clarifier 2000 LPH 1 processing
The past experience suggests that
2.5.5 Key Issues and the milk procurement in Palakkad
Recommendations will grow at the rate of 8 per cent
The installed capacity of the dairy per annum and peaking three to
is scale inadequate for the current four months at the rate of 11 per
scale of operation. It is not cent. Hence, the current
difficult to foresee that the demand procurement, 1.79 LLPD, is
for milk, curd, ghee and expected to reach 2.25 lakh in the
Sambharam will increase in the next three years. And there is little
near future and the Union needs scope to divert the milk until the
to strengthen the curd and ghee newly planned Malappuram dairy
production apart from the facilities is commissioned. Moreover, the
for milk processing to enable the supply demand position in
dairy to generate extra income on Palakkad district is in favour of
minimal investment. Therefore, it market expansion and heightened
is recommended that the following
27
Palakkad District
Table 2.5 Additional Facilities Suggested for Palakkad Dairy under NPDD
No. Total
Sl. Unit
Equipment & Machineries Specification of Cost (Rs
No. Cost (Rs)
Units in Lakh)
1 Milk pump 10 KLPH 4 50000 2.00
2 SS pipes and fittings Lot 1 500000 5.00
3 Milk silo 60 KL 1 2500000 25.00
4 Cream storage tanks 3 KL 1 800000 8.00
5 Cream pumps 5 KL 1 300000 3.00
6 Ghee boiler 2 KL 1 500000 5.00
7 Ghee storage tank 3 KL 1 700000 7.00
8 Ghee clarifier 2 KLPH 1 1500000 15.00
9 Pouch filling machines 5000 PPH 1 1000000 10.00
10 Date coding devices for pouch 60 imp/mnt 4 150000 6.00
filling machines
11 PHE condenser and cooling tower 120 TR 1 4000000 40.00
Total 126.00
28
Palakkad District
Hence the fat handling in the dairy dairy to handle the surplus fat in a
is very high compared to other manner to facilitate the export
dairies. So, the above equipments approval separate equipment and
are to be purchased in view of the fittings as shown in table 2.5 are
increasing milk procurement in absolutely essential.
the union.
2.6 Milk Marketing
e. PHE Condenser
We have already increased the 2.6.1 Introduction
capacity of ammonia compressors Milk marketing is one of the major
in the refrigeration plant. Now the functions of MRCMPU. While
capacity of condensers is to be Palakkad has marketable surplus
increased to match with of milk, the other four districts
compressors so as to utilise the under the Union are perpetually
increased capacity for which Plate deficit in milk. The Union therefore
Heat Exchanger with cooling tower is now comfortably placed at the
is to be installed. marketing front. This chapter
provides an overview of the
Since Palakkad dairy reports
marketing organization of
having surplus milk throughout
MRCMPU in Palakkad district,
the year and especially during the
infrastructure available, sales
rainy season the Dairy sends skim
achievements of liquid milk and
milk to other unions or for
major milk products during 2013-
conversion sustaining loss. To save
14, and identifies the key issues
the situation and to generate extra
and problems and makes
profit for milk producers, the Dairy
recommendations to address
plans to export ghee made from
them.
fresh cream. Traceability from
procurement, production and
2.6.2 Organization of Marketing
despatch is a must in the case of
The marketing wing under the
export consignments. Mixing with
Palakkad Dairy organizes the
normal batches for local supply is
marketing functions. The
not allowed. Hence to equip the
marketing area of the Dairy
29
Palakkad District
includes the entire Palakkad and The milk and the milk products
part of Malappuram districts, reach the consumers from the
which is divided into two zones, processing units through the
Palakkad and Pattambi. Each zone retailers designated as dealers.
is under a Marketing Officer. Yet The liquid milk is directly supplied
another Marketing Officer looks from the Dairy to the dealers and
function. Four field staff look after wholesalers. There were 924 retail
30
Palakkad District
Table 2.7 Market Size for Milk and Market Share in Palakkad District 2013-14
Sl.
Description Rural Urban Total
No.
1 Population (census 2011) Numbers 2133124 676810 2809934
2 Cattle holdings % (HH survey) 30
3 Potential consumers (1* 0.7 rural) 1493187 676810 2169997
4 Actual consumer % (HH survey) 50 95
5 Actual consumers (3*4/100) Numbers 746593 642970 1389563
6 Per capita cons. ml (HH survey) 56 195
7 Consumer demand LPD 41809 125379 167188
8 Inst. demand LPD 25076
9 Total demand LPD 41809 150455 192264
10 Milma supply LPD 90300
11 Market share % (total 10/9*100) 47
12 Supply demand gap LPD (Total
demand minus Milma + competitors) 80264
31
Palakkad District
32
Palakkad District
33
Palakkad District
All the parlors started during parlors are suggested in new areas
Phase I, are functioning well and to attract more consumers.
they provide the necessary Therefore nine more parlors are
impetus for higher sales of Milma recommended in the district.
milk and milk products. Additional
34
Palakkad District
35
Palakkad District
36
Palakkad District
retail points with suitable size distribution from 14 points for the
freezers and wide publicity next three years will be Rs 28.0
through TV channels is suggested. lakh.
In addition, 17 canopy fitted
g. Consumer Awareness
vehicles are recommended for
Programs
special sales in tourist spots and
Consumer awareness camps are
prominent on road places.
being held and dairy visits
f. Redistribution of Milk organized to explain the chain of
As pointed out in the forgoing activities taken up by the Dairy,
sections the milk distribution in starting from milk reception to
rural and interiors of urban and sales through the retail outlets.
semi urban areas requires to be The consumers also get an
increased. Proper and timely reach opportunity to gather firsthand
is the issue. Because of narrow information on quality assurance
roads the 3 MT vehicles often
followed at various stages of milk
cannot reach the sale points. In
reception, processing and
such situations the milk is
marketing. Advertisement boards
transported in large truck and
and banners are exhibited in busy
stored with a milk dealer (retail
places for publicity on the milk
outlet). The milk from the dealer is
and milk products. The awareness
transported to interior and difficult
activities are scale inadequate and
to reach places using smaller
are not reaching a large segment of
vehicles (Ape type) thereby
general public particularly the
ensuring higher penetration and
rural segment. Considering the
wider reach for the milk. The other
ever expanding rural segment a
advantages include timely supply
better focused and well directed
to the retail outlets and
publicity and awareness campaign
elimination of milk outs during
early mornings and late evenings. is to be launched. Apart from the
37
Palakkad District
Milk
Producers
Cluster Direct
Milk Chilling
BMC DCS DCS
Non BMC DCS DCS Plants (2)
PGT DAIRY
Key words: BMC DCS Dairy Cooperative Society having Bulk Milk Cooler;
Cluster DCS: DCS attached to BMC for milk supply; PGT: Palakkad
38
Palakkad District
The DCSs procure surplus milk among the 74,081 registered milk
from framers and deliver it to the producers in the district on
Palakkad Dairy or to either of the average 24,501 poured milk in the
two Milk Chilling Plants. Milk DCS. The proportion pouring milk
from BMC DCSs/MCPs is chilled is low because the non-producers
(4 0C) and delivered while the milk are not removed from the DCS roll
from other DCS (Direct DCS) is due to the cumbersome mandatory
supplied at room temperature. The procedures. The average
Dairy in turn processes and procurement per DCS was 626
markets the milk in towns and LPD and per supplier 7.94 LPD
other urban agglomerations within during 2013-14. The local sale,
and outside the District. The whole 27,541 LPD, accounts for 14 per
chain of activities - procurement, cent of the daily procurement
processing and marketing - is well indicating healthy production
orchestrated and well executed. trend in the rural areas. The rate
of procurement is appreciable in
2.7.2 Profile of DCS in Palakkad comparison with the Kerala
District standards. However, the DCS
A majority of the DCSs in classified according to the daily
Palakkad district are Anand procurement shows that 19 DCS
Pattern Cooperative Societies were collecting less than 100 LPD
(APCOS). They are producer and yet another 42 DCS daily
cooperatives managed by collected between 100 and 200
democratically elected Board of LPD. The study shows that those
Directors. At the close of March DCS are not economically viable.
2014 Palakkad district had 305 The reasons for poor procurement
functional APCOS. In addition rate are that they are not in ideal
there were 18 non-APCOS directly
locations, non-potential suppliers
under the Department of Dairy
are inducted as members and the
Development.
farmers have better option for
Table 2.10 shows the profile of the selling milk. The relocation of
39
Palakkad District
40
Palakkad District
Out of the 305 DCS, 111 DCS was improve the dairy development in
supplying milk direct to the Dairy the area, needs to be examined
during 2013-14. All others supplied under the next phase of IDDP.
milk either to the village BMCs or
to those DCS supplying to MCP. 2.7.4 Milk Quality and Quality
The number of DCS functioning in Administration
own buildings was 166 (61 per cent The MRCMPU follows two axis
of the total) with the rest located in pricing ie, farmers are paid on the
rented buildings. Almost all of them basis of milk fat and SNF content.
have electricity. But only 52 DCS The village cooperatives are
have adequate and proper water equipped to determine the fat and
supply arrangement which is a SNF. Few DCS are also equipped
major hurdle in maintaining good to detect added preservatives,
hygiene standards. In 136 out of adulterants and neutralizers apart
305 (45 per cent) AMCU are used from MBRT estimations.
for milk collection and quality
Because of the quality based
determination.
pricing system, the quality
assessment in DCS is crucial in
2.7.3 Coverage
determining the price to be paid to
The District has 90 Grama
the farmer and winning their
Panchayats with 1451 wards,
confidence. The cooperatives in
apart from 139 Municipal wards.
Palakkad follow any of the three
The data available with the Union
known procedures for quality
shows that 873 wards are covered
assessment - conventional milk
under DCS which works out to
testing (Gerbers test for fat and LR
almost 60 per cent of the total
for SNF determination), Milk O
wards, still leaving out a
Tester for fat and LR for SNF and
significant proportion of them to
Automatic Milk Collection Units
be brought under the procurement
(AMCU) for quality and price
network. Opening new DCS as an
determination. The AMCU would
effort to improve the procurement
be the most desirable because it is
volume, which indirectly would
convenient, error proof, quick and
41
Palakkad District
transparent. Table 2.10 shows that better attention for improving the
62 out of the 264 APCOS (23 per bacterial quality.
cent) in Palakkad use AMCU.
2.7.5 Key Issues and
On the quality front, the procured Suggestions
milk has 4.23 per cent fat, and Milk procurement in Palakkad
8.40 per cent SNF which is district is well organized. Under
acceptable for all practical reasons IDDP and SMP Rs 537.54 lakh has
(Table 2.11). Farmer education been invested for a number of
and introduction of AMCU can components ranging from BMC to
further improve the quality. The milking vessels and capacity
average MBRT of milk supplied building of farmers, DCS employees
through BMC DCS is good while and elected members. The IDDP
that of non BMC DCS, 62 minutes, support is currently available
indicates poor bacterial quality (2014-15) and will continue for one
(Table 2.11). In the years to come more year (2015-16). Therefore, the
both compositional and bacterial support suggested here (Table 2.12)
quality will have a telling influence are intended to stabilize and carry
on the marketability of milk and forward the achievements already
therefore the Union needs to pay made.
Parameter 2009-10
Fat % APCOS 4.23
Fat % non APCOS NA
SNF % APCOS 8.40
SNF % non APCOS NA
Av. MBR time BMC DCS (Mts) 158
Av. MBR time direct DCS (Mts) 62
No. of APCOS using/supplied AMCU 136
No. of APCOS using/supplied Milk O
244
tester & LR
No. of APCOS using/supplied
5
Gerbers test & LR
42
Palakkad District
Table 2.12 Components Suggested under NPDD for Strengthening the Milk
Procurement in Palakkad District 2014-15 to 2016-17
Total Cost
Sl. No. of Unit
Component (Rs in
No. Units Cost (Rs)
Lakh)
1 Buildings for DCS 18 100000 18.00
2 Water supply system 9 60000 5.40
3 Bore well 9 25000 2.25
4 Open well 15 10000 1.50
5 Working capital assistance 3 30000 0.90
6 Aluminium cans 300 2500 7.50
Automatic milk collection
7 units 3 125000 3.75
8 Electronic milk tester 4 15000 0.60
9 Electric centrifuge 8 2500 0.20
10 Weighing scale 3 15000 0.45
11 Hand held billing device 8 10000 0.80
12 Management grant to DCS 8 30000 2.40
13 Subsidy to milk transport 370000 0.5 1.85
Subsidy to cattle feed 100000
14 transport MT 400/MT 400.00
Incentive to better quality 10000
15 milk LPD 0.5 54.75
Total (3.0.0) 500.35
43
Palakkad District
44
Palakkad District
5000 per day and Rs 18.25 lakh arrangements. The cows remain in
per year (Total Rs 54.75). this shelter most of the time (no
grazing). The hind quarters and
2.8 Cattle Shed and Farm the udder often remain soiled by
45
Palakkad District
Table 2.14 Cattle Sheds and Farm Machineries Suggested under NPDD
Palakkad District
Total Cost
No. of Unit Cost
A Cattle Shed (Rs in
Units (Rs)
Lakh)
1 Strengthening of old sheds/
150 15000 22.5
constructing new sheds
2 Auto watering system 150 5000 7.50
Cattle Farm
B
Mechanization
3 Gen set 30 75000 22.50
4 Pressure washers 150 7500 11.25
5 Rubber mats 750 2500 18.75
Total (4.0) 82.5
46
Palakkad District
Total Cost
Sl. No. of Unit Cost
Cattle Induction (Rs in
No. Units (Rs)
Lakh)
Capital expenditure
1 Purchase of animals 120 40000 48.00
2 Purchase of heifers 120 30000 36.00
3 Transportation cost of
animals 240 2000 4.80
4 Cattle/Heifer insurance 150 2500 3.75
Total 92.55
47
Palakkad District
Table 2.16 Equipments and Facilities Suggested for Quality Control Lab
Palakkad Dairy under NPDD (2014-17)
Total
Sl. No. of Unit
Component Cost (Rs
No. Units Cost (Rs)
in Lakh)
1 Central milk testing lab 1 0 20.00
2 Purchase of laboratory furniture 1 500000 5.00
3 High capacity pressure jet 1 100000 1.00
4 FSMS monitoring software 1 100000 1.00
5 Accreditation and certification of
dairy establishments under
HACCP/ISO 1 500000 5.00
Total 32.00
Sl. Financial
CMP Kits to Farmers Physical
No. (Rs in Lakh)
1 Detergents & chemicals to DCS Lot 15.35
2 Stainless steel utensils to beneficiaries 874 23.04
3 Milking machines 50 25.00
48
Palakkad District
Table 2.18 CMP Kits Suggested under NPDD in Palakkad District (2014-17)
Total Cost
Sl. No. of Unit
Components (Rs in
No. Units Cost (Rs)
Lakh)
1 Stainless steel utensil kit/ 1560 400 6.24
accessories
2 Electricity operated milking
15 55000 8.25
machine
Total 1575 14.49
49
Palakkad District
level activities and assistance. TIS This is covered under the NPBB
was a major component of the and hence not recommended. The
IDDP and SIQCMP implemented in animal health and breeding input
the district. The major camps include a pilot program for
components, financial and fertility management of dairy cows
physical attainments in Palakkad among farmers. The program
can be found from table 2.19. envisages identification of infertile
cows, providing management and
The Technical input services are
veterinary support to correct
production incentives to farmers
reproductive disorders if any,
and aids for cost reduction.
standardization and documentation
Therefore they are suggested to be
of the procedures for adoption
included under NPDD as a priority
elsewhere in the State. It is a DCS
component. The most essential
based program centrally controlled
components are listed in table 2.20.
and monitored from HO of
50
Palakkad District
51
Palakkad District
52
Palakkad District
on the relevant subjects. The visit to a few well run farms. The
trainers were mostly from within farmers were given opportunities
the organization and also experts to see for themselves the success
invited from other organizations. and failure stories. The training for
The duration ranged from one to MRCMPU employees is arranged
three days and the subjects by the Head Office in the
handled were those relevant to the institutions of repute in India,
concerned groups. both inside and outside the state.
An interaction with a test group
The farmers induction program is
showed that the trainings were
normally carried out in the HRD
useful for upgrading their skill and
Centre, Kozhikode. The Dairy
knowledge. An amount of Rs 54.62
Animal Management Training to
lakh had been spent on HRD IDDP
the farmers has been undertaken
and CMP Phase I and II in
in APCOS DCS. The training
Palakkad district.
included lectures by experts and
53
Palakkad District
54
Palakkad District
55
Palakkad District
56
Table 2.24 The Amount Required to Pay Milk Value for 21 Days in
Palakkad District
Milk Procurement (Llpd) Average
Total Milk Total Milk
Milk
2013-14 Days Value (Base Value (EOP)
2014-15 2015-16 2016-17 Price/Liter Year) (Lakh) (Lakh)
(Actual) (Rs)
1.79 1.9332 2.08786 2.25488 28.88 21 1085.6 1261.5
45
3. MALAPPURAM DISTRICT
Contents
Malappuram District
Malappuram
District
58
Palakkad District
Executive Summary
59
Malappuram District
The lack of good cattle sheds and The other farmer beneficiary
farm machineries are identified to programs suggested are
be a major constraint in dairy distribution of stainless steel
production in Malappuram utensils, milking machines, etc. at
district. Strengthening of old cattle a cost of Rs 17.25 lakh.
60
Malappuram District
61
Malappuram District
Amount
Component
Rs in Lakh
Milk processing and packaging 87.00
Milk marketing 394.85
Milk procurement 137.95
Cattle shed and farm machineries 63.00
Cattle induction 92.55
Constructing laboratories 104.00
CMP kits to farmers 17.25
Technical input services 46.00
Information and communication technology 150.60
Human resource development 107.00
Working capital 285.00
Total 1485.20
62
Malappuram District
63
Malappuram District
to May, and the South West in the district, has got coverage of
Monsoon from October to 26305 hectares. Another
November. The South West important cash crop is arecanut.
Monsoon is usually very heavy and Despite the support of government
nearly 75 per cent of the annual with subsidy and services, with the
rainfall is received during this exception of rubber, crop
season. The climate is generally production is declining.
hot and humid; the range of
The livelihood support of the
temperature varying between 30
0C
marginal and landless farmers
and 20 0C. The Average annual
(small income group) is livestock.
rainfall is 2900 mm (Farm Guide,
The surging household income
2012).
from foreign remittances and
Agriculture continues to be the plantation crops like rubber has
mainstay of the population, sidelined livestock production.
involving 75 per cent of the people, Less than 20 per cent of
directly or indirectly and is the households own some form of
endeavor of small holders. The livestock. Cattle are the most
vast majority of the peasants are prominent species and milk the
small land holders. 2.36 lakh major livestock output.
hectares are holdings below one
The vast network of institutions
hectare. Only 16,107 hectares of
under the state Animal Husbandry
holdings are above 2 hectares. The
Department services the livestock
main crops raised are Paddy,
farmers in the district. The
Coconut, Tapioca, Arecanut,
important institutions include one
Cashew nut, Banana, Rubber,
District Veterinary Center, ninety
Pulses, Ginger, Pepper and Betel
four Veterinary Dispensaries,
vine. Coconut tops with a total
eleven Veterinary Hospitals four
area of one lakh hectares. Paddy is
Veterinary Poly Clinics, one
cultivated in 31,098 hectares.
hundred and sixteen Artificial
Paddy has lost predominance
Insemination Units and one
among crops during the last two
district poultry farm. The
decades. Rubber, a main cash crop
64
Malappuram District
test the quality and dispatch milk buffalo had mixed fortune. The
200000
Nu m b ers
150000
100000
50000
0
1996 2003 2007 2012
Total Cattle 229765 134703 105329 84131
Cows in milk 62206 40742 33543 57000
Buffalo in milk 9615 1857 1821 4200
65
Malappuram District
opted out of dairying after 1996 animals in milk went up but milk
180
160
140
Milk '000MT
120
100
80
60
40
20
0
97-98 2001-02 2004-05 2008-09 2011-12
142.29 173.59 111.43 124.73 98.46
66
Malappuram District
vast majority of DCS (172 out of transportation cost with the Union
219) in Malappuram district are and the milk producers bearing it.
not linked to the BMC system of Now the Union is selling 67,825
67
Malappuram District
68
Malappuram District
69
Malappuram District
Wholesalers
70
Retailers
Malappuram District
71
Malappuram District
on the ease of operation and that the market for liquid milk in
economy. Malappuram district during 2013-
14 was 85,825 LPD (Milma 67,825
Milk and milk products sold in
plus 18,000 by the competitors). In
Malappuram are shown in table
this method the sales of
3.4. It may be seen that milk sales
competitors are assessed through
reported a quantum jump from
a series of interviews and its
2009-10 to 2013-14. Similar
accuracy generally is moderate.
increases are seen in almost all
The sales in this case pertain
milk products as well, except Sip
mostly to urban areas.
Up. The observed spurt is partially
due to the re-organization of Yet another way of calculating the
marketing area and consequent market is by understanding the
addition of depots (earlier booked in end user purchases. The sample
neighboring districts Kozhikode, survey conducted by the study
Palakkad and Wayanad). group (June 2014) shows that the
Nevertheless the recent re- per capita consumption among
organization of marketing function rural people is 105 ml and urban
in Malappuram has yielded results 77 ml. The market size is
in terms of hike in sales. calculated as shown in table 3.5.
72
Malappuram District
73
Malappuram District
The total estimated market in that the supports under the NPDD
Malappuram district is huge, 2.26 and the marketing strategies
LLPD while the MRCMPU should be geared up to improve
marketed 67,825 LPD and their the market coverage in
competitors 18,000 LPD adding up Malappuram district.
to 85,825 LPD leaving a gap of
1.41 LLPD. The market share of 3.6.4 Marketing Infrastructure-
Milma competitors seems to be Current Status
under estimated. The survey Table 3.6 shows the current status
shows that a sizeable section of of marketing facilities available for
Malappuram population, 35 per milk and milk products in
cent, continues to consume milk Malappuram district. Malappuram
powder. The market share of has a moderate network of
Milma is just 30 per cent of the institutions, wholesalers and retail
market size. The entire outlets, set up for marketing milk
institutional segment is catered to and milk products in the district.
by the private dealers from within The market analysis, however,
and outside the state. The market shows that there is a huge
exploitation by Milma suggests potential waiting to be exploited
74
Malappuram District
75
Malappuram District
Total
No. of Unit
No. Description Cost (Rs
Units Cost (Rs)
in Lakh)
2 Marketing Infrastructure for
Preserving/Maintaining Quality
of Milk
2.1 PUF vehicle container (3 MT) 3 250000 7.5
2.2 PUF box 25-4600 ltr. 375 LS 12.75
2.3 Shipper box for ice cream 30 6000 1.8
2.4 200 liter freezers for dealers 90 13000 11.7
200 liter freezers glass top for
2.5 dealers 120 17000 20.4
2.6 120 LTR freezer 90 11000 9.9
2.7 500 ltr. freezer for dairy 10 23000 2.3
2.8 Deep freezer 320 ltr. 120 17000 20.4
2.9 Deep freezer 320 ltr. (Glass top) 90 20000 18
2.10 Visi-cooler 220 ltr. 120 20000 24
2.11 Freezer subsidy 30 5000 1.5
2.12 Refrigerator subsidy 30 3000 0.9
2.13 Visi-cooler 320 ltr. 90 30000 27.00
2.14 Canopy with eutectic freezer
subsidy 15 100000 15
3 Awareness Programme for
Consumers
3.1 Consumer awareness programme
& publicity 90 50000 180.00
Total 394.85
76
Malappuram District
77
Malappuram District
the PUF boxes because they are market share in the ice cream
viable alternatives for the energy segment. The major hurdle
consuming freezers. They occupy identified against the market
less space, easily movable and expansion in Malappuram district
easy to clean. The boxes maintain is the lack of user friendly and
the temperature cold for about 3-4 energy saving freezers at retail
and is crucial for its financial being held and dairy visits
Milma has less than 5 per cent at retail outlets. The consumers
get an opportunity to gather
78
Malappuram District
79
Malappuram District
BMC DCS
Cluster DCS
Milk
Direct DCS Producers Direct DCS
80
Malappuram District
81
Malappuram District
82
Malappuram District
Parameter Values
Fat % APCOS 3.95
Fat % non-APCOS NA
SNF % APCOS 8.30
SNF % non APCOS NA
Av. MBR time BMC DCS (Mts) 93
Av. MBR time direct DCS (Mts) 60
No. of APCOS using/ supplied 56
AMCU
No. of APCOS using/ supplied 85
Milk O tester & LR
No. of APCOS using/ supplied 18
Gerbers test & LR
83
Malappuram District
84
Malappuram District
85
Malappuram District
86
Malappuram District
production. A dirty cattle shed found that the floor of cattle sheds
87
Malappuram District
thoroughly inadequate and will not cattle keeping and making the
meet even 10 per cent of the daily chores less arduous is
overall cost. Therefore, it would be crucial for the very sustenance of
more sensible if the support could dairy farming. Considering the
be extended for renovation and economic and social significance of
modification of the cattle sheds dairying, the MRCMPU has
with watering facility rather than initiated financial support for farm
insisting on a new cattle shed. The mechanization. The Union has
numbers suggested are given as been providing and channeling
table 3.12. support since the last few years.
However, only few farmers could
On the face of shrinking family
be funded so far and many more
size, changing status of women in
are waiting. It is suggested that
the society, and opportunities for
assistance may be continued and
employment in other sectors of the
funded under NPBBDD. The
economy the availability of labor
components suggested, quantity
for dairy farming is fast declining.
and the estimated cost are
Hired labor for dairy farm activity
presented in table 3.12.
is uncommon in the district.
Hence, reducing the labor for
Table 3.12 Cattle Shed and Farm Machineries Proposed under NPDD for
Malappuram District
Total Cost
Sl. No. of Unit Cost
Component Units (Rs in
No. Units (Rs)
Lakh)
1 Strengthening of old sheds No.
and constructing new sheds 150 15000 22.50
88
Malappuram District
89
Malappuram District
Malappuram/Kozhikode because:
90
Malappuram District
91
Malappuram District
Sl. Financial
Description Physical
No. (Rs in Lakh)
1 Detergents & chemicals to DCS/farmers lot 8.32
2 Stainless steel utensils to beneficiaries 39.01
3 Milking machines 93 27.9
92
Malappuram District
Table 3.16 CMP Kits and Milking Machines Suggested under NPDD for
Malappuram District
(75 per cent) rate under NPDD. been spent for providing various
93
Malappuram District
94
Malappuram District
95
Malappuram District
96
Malappuram District
97
Malappuram District
98
Malappuram District
99
Table 3.21 The Milk value due for 21 Days in Malappuram District to
Farmers
4. KOZHIKODE DISTRICT
Contents
Kozhikode District
Kozhikkode
District
100
Malappuram District
Executive Summary
101
Kozhikode District
in prominent public places. Wide The lack of good cattle sheds and
publicity through print and visual farm machineries are identified as
media is also suggested. Periodic one of the constraints in dairy
market surveys and R&D on production in Kozhikode district.
consumer likes and preferences Financial support for
(example attractive packing for strengthening of old cattle sheds/
flavored milk, ice cream, peda etc) construction of new ones and
are also suggested. The estimated supply of farm machineries and
cost on market promotion works equipments are proposed at a total
out to Rs 393.4 lakh. cost of Rs 81.25 lakh.
102
Kozhikode District
103
Kozhikode District
Amount
Component
(Rs in Lakh)
Milk processing and packaging 164.00
Milk marketing 393.40
Milk procurement 224.55
Cattle sheds and farm machineries 81.25
Cattle induction 92.55
Central testing laboratory 32.00
CMP kits to farmers & tech inputs to farmers 61.45
Information and communication sharing 143.60
Human resource development 57.36
Working capital 275.00
Total 1525.16
104
Kozhikode District
105
Kozhikode District
250000
200000
N u m b ers
150000
100000
50000
0
1996 2003 2007 2012
Total Cattle 262497 169404 133494 109500
Cows in milk 48835 38218 20289 34800
Buffalo in milk 2524 188 156 2600
106
Kozhikode District
200
M ilk '000M T
150
100
50
0
97-98 2001-02 2004-05 2008-09 2011-12
128 196.8 115.5 104.1 86.2
107
Kozhikode District
Table 4.1 Milk Chilling Facility in justifiable from the point of view of
Kozhikode District 2013-14 proximity, from the quality point of
108
Kozhikode District
KozhikodeProcessingdairy
109
Kozhikode District
110
Kozhikode District
111
Kozhikode District
Sl.
Facility/Equipment Unit Quantity
No.
8 Steam Raising Plant Capacity Quantity
8.1 Boiler (oil/coal) 1 MT 1
8.2 Water softening plant 2 KLPH 1
9 Compressed Air System Capacity Quantity
91 Air compressors 50 CFM 3
10 Industrial Electrical Capacity Quantity
10.1 DG set 320 KVA 2
10.2 Transformer 315 KVA 2
11 Water Supply System Capacity Quantity
11.1 Water storage tank 50 KL 1
11.2 Water pumps 20 KLPH 1
Total
Sl. No. of Unit Cost
Machinery/Equipment Specification Cost (Rs
No. Units (Rs)
in Lakh)
1 Milk pump 10 KLPH 4 50000 2
2 SS pipes and fittings Lot 1 500000 5
3 Cream pumps 5 KL 1 300000 3
4 Pouch filling machines 5000 PPH 1 1000000 10
5 Boiler 2 TON 1 3500000 35
6 Refrigeration compressors with
accessories 30 TR 1 3000000 30
7 Deep freezer room 8 TR 1 3500000 35
8 Date coding devices for pouch
filling machines 60 imp/mnt 6 150000 9
9 Pet bottle sterilizer 50 btls/hr 1 3000000 30
10 Heat desiccation units for CPD 300 Kg 1 500000 5
Total 164.00
112
Kozhikode District
large volumes of ice cream with The liquid milk is directly supplied
out quality deterioration. from the Dairy to the dealers and
the products through the
4.6 Milk Marketing wholesalers. At the close of March
2014 there were 1561 retail outlets
4.6.1 Organization of Milk
for milk and 51 wholesalers for
Marketing Kozhikode
milk product distribution from
District
Kozhikode Dairy. A well developed
The marketing wing attached to
intending and distribution system
Kozhikode Dairy organizes the
exist. The liquid milk and the
milk marketing activities in
products are sold to the dealers on
Kozhikode district. The Kozhikode
advance payment. Credit facilities
marketing wing is under a
were extended to the dealers on a
Marketing Manger. He is assisted
limited scale. The milk and milk
by a Marketing Organizer who
products sold during 2013-14 is
looks after the supply
shown as table 4.5.
management. A Marketing Asst
looks after the market There is marginal (4 per cent in
development activities. Four Field three years) growth in sales of milk
Staff supervise the filed level while the growth of certain
activities among the retail outlets. products curd, ice cream and ghee
The Kozhikode marketing wing are substantial. The marketing
markets liquid milk and milk area of Kozhikode dairy has been
products made in Kozhikode Dairy recently downsized and re-
and Product dairies. organized under the other dairies
(Wayanad and Palakkad)
4.6.2 Supply Chain consequent to expansion of
The MRCMPU has more or less production, establishment of Milk
similar supply chain in all the Depots and to economize the
districts. The milk and the milk supply routes and that makes the
products reach the consumers growth in milk sales under
from the processing units through Kozhikode dairy look smaller.
the retailers designated as dealers.
113
Kozhikode District
Table 4.5 Progress of Milk and Milk Products sale in Kozhikode District
114
Kozhikode District
115
Kozhikode District
116
Kozhikode District
117
Kozhikode District
118
Kozhikode District
like ghee, curd, Butter milk, Milk recommended for special sales in
and ice cream. The share of milk road places (table 4.8).
119
Kozhikode District
120
Kozhikode District
Milk
Producers
(50)
KKD DAIRY
Key words: BMC DCS Dairy Cooperative Society having Bulk Milk Cooler;
Cluster DCS: DCS attached to BMC for milk supply; KKD: Kozhikode
Figures in brackets - No. of DC
121
Kozhikode District
122
Kozhikode District
123
Kozhikode District
Parameter Value
Fat % APCOS 3.87
Fat % non-APCOS NA
SNF % APCOS 8.29
SNF % non-APCOS NA
Av. MBR time BMC DCS (Mts) 115
Av. MBR time direct DCS (Mts 60
No. of APCOS using/supplied AMCU 96
No. of APCOS using/supplied Milk O
121
tester & LR
No. of APCOS using/supplied Gerbers
135
test & LR
124
Kozhikode District
and SNF estimation while some 8.29 per cent SNF which is
others have inconsistent results. lower than in other districts of
The inappropriate performing of Malabar. Farmer education and
the analyzers cause hardships to introduction of AMCU can further
the farmers and DCS and the DCS improve the quality. The MBRT of
have discontinued its usage. Few milk supplied through BMC DCS
have changed the configuration of averages 115 minutes (tested in
the AMCU by substituting EMT Kozhikode Dairy). In the years to
instead of analyzer. But EMT can come both compositional and
test only fat and not SNF for which bacterial quality will have a telling
again lactometer must be influence on the marketability of
depended thus partially defeating milk. The best way to usher in
the purpose of AMCU, the microbial quality is to pay for
automation, transparency in milk bacterial quality also. It is
collection and instant print out to suggested that an incentive for
farmers. AMCUs are excellent good microbial quality may be
gadgets to ensure transparency in introduced as a beginning towards
milk procurement in village DCS. this end.
It avoids the hassles of quality
checking, volume measurement 4.7.5 Key Issues and
and payment of milk price. Hence Suggestions
we are of the opinion that the Under the IDDP and SIQCMP
analyzers need to be re-introduced schemes an amount of Rs 376.75
after rectifying the practical issues has been invested for procurement
in consultation with the activities ranging from BMC to
manufacturers and suppliers. milking vessels and capacity
Almost all BMC DCS possess the building of farmers and elected
equipments for MBRT estimation. members in Kozhikode district.
But not all of them have started The IDDP support is available for
using. two more years (2014-15 and
2015-16). Therefore the support
About the quality, the procured
suggested for milk procurement
milk has 3.87 per cent fat, and
125
Kozhikode District
126
Kozhikode District
127
Kozhikode District
Table 4.12 Farm Equipments past 289 cattle sheds were funded
Supplied to Farmers in Kozhikode under the IDDP/SIQCMP schemes.
District During the course of the field work
Sl. we found that the floor of cattle
Item Quantity
No.
sheds are well made using the
1 Cattle sheds modified 289
2 Milking machines 64 allotted fund. However,
3 Rubber mats 1275 construction of new cattle sheds is
4 Pressure washers 112 very expensive in Kerala due to the
5 Gen sets 10
high labor cost and the cost of
6 Cow drinker 72
7 Chaff cutter - Motorised 12 materials. The budget provision of
Rs 10,000/- is thoroughly
shed should also provide inadequate and will not meet even
operational easiness and animal 10 per cent of the overall cost.
comfort. Most of the cattle sheds Therefore, it would be more
are a mere make shift shelter with sensible if the support could be
mud/wood floor, tile/asbestos/ extended for renovation and
PVC/Silpaulin roof, dark and modification of the cattle sheds
musky, all in one floor (no urine or with watering facility rather than
dung channel) and without any insisting for a new cattle shed. The
watering arrangements. The cows numbers suggested are given as
remain in this shelter most of the table 4.13.
time (no grazing). The hind
On the face of shrinking family
quarters and the udder often
size, changing status of women in
remain soiled by dung and mud.
the society, opportunities for
Udder and teat injury is common.
employment in other sectors of the
Feeding of water is only
economy the availability of labor
occasional. Considering the
for dairy farming is fast declining.
importance of god cattle sheds, the
Hired labor for dairy farm activity
Milk Union roped in funds for
is uncommon in Kozhikode
cattle shed modifications and
district. Hence reducing the labor
making new cattle sheds under the
for cattle keeping and making the
IDDP and SIQCMP schemes. In the
daily chores less arduous is
128
Kozhikode District
Table 4.13 Cattle Sheds and Farm Machineries Suggested under NPDD for
Kozhikode District
Total Cost
No. of Unit
A Cattle Shed (Rs in
Units Cost (Rs)
Lakh)
1 Strengthening of old
sheds/constructing new 150 15000 22.5
2 Auto watering system 100 5000 5.00
B Cattle Farm
Mechanization
3 Gen set 30 75000 22.5
4 Pressure washers 100 7500 11.25
5 Rubber mats 800 2500 20.00
Total (4.0) 81.25
crucial for the very sustenance of major obstacle for the new
dairy farming. Considering the entrants to enter in to the cattle
economic and social significance of farming. To overcome this issue,
dairying, the MRCMPU has the cattle induction has been
initiated providing financial resorted by several development
support for farm mechanization. agencies in the state as a support
The Union has been providing and scheme. The MRCMPU too
channeling support since few distributed 900 heifers to 180
years. However only few farmers farmers in Kozhikode district to
could be funded so far and many promote cattle rearing.
more are on the queue. It is
The cattle keeping in the district is
suggested that the assistance may
a job of economically weaker
be continued and funded under
sections of people (BPL families)
NPBBDD. The components
and women. It continues to be a
suggested, quantity and the
major source of securing daily
estimated cost can be found from
livelihood to them especially
the table 4.13.
women. Therefore the following
number of cattle (table 4.14) is
4.9 Cattle Induction
recommended to be supported
The lack of easy access to bank
under NPDD.
loan at low interest remains as a
129
Kozhikode District
Only the BPL families will be IDDP and SIQCMP schemes for
included for cattle induction upgrading the Kozhikode dairy lab.
activity. The lab has facilities including
Fifty percent of cows and fifty equipments for routine tests.
percent of heifers are reserved However the equipments and
for women. activities shown in table 4.15 are
Women members will be required to be added in Kozhikode
allowed 75 per cent of price dairy for the following reasons.
subsidy and others 50 per
6. As part of modernizing the
cent of purchase price.
hygienic systems in the dairy
Transportation cost shall be
automatic data capturing
met in full under the scheme.
system, software for easy
Seventy five percent of
monitoring of FSMs and a
insurance amount shall be
high capacity pressure jet is
included under the scheme
proposed in the Project.
and the balance as
beneficiary contribution. 7. The Kozhikode dairy is
already ISO: 22000 certified
dairy by DNV. The
4.10 Establishment of
recertification and
Laboratory in
surveillance audits and
Kozhikode Dairy
certain equipments and
An amount of Rs 85.88 lakh had
software for the maintenance
been invested under phase I&II of
130
Kozhikode District
Laboratory Kozhikode
131
Kozhikode District
132
Kozhikode District
Table 4.17 CMP Kits and Milking Machines Suggested for Kozhikode
District under NPDD
Total
Sl. No. of Unit
Component Cost (Rs
No. Units Cost (Rs)
in Lakh)
1 Stainless steel utensil kit/
1500 400 6.0
accessories
2 Electricity operated milking
machine & other equipments for
20 55000 11.0
hygienic milk handling at
village/farmer level
3 Manual milking machines 50 6000 3.00
133
Kozhikode District
134
Kozhikode District
135
Kozhikode District
The current status is that the employees, the staff and elected
but not networked. The milk 4.21 shows the numbers trained in
136
Kozhikode District
137
Kozhikode District
138
Kozhikode District
estimated costs are given as table fluctuates between the flush and
139
Kozhikode District
employees
In both, flush and lean, period the years the burden is poised for
140
Table 4.23 The Amount Required to Pay Milk Value for 21 Days in
Kozhikode District
Average Total Milk Total Milk
Milk Procurement (LPD)
Milk Value Value
Days
2013-14 2014- 2015- 2016- Price/liter (Base Year) (EOP)
(Actual) 15 16 17 (Rs) (Lakh) (Lakh)
5. WAYANAD DISTRICT
Contents
Wayanad District
Wayanad
District
142
Kozhikode District
Executive Summary
143
Wayanad District
144
Wayanad District
Amount
Component
(Rs in Lakh)
Milk processing and packaging 55.00
Milk marketing 406.95
Milk procurement 144.73
Cattle shed and farm machineries 79.50
Cattle induction 92.55
Constructing laboratories 54.00
CMP kits to farmers 17.25
Technical input services 46.00
Information and communication technology 149.40
Human resource development 33.45
Working capital 443.70
Total 1522.53
145
Wayanad District
146
Wayanad District
functioning at Kalpetta. The DDD 1996 and 2007 and then made a
provides the dairy extension and marginal gain from 2007 to 2012.
statutory support like auditing of As is evident from the fig. 5.1 both
DCS. The department has the the total and in-milk cows showed
district office at Kalpetta, three similar trend during this period.
dairy extension service units and The total cattle declined by 37.2
one quality control unit. The per cent and cows in milk by 31
MRCMPU has one Dairy Plant of per cent. The in milk buffalo had
50,000 LPD and one P&I unit at mixed fortune. The numbers
Kalpetta and one MCP at sharply declined from 2252 to 248
Mananthavady. The Veterinary between 1996 and 2003 and there
college at Pookkott, apart from after marginally gained between
Veterinary education, also provides 2003 and 2012. Although the
animal health and extension accuracy of the data on cattle
support. numbers is questionable, it is
certain that many dairy farmers in
5.2 Trend in Cattle Population Wayanad district dropped out of
The official statistics show that the dairying after 1996 due to
cattle population in Wayanad economic and other factors.
district declined sharply between
80000
60000
40000
20000
0
1996 2003 2007 2012
Total Cattle 122303 103694 65459 76777
Cows in milk 29453 30659 20289 33100
Buffalo in milk 2252 248 463 1900
147
Wayanad District
According to the ISS estimates (Fig. provide the milk chilling facility in
5.2) the annual milk production in the district. The position of milk
100
80
M ilk '0 0 0 M T
60
40
20
0
97-98 2001-02 2004-05 2008-09 2011-12
82.74 92.36 71.02 101.43 114.25
148
Wayanad District
district, the addition of chilling 1,20,900 LPD, 242 per cent of the
dairy districts in the state. The variants), curd, ghee and butter.
149
Wayanad District
150
Wayanad District
151
Wayanad District
Sl.
Facility/Equipment Specification Quantity
No.
3 Processing/Storage Equipment Capacity Quantity
3.1 Milk chillers 20 KLPH 1
3.2 Tri-purpose centrifuge 10 KLPH 1
3.3 Milk pump 10 KLPH 4
3.4 Un-insulated milk tank 5 KLPH 1
3.5 Horizontal milk storage tank 15 KLPH 3
3.6 Vertical milk storage tank 10 KLPH 1
3.7 CIP system- Double circuit 20 KLPH 1
3.8 Pasteurizer 10 KLPH 1
3.9 Milk silo 60 KL 1
4 Fat Handling Capacity Quantity
4.1 Sour milk separator 500 LPH 1
4.2 Cream storage tank 2000 LTR 3
4.3 Cream pump 5000 LPH 1
4.4 Ghee boiler 2000 LTR 1
4.5 Ghee settling tank 3000 LTR 3
4.6 Ghee storage tank 3000 LTR 3
4.7 Ghee pump 3000 LPH 1
4.8 Ghee clarifier 2000 LPH 1
4.9 Cream transfer tank 1000 LTR 2
5 Recombination Capacity Quantity
5.1 Homogeniser 10 KLPH 1
6 Milk Marketing
6.1 Pouch filling machine dhg. mechanical 5000 PPH 8
6.2 Pouch filling machine auto sh. mechanical 2500 PPH 1
6.3 Milk pumps 10000 LPH 4
6.4 Date coding device for pouch filling
machines 60 IMP/Mnt 10
7 Service Equipment Capacity Quantity
7.1 Refrigeration compressors
(Make/Model/Type/Cap.) 20 TR 3
7.2 Ice bank tank 100 KL 1
8 Steam Raising Plant Capacity Quantity
8.1 Boiler (Oil/Coal) 1 MT 1
9 Compressed Air System Capacity Quantity
9.1 Air compressors 50 CFM 2
9.2 Industrial electrical
9.3 DG set 250 KVA 2
9.4 Transformer 315 KVA 1
152
Wayanad District
153
Wayanad District
Table 5.6 Milk Marketing Activities Carried Out in Wayanad District under
CSS
Sl. Amount spent
Scheme Period Major Physical Sectors
No. (Rs in Lakh)
Puff boxes, outlet
Phase
1 IDDP 71.08 renovation, freezers, cold
I &II
storage at towns.
Strengthening of
2 SIQ CMP Phase II 43
marketing infrastructure
154
Wayanad District
Table 5.7 Milk and Milk Products Sold from Wayanad Dairy
155
Wayanad District
5.6.4 Market Size and Market folds more than the urban market
Share of MRCMPU in Wayanad district.
Market size is the measurement of
Yet another way of understanding
the total volume of a gien market.
the market is by the end user
Market size calculated on a
purchase method. The latest
standard practice, competitive
Census (2011) shows the following.
sales approach (bottom up
approach), shows that the market Urban population
Wayanad district - 31580
for liquid milk in 2013-14 period
was 13,000 LPD (Milma plus the Rural population - 785840
156
Wayanad District
157
Wayanad District
the PUF containers under the Our field exposure visits revealed
IDDP scheme during the yester that the retailers wholeheartedly
years, the entire milk transport welcomed the PUF boxes because
from Wayanad dairy was switched they were proved to be viable
over to PUF insulated vehicles. The alternatives for the energy
PUF boxes of varying sizes, 50-150 consuming freezers. They occupy
liter provided at 50 per cent less space, are easily movable and
subsidy in the retail outlets are easy to clean. The boxes retain
together with the PUF bodied low temperatures for about 3-4
transport vehicles ensured perfect hours during which the milk is
end-to-end cold chain and quality generally sold out.
assurance dairy to consumer.
158
Wayanad District
Freezers, 200 and 120 liter within and outside the district.
capacity, are provided to the The market analysis shows that
retailers at a subsidized price of Rs there is a wide gap between
5000/- a piece for storing frozen demand and supply. To take
Milma products. Apart from ice advantage of these favorable
cream, milk is also sometimes factors and to safeguard the
stored in freezer cabins. There are interest of the milk producers in
many takers for the freezers and the district, further expansion of
almost all of them are in use, field the marketing outlets and
exposure visits and surveys reveal. developing an aggressive
The Visi-coolers are provided at marketing strategy are essential to
subsidized price to store products protect the interest of the milk
like flavored milk, cup curd, etc. producers in the district (sales
outlets in border areas, out side
The market in Wayanad district is
state parlors, parlors in Various
under the perpetual threat from
tourist spots, ice cream Canopy
private dealers. Also, some of the
vehicles in interior routes, etc.).
DCSs in Wayanad market sell milk
159
Wayanad District
160
Wayanad District
161
Wayanad District
162
Wayanad District
163
Wayanad District
Milk
Producers
WYND DAIRY
165
Wayanad District
dock. BMC DCS chills the milk proportion supplying milk is low
before transporting to Wayanad because the non-producers are not
dairy in insulated road tankers. removed from the DCS roll due to
The Dairy in turn processes the the cumbersome mandatory
milk and markets in towns and procedures. The average
other urban agglomerations within procurement per DCS was 2645
and outside the district. The whole LPD and per supplier 7.6 LPD
chain of activities - procurement, during 2013-14. The local sale,
processing and marketing - is well 19,217 LPD, accounted for 14 per
orchestrated and executed. cent of the daily procurement
indicating that a majority of the
5.7.2 Profile of DCSs in farmers are producers and the
Wayanad District milk buyers are only a few. The
A majority of the DCSs in rate of procurement per DCS is
Wayanad district is Anand Pattern excellent in comparison to the
Co-operative Societies (APCOS). other districts in Kerala. The DCSs
They are producer cooperatives classified according to the daily
managed by a democratically collection shows that a majority of
elected Management Committee. the DCSs collect more than 500
At the close of March 2014 the LPD and are extremely viable. The
district had 53 functional APCOS. DCSs in Wayanad, unlike in other
In addition, one non-APCOS districts, command larger areas
existed directly under the control and have several sub centers to
of the department of Dairy collect milk. Out of the 53 DCSs,
Development. none supplied milk direct to the
dairy during 2013-14. Eighty five
Table 5.11 shows the profile of the
percent of the DCSs function in
DCSs in Wayanad district. From
own buildings. Others are in
amongst the 53,040 registered
rented buildings. Almost all of
milk producers in the district, on
them have electricity and water
an average 18,313 (34.5%) alone
supply arrangements.
supplied milk to the DCS in the
district during 2013-14. The
166
Wayanad District
167
Wayanad District
168
Wayanad District
Although all the DCSs in Wayanad Almost all the BMC DCSs possess
use AMCUs for quality the equipments for MBRT
determination, only a very few estimation. But not all of them use
DCSs make use of one of the this provision.
and payment of milk price. Hence supplying high quality milk may
Table 5.13 Support for Milk Procurement Suggested for Wayanad District
under NPDD
Unit Total
Sl. No. of
Milk Procurement Cost Cost (Rs
No. Units
(Rs) in Lakh)
1 Building construction 8 100000 8.00
2 Water supply system 10 60000 6.00
3 Bore well 10 25000 2.50
4 Open well 15 10000 1.50
5 Aluminium cans 300 2500 7.5
6 Electronic milk tester 4 15000 0.6
7 Electric centrifuge 8 2500 0.2
8 Weighing scale 3 15000 0.45
9 Hand held billing device 8 10000 0.8
10 Management grant to DCS 8 30000 2.4
11 Subsidy to milk transport 370000 0.5 1.85
12 Subsidy to cattle feed
transport 24128 400 96.512
13 Incentive to better quality
milk 900000 0.5 16.42
Total 144.73
170
Wayanad District
172
Wayanad District
173
Wayanad District
Table 5.15 Cattle Sheds and Farm Machineries Suggested under NPDD for
Wayanad District
Total
No. of Unit Cost
A Cattle Shed Cost (Rs
Units (Rs)
in Lakh)
1 Strengthening of old
sheds/constructing new 150 15000 22.5
2 Auto watering system 100 5000 5.00
B Cattle Farm
Mechanization
3 Gen set 30 75000 22.5
4 Pressure washers 150 7500 11.25
5 Rubber mats 500 2500 18.75
Total (4.0) 79.5
174
Wayanad District
175
Wayanad District
176
Wayanad District
Table 5.18 CMP Kits Supplied under SIQCMP Scheme in Wayanad District
Sl. Financial
Component Physical
No. (Rs in Lakh)
1 Detergents & chemicals to DCS lot 16.02
177
Wayanad District
178
Wayanad District
179
Wayanad District
180
Wayanad District
181
Wayanad District
182
Wayanad District
183
Wayanad District
184
Wayanad District
185
6. KANNUR DISTRICT
Contents
Executive Summary..........................................................................188
6.1 General Features ........................................................................192
6.2 Trend in Cattle Population ..........................................................193
6.3 Trend in Milk Production from Bovines .......................................194
6.4 Milk Chilling 194
6.5 Milk Processing 195
6.6 Milk Marketing 199
6.7 Milk Procurement 208
6.8 Cattle Shed and Farm Machineries 215
6.9 Cattle Induction 216
6.10 Establishment of Laboratory 218
6.11 Clean Milk Production Kits for Beneficiaries 219
6.12 Technical Input Services (TIS) 220
6.13 Information and Communication Technology Networking 221
6.14 Manpower Development 223
6.15 Working Capital - Kannur District 225
Wayanad District
Kannur District
KannurDistrict
187
Wayanad District
Executive Summary
188
Kannur District
189
Kannur District
The farmer beneficiary programs running for the past few years. It is
proposed are aimed at milk suggested to scale up some of
productivity enhancement and these programs. The suggested
clean milk production. They programs would cost Rs 57.6 lakh.
include distribution of stainless
The business plan of MRCMPU
steel utensils, milking machines,
suggests substantial increase in
animal breeding and health cover
milk procurement and sale in
and commercial fodder production
Kannur district. The milk prices
for which at the estimated cost
are to be paid to the farmers
works out to Rs 38.65 lakh.
regularly which alone cost rupees
The MRCMPU needs to network 300 lakh or more every 21 days. In
with the various units and the addition, keeping a buffer stock of
DCSs for effective information raw and finished goods is essential
sharing and communication. The to safeguard an uninterrupted
suggested system is a client server business. This, as also several
architecture network with six other requirements force the Milk
centers, one in each district Union to borrow money from the
(Palakkad, Malappuram, Kozhikode, open market which causes extra
Wayanad, Kannur, Kasaragod) and burden to the Union and the
a central server system linking all farmers. Hence it is suggested that
these six centers. The data and an amount of Rs 117 lakh shall be
information will be made available paid to the milk Union as a one-
to all the districts and DCSs. The time assistance for Working
estimated cost of these in Kannur Capital.
district is Rs 123.0 lakh.
The Suggestions for Kannur
The HRD through training and district abstract of the proposed
skill development is a routine program is as follows: The
activity of MRCMPU in Kannur suggested programs for Wayanad
district. Several programs were shall be summed up as follows.
190
Kannur District
Amount
Component
(Rs in Lakh)
Milk processing and packaging 273.00
Milk marketing 437.55
Milk procurement 233.20
Cattle sheds and farm machineries 80.00
Cattle induction 92.55
Central testing laboratory 54.00
CMP kits and milking machines to farmers 17.25
Technical inputs services 30.00
Information and communication technology 123.00
Human resource development 57.60
Working Capital 117.30
Total 1515.40
191
Kannur District
192
Kannur District
centers. The DDD has one Dy. district declined during this
Director Office (District Office), nine period. The total cattle declined by
Dairy Extension Offices and one 61 per cent and cows in milk by 34
quality control office in the district. per cent between 1996 and 2012.
MRCMPU has a processing dairy The in-milk buffaloes had mixed
here with a capacity of 1,00,000 fortune, the numbers sharply
LPD of milk. Traditionally, milk and declined from 4519 to 146 between
curd are being brought in from 1996 and 2007 and then
Tamil Nadu to this region. marginally gained between 2007
and 2012. Although the accuracy
6.2 Trend in Cattle Population of the data on cattle numbers is
The cattle population in Kannur questionable, it is certain that in
district declined between 1996 and the recent past many dairy
2012, the official statistics shows. farmers in Kannur district dropped
As is evident from fig. 6.1, both the out of dairying due to economic
total and in milk cows in the and other factors.
250000
Cattle/Buffalo Num ber
200000
150000
100000
50000
0
1996 2003 2007 2012
193
Kannur District
1 3 9 .3
160
1 2 2 .4
140
105
120
M ilk in '000M T
100
80
60
40
20
0
1997-98 2001-02 2004-05 2008-09 2011-12
194
Kannur District
KannurDairy
195
Kannur District
district and that supplied from the Kannur dairy also produces
Wayanad Dairy/Chilling Plant. The curd, ghee and buttermilk
average procurement of milk from (Sambharam). They export ghee to
Kannur district during 2013-14 the Middle-East countries.
was 50,700 LPD of which 41,110
liter (81%) was received as chilled 6.5.2 Milk Processing
milk from BMCs. Infrastructure Kannur
Dairy
In addition 40,061 liter (average) of
As stated above, the Kannur dairy
pre-chilled milk was received from
has undergone major upgradation
other units of the Milk Union. The
during the last decade. The dairy
dairy also imported 13,250 LPD
is one of the show pieces of
(average) chilled/processed milk
MRCMPU and it is managed
during summer/festival times from
professionally. In the process of
other states. The total inflow of
upgradation, the civil structures
milk during 2013-14 was 1,04,011
were modified and expanded.
LPD which works out to 69 per
Several equipments were added in
cent of the installed capacity.
the process line, and the quality
196
Kannur District
197
Kannur District
All the equipments are in full use. Traceability is a must in the case
The evaluation of current status of export consignments during the
and the need assessment shows procurement, production and
that some of the critical despatch. Mixing with normal
equipments require replacement. batches for local supply is not at
Taking in to consideration these all allowed. Hence a separate silo
aspects, the following equipments and fat handling equipments are
are suggested to be included under suggested for Kannur dairy under
NPDD (table 6.3). NPDD. All the other equipments
like milk pumps are proposed as
The Kannur dairy has recently got
spare to the existing ones.
export approval for ghee.
Table 6.3 Equipments and Machineries Proposed for Kannur Dairy under
NPDD (2014-2017)
Total
Sl. Milk Processing & No. of Unit Cost
Speciation Cost (Rs
No. Marketing Units (Rs)
in Lakh)
1 Milk pump 10 KLPH 4 50000 2.00
2 SS pipes and fittings Lot 1 500000 5.00
3 Tri-purpose centrifuge 10 KLPH 1 3500000 35.00
4 Milk silo 60 KL 1 2500000 25.00
5 Cream storage tanks 3 KL 1 800000 8.00
6 Cream pumps 5 KL 1 300000 3.00
7 Ghee boiler 2 KL 1 500000 5.00
8 Ghee storage tank 3 KL 1 700000 7.00
9 Ghee clarifier 2 KLPH 1 1500000 15.00
10 Pouch filling machines 5000 PPH 1 1000000 10.00
11 Crate washer 1200 TPH 1 1000000 10.00
12 Boiler 2 TON 1 3500000 35.00
13 Refrigeration compressors
30 TR 1 3000000 30.00
with accessories
14 Cold store (including
5 TR 1 2500000 25.00
equipments)
15 Date coding devices for pouch 60
2 150000 3.00
filling machines imp/mnt
16 LT electrical 0 1 3000000 30.00
17 DG set 320 KVA 1 2500000 25.00
Total 273.00
198
Kannur District
As per the FSSA, the cold store marketing wing has an Asst.
temp must be below 5 0C for Manager, Asst. Marketing Officer
storage of milk. Since the cold and four field staff. The
store in Kannur dairy is very old, Koothuparamba Depot is under a
an additional cold store is needed Marketing Organizer assisted by
along with strengthening of two field staff. The Kannur Dairy
refrigeration by adding high markets liquid milk and milk
efficiency compressors. Hence they products manufactured in the
are also suggested under the dairy plus the products procured
NPDD.
from the Product Dairy at
Kozhikode.
6.6 Milk Marketing
199
Kannur District
limited scale. The milk and milk in Kannur district was 1.36 LLPD
products sold during 2013-14 are (Milma 1.20 plus 0.16 of the
shown in table 6.4. competitors). The sales of
competitors are assessed through
The table shows that there is a
a series of interviews and its
marginal (12% in three years)
accuracy cannot be vouched. The
growth in sale of milk while the
sales pertain mostly to the urban
growth in certain products- curd,
area and therefore the rural
ice cream and ghee- are
consumption is extra.
substantial.
Yet another way of calculating the
6.6.4 Market Size and Market market is by understanding the
Share of MRCMPU end user purchases. The sample
Market size is the measurement of survey conducted by the study
the total volume of a given market. group shows that the per capita
Market size calculated on a consumption among the rural
standard practice/ competitive people is 150 ml and that of urban
sales approach (bottom up 173 ml. The market size is
approach) shows that the market calculated as shown in table 6.5.
for liquid milk in 2013-14 period
200
Kannur District
Table 6.5 Estimation of Market Size for Milk Kannur District 2014
201
Kannur District
202
Kannur District
203
Kannur District
204
Kannur District
the sale of milk and milk products. district. Therefore 15 more parlors
Buyers are served milk and milk are suggested to be established in
products in a consumer friendly the district (Rs 9 lakh).
environment. All the parlors started
b. Milma Shoppe
during Phase I are functioning well
Improving the visibility of Milma
and they provide the necessary
milk and products is important to
stimulus for higher sales of Milma
scale up its business. Improving
milk and milk products in the
205
Kannur District
round the clock. It has won the preserve milk. Moreover freezers
appreciation of one and all and is are capital intensive and expensive
found to be an effective tool to to maintain. The PUF boxes
publicize its products. From the supplied under the IDDP/SIQCMP
past experience of Milma, the are doing good service to this end.
Milma shoppe is an effective It is proposed that all the retailers
instrument to promote milk and be provided with new or additional
other products. It is suggested PUF boxes at a cost of Rs 12 lakh
that five more shoppe be started in to achieve 100 per cent cold chain
towns during the project period (Rs maintenance.
25 lakh).
Visi-coolers are excellent
c. PUF Bodies equipment to keep low
In order to give good quality milk temperatures of the products like
and milk products to the
flavored milk. Hence a few of them
consumers, MRCMPU started
are suggested as part of the
investing in PUF insulated vehicles
market promotion.
and PUF Boxes. At present the
entire processed milk transported e. Ice Cream Promotion
is in PUF insulated vehicles. Seven MRCMPU Ltd. is selling products
more PUF bodies are suggested at like ghee, curd, Butter milk, Milk
206
Kannur District
and is very crucial for its financial from within and outside the state.
the products, ice cream is the the market is crucial to the very
Milma now has only less than 5 the district as well as the state and
for food security and livelihood
per cent market share in the ice
support. Unfortunately, not
cream segment. The major hurdle
enough efforts are made in this
identified in the market expansion
direction and it indirectly
in Kannur district is the absence
causes several socio-political
of user friendly and energy saving
repercussions in the field of dairy
freezers at the retail points. During
production. Therefore it is
IDDP Phase I, SIQCMP the Milk
strongly recommended that an
Union invested on retailer level
aggressive consumer education
freezers and as a result the sales
cum advertisement program
of ice cream have increased from
through all channels of media be
3684 liter/month in 2010-11 to
launched in Kannur district to
14,404/month in 2013-14. A three
serve two purposes market
pronged market intervention-
promotion and awareness creation
appointment of more wholesale amongst all the sections of people
dealers, equipping all retail points and as a tool for socio economic
with suitable size freezers and improvement (Rs 437.55 lakh).
wide publicity through TV
channels- is suggested. In 6.6.7 ETP
addition, canopy fitted vehicles are The ETP is meant for Kannur
recommended for special sales Dairy. The existing ETP is
promotion in tourist spots and inefficient and scale inadequate to
prominent on-road locations. handle the effluents from the
207
Kannur District
Dairy. As the Kannur is gearing up being looked after by the P&I Unit
for production enhancement and functioning in Kannur Dairy. The
scaling up of daily processing, the Unit has established a network of
capacity enhancement of ETP is village level DCSs in the district to
inevitable. From the statutory and procure milk from the dairy
hygiene point of view, it is farmers. The organization of milk
suggested that a higher capacity procurement is explained as fig.
ETP be established at Kannur. 6.3.
Milk
Producers
Cluster
BMC DCSs DCSs Non BMC DCSs
(126)
(23) (7)
`
KNR DAIRY
Key words: BMC DCSs Dairy Cooperative Societies having Bulk Milk
Coolers; Cluster DCSs: DCSs attached to BMCs for milk supply.
KNR: Kannur
Figures in brackets- Number of DCS
208
Kannur District
209
Kannur District
210
Kannur District
per cent of the total DCSs only shows. The assessment is that
functioned in own buildings. only a 10 per cent of the left out
Others are in rented buildings. wards have the potential for
Almost all of them have electricity starting new DCSs.
and water supply arrangements.
The geographical coverage is
The absence of own buildings and
excellent, but the number of
the lack of adequate water in a
farmers pouring milk per DCS is
few, are identified to be some of
not encouraging.
the major constraints in
maintaining good Hygienic
6.7.4 Milk Quality and Quality
standards of milk.
Administration
Unlike in other districts of The MRCMPU follows two-axis
Malabar, only 43 per cent of the pricing system ie, farmers are paid
DCSs possess AMCUs. A large on the basis the milk fat and the
number off DCSs employ EMTs SNF in the milk. The village
and LRs for quality determination. cooperatives are equipped to
determine the compositional
6.7.3 Coverage quality, fat and SNF. A few DCSs
The Kannur district has 1215 are also equipped to detect added
Panchayat wards of which almost preservatives, adulterants and
70 per cent are under milk neutralizers, apart from MBRT
procurement, the recent survey estimations.
211
Kannur District
212
Kannur District
213
Kannur District
214
Kannur District
beginning, it is proposed that the the sheds are a mere make shift
top 2 per cent of the milk shall be shelter with mud/wood floor,
paid an incentive of 50 ps per liter tile/asbestos/PVC/Silpaulin roof,
of milk. The daily procurement is dark and musky, all in one floor
near to 70,000 LPD and the (no urine or dung channel)
incentives at the suggested rate and without any watering
works out to Rs 7.6 lakh. arrangements. The cows remain in
this shelter most of the time (no
6.8 Cattle Shed and Farm grazing). The hind quarters and
Well constructed cattle sheds are a dung and mud. Udder and teat
215
Kannur District
labor for dairy farming, is fast the state as a support scheme. The
216
Kannur District
Table 6.12 Cattle Sheds and Farm Machineries Proposed under NPDD for
Kannur District
Total
No. of Unit Cost
A Cattle Shed Cost (Rs
Units (Rs)
in Lakh)
1 Strengthening of old
sheds/constructing new 150 15000 22.5
2 Auto watering system 100 5000 5.00
B Cattle Farm
Mechanization
3 Gen set 30 75000 22.5
4 Pressure washers 150 7500 11.25
5 Rubber mats 750 2500 18.75
Total (4.0) 80.00
217
Kannur District
218
Kannur District
Table 6.15 CMP Kits Supplied under SIQCMP Scheme in Kannur District
Sl. Financial
CMP Kits Physical
No. (Rs in Lakh)
1 Detergents & chemicals to DCSs lot 12.12
2 Stainless steel utensils to beneficiaries 525 25.48
219
Kannur District
Table 6.16 CMP Kits and Milking Machines suggested under NPDD for
Kannur District
Total
Sl. No. of Unit
Component Cost (Rs
No. Units Cost (Rs)
in lakh)
1 Stainless steel utensil kit/accessories 1500 400 6.0
2 Electricity operated milking machine
& other equipments for hygienic milk 15 55000 8.25
handling at village/farmer level
3 Manual milking machines 50 6000 3.00
Total (7.0) 0 17.25
220
Kannur District
221
Kannur District
222
Kannur District
223
Kannur District
224
Kannur District
225
Kannur District
Table 6.22 Milk Collected from Kannur District, Milk Value for 21 Days
Average Total Milk Total Milk
Milk Procurement (LLPD)
Milk Value Value
Days
2013-14 2014- 2015- 2016- Price (Base Year) (EOP)
(Actual) 15 16 17 (Rs.) (Lakh) (Lakh)
226
7. KASARAGOD DISTRICT
Contents
Kasaragod District
228
Kannur District
229
Kannur District
Executive Summary
230
Kasaragod District
231
Kasaragod District
Amount
Component (Rs in Lakh)
Milk processing and packaging 282.00
Milk marketing 462.50
Milk procurement 178.85
Cattle sheds and farm mechanization 80.00
Cattle induction 92.55
Establishment of labs 32.00
CMP kits 17.65
Technical input service 28.20
Information and communication networking 115.80
HRD 57.45
Working capital 189.60
Total 1536.60
232
Kasaragod District
233
Kasaragod District
200000
N u m b ers
150000
100000
50000
0
1996 2003 2007 2012
Total Cattle 192866 143637 82604 87824
Cows in milk 45261 38541 25525 19200
Buffalo in milk 3943 463 800 1400
234
Kasaragod District
90
80
70
M ilk '000M T
60
50
40
30
20
10
0
97-98 2001-02 2004-05 2008-09 2011-12
70.62 81.66 66.14 88.17 51.94
235
Kasaragod District
The BMCs installed in DCS apart milk chilling in the district during
236
Kasaragod District
236
Kasaragod District
place by mixing the old and new not difficult to foresee that the
237
Kasaragod District
238
Kasaragod District
239
Kasaragod District
LPD in the next five years. And efficiency. Hence they are to be
there is little scope to divert the replaced.
milk until the newly planned
b. SS Pipes and Fittings In
Kannur Dairy is commissioned.
order to provide additional milk
Moreover, the supply demand
lines and cleaning lines for the
position in Kasaragod is in favour
new equipments additional SS
of market expansion and larger
pipe lines and valves are
coverage. Considering the above
required.
requirements it is suggested to
enhance the processing capacity to c. Pasteurizer - The existing
50,000 LPD in a phased manner pasteurizer is giving lesser
(as suggested in table 7.4). throughput due to prolonged
usage. Heat transfer efficiency
a. Milk Pumps - Three milk
is very low and the spare parts
pumps available at Dairy are
of the pasteurizer are not easily
very old and of very poor
Table 7.4 Equipments and Machineries Suggested for Kasaragod District
under NPDD
Total
Sl. Milk Processing & Marketing No. of Unit Cost
Capacity Cost (Rs
No. Equipments Units (Rs)
in Lakh)
1 Milk pump 10 KLPH 3 50000 1.5
2 Horizontal milk storage tank 10 KLPH 0 500000 0
3 SS pipes and fittings Lot 1 500000 5
4 Pasteurizer 10 KLPH 1 2500000 25
5 Homogenizer 10 KLPH 1 6000000 60
6 Tri-purpose centrifuge 10 KLPH 1 3500000 35
7 Automatic CIP system 20 KLPH 1 4500000 45
8 Cream pumps 5 KL 1 300000 3
9 Pouch filling machines 5000 PPH 1 1000000 10
10 Cold store (including equipments) 5 TR 1 2500000 25
11 Deep freezer room 8 TR 1 3500000 35
12 Date coding devices for pouch 60
filling machines imp/mnt 5 150000 7.5
13 LT electricals LS 1 3000000 30
Total 282
240
Kasaragod District
241
Kasaragod District
242
Kasaragod District
Table 7.5 Progress in Sale of Milk and Milk Products in Kasaragod, 2013-14
Quantity
No. Milk/Product
2009-10* 2013-14
1 Liquid milk (LPD) 43280 44193
2 Curd (Liter/day) 2805 3568
3 Ghee (Kg/month) 10910 12149
4 Ice cream (Liter/month) 570 2229
5 Butter milk (200 ml Pkts./day) 4076 5613
6 Milk peda (Kg/month) 397 728
7 Sip up (Pkts./month) 14859 10265
8 Palada (Kg/month) 150 486
9 Milma plus (Bottles/month) 706 2591
* Previous benchmark
243
Kasaragod District
per capita consumption among the substitute milk powder for milk.
rural population in Kasaragod is The entire institutional segment is
151 ml and urban 174 ml per day. catered to by the private dealers
The market size is shown in table from within and outside the State.
7.6. The low market share of Milma is
sufficient justification for NPDD
The total estimated market in
support to develop a business plan
Kasaragod is huge, 1.68 LLPD
and marketing strategy for the
while the MRCMPU marketed
district.
44,193 LPD and their competitors
13,000 LPD adding up to 57,193
7.6.5 Milk Marketing
LPD leaving a gap of 1.22 LLPD.
Infrastructure Current
The market share of Milma is just
Status
under 26 per cent of the market
Table 7.7 presents the various
size which is low. The market
support infrastructure and
share of competitors at six per
logistics available in Kasaragod
cent seems to be under estimated.
for market promotion.
The survey shows that a small
segment of the population, 13 per
cent rural and 10 per cent urban,
244
Kasaragod District
245
Kasaragod District
246
Kasaragod District
247
Kasaragod District
and milk products, are effective in shall be started under the NPDD.
publicizing. The few number of The new franchises shall be
Shoppe now functioning in provided a subsidy of Rs 5 lakh to
Kasaragod are inadequate to serve establish and furnish the Shoppe
the urban population. Therefore it and to meet the rent during the
is suggested that five new Shoppe initial period.
248
Kasaragod District
249
Kasaragod District
250
Kasaragod District
Farmer
Milk
KGD DAIIRY
Key words: BMC DCS Dairy Cooperative Society having Bulk Milk Cooler;
Cluster DCS - DCS attached to BMC for milk supply; Direct DCS DCS
supplying milk to Dairy; KGD Kasaragod.
251
Kasaragod District
turn delivers the milk to the removed from the DCS roll due to
nearest BMC. The BMC chills and the cumbersome mandatory
delivers the milk to the Dairy. The procedures. The average
direct DCS supply milk direct to procurement per DCS was 348
dairy dock. The Dairy in turn LPD and per supplier 9.1 LPD
process and market the milk in during 2013-14. The local sale,
towns and other urban 9773 LPD, accounts for 22 per
agglomerations within and outside cent of the daily procurement
the district. The whole chain of indicating healthy production
activities - procurement, trend in the rural areas. The rate
processing and marketing - is well of procurement is appreciable in
orchestrated and well executed. the light of Kerala standards.
However, the DCS classified
A majority of the DCSs in
according to the daily procurement
Kasaragod are Anand Pattern
shows that 11 DCS were collecting
Cooperative Societies (APCOS).
less than 100 LPD and yet another
They are producer cooperatives
30 DCS between 100 and 200
managed by a democratically
LPD. The study shows that those
elected Board of Directors. At the
DCS are not economically viable.
close of March 2014 the district
The reasons for poor procurement
had 128 functional APCOS. In
rate are that they are not in ideal
addition there were 5 non-APCOS
locations, non-potential suppliers
directly under the department of
are inducted as members and the
Dairy Development.
farmers have other options for
Table 7.9 shows the profile of the selling milk. The relocation of
252
Kasaragod District
253
Kasaragod District
Parameter Values
Fat % APCOS 5.1
Fat % non-APCOS NA
SNF % APCOS 8.4
SNF % non-APCOS NA
Av. MBR time BMC DCS (Mts.) 127
Av. MBR time direct DCS (Mts.) 133
No. of APCOS using/supplied AMCU 104
No. of APCOS using/supplied Milk O
34
tester & LR
No. of APCOS using/supplied Gerbers
7
test & LR
254
Kasaragod District
255
Kasaragod District
256
Kasaragod District
257
Kasaragod District
comfort. The shed should have time (no grazing). The hind
adequate space for the animal, quarters and the udder often
manger, feeding alley, urine and remain soiled by dung and mud.
dung channel. The shed must be Udder and teat injury is common.
sheets interspersed with opaque for good cattle shed is the most
258
Kasaragod District
259
Kasaragod District
260
Kasaragod District
261
Kasaragod District
262
Kasaragod District
under NPDD. On the other hand, Milking machines are also very
the stainless steel utensils (the beneficial to the farmers. My field
milking utensils and carrying exposure visits shows that almost
vessels) supplied are being used by all recipients of the machines
the farmers and they whole under the IDDP/SIQCMP schemes
heartedly welcome the component. regularly use them although
It is suggested that those continuous service back up is
equipments may be supplied to the essential. It is suggested that nine
farmers under the NPDD also. The numbers of milking machines may
numbers suggested and the be supplied to the farmers
financial requirement is given in possessing five or more cows at
table 7.17. subsidized (75 per cent) rate under
Table 7.17 CMP Kits and Milking Machines Suggested for Kasaragod
District under NPDD
Total
Sl. No. of Unit Cost
Component Cost (Rs
No. Units (Rs)
in Lakh)
Stainless steel utensil kit/
1 1600 400 6.40
accessories
2 Electricity operated milking
machine & other equipments for
15 55000 8.25
hygienic milk handling at
village/farmer level
3 Manual milking machines 50 6000 3.00
263
Kasaragod District
Financial
Physical Union/
Component IDDP/ Total
Achievement Beneficiary
SIQCMP
Tech input services 200 25.6 10.97 36.57
264
Kasaragod District
services through Milk Union and added crop in irrigated land. The
DCS will be beneficial both for the fodder so produced shall be
state exchequer and the farmers. marketed among the DCS
This is often told but not done. members at cost price. The scheme
Hoping that this will happen none shall be a flagship program of
of those schemes handled by the NPDD.
line departments/NDP scheme is
included. The following components 7.13 Information and
are suggested to be included under Communication
NPDD as a priority component. Technology Networking
The most essential components
are listed in table 7.19. The MRCMPU apart from a
farmers organization is also a
The LN containers included are for
multi crore business concern. Its
replacement of the ones being
business units are far flung and
used in AI Centers. Since they are
widely distributed. To keep abreast
covered under NDP the facility can
with the speed and perfection of
be used under that scheme. The
modern business in full the
animal input camps include
utilization of information and
fertility management of dairy cows
communication technology is
among farmers. It is a DCS based
essential. It is also essential that
program centrally controlled and
the whole business is transparent
monitored from HO of MRCMPU.
to the stakeholders, the farmers.
The conventional homestead
Unfortunately, the Milk Union is in
fodder production is a failed
the infantile stage of exploiting the
attempt in Kerala. The reasons are
IC technology. At present the dairy
many, the most important being
and associated activities are
the land fragmentation and the
partially computerized and
decline in farming activities. On
networked (intranet). The Milk
the other hand, large land
Union proposes to expand the IC
holdings and fallow land are
so that the system will function as
potential source for fodder
a client server architecture
production fodder as a value
265
Kasaragod District
266
Kasaragod District
267
Kasaragod District
farms. The farmers were given 27. All out and comprehensive
opportunities to see for themselves training on Mastitis
the success and failure stories. Eradication, Clean Milk
Production for farmers,
The training for MRCMPU
Village Extension Workers
employees is arranged by the Head
and DCS employees should
Office in the institutions of repute
be initiated on a project mode
in India, both inside and outside
and results closely monitored
the state. An interaction with a
and evaluated.
test group showed that the
28. The Dairy Managers,
trainings were useful for upgrading
Production Officers and
their skill and knowledge.
Marketing staff should be
268
Kasaragod District
269
Kasaragod District
Table 7.23 Actual and Calculated Milk Value for 21 Days in Kasaragod
District
270
Kasaragod District
271
Kasaragod District
Table 7.24 Working Capital Requirement for Three Years from 2014-15 for
Kasaragod District
Annex-1
Information and Communication System - NPDD
The NPBBDD System will function as a client server architecture network with Six
centers at each district (Palakkad, Malappuram, Kozhikode, Wayanad, Kannur,
Kasaragod) and a central server system linking all these six centers with the following
objectives.
(iv)
Kasaragod District
(v)
Kasaragod District
With the help of oracle web logic suite which can be used for
the clustering of data that enables scaling of applications with
high availability of data to the users for processing and can
deploy on cloud environment. This is a Server software
application that runs on a middle tier, between back-end
databases and related applications and browser-based thin
clients. Web Logic use to develop to connect users in a
distributed computing environment and to facilitate the
integration of applications with distributed corporate data and
applications.
Lease line cost for the interconnectivity between Dairies and its
Subcentres (including MCC/MCP/Depots) for centralized management
and availability of data at any time from any locations under the units of
MRCMPU.
(vi)