DAIRY

DEVELOPMENT IN
KARNATAKA
 CHAPTER V -
DAIRY DEVELOPMENT IN KARNATAKA

Animal husbandry sector in modern time to produce improved

bullocks for agriculture, to increase per capita available good poultry, to
provide better veterinary aid and to increase the nutritional level of
livestock forms an integral part of agriculture. The integration of farming
with animal husbandry facilities, better utilization of farm by - product,
maintenance of soil fertility and better utilization of man and animal power
increases the rural incomes.

Karnataka State is endowed with significant assets of livestock

wealth which in its number and variety could be compared to any other
state in the country. The multitude of livestock depended on ~cientificleves
would not only provide protein of high quality which is so urgently need at
present but also promoti socio-economic progress of weaker sections of the
society.

The state has some famous breeds of cattle and sheep, The 'Hallikar'
and 'Arnritrnahal' cows are famous in the country for their drought quality
and the 'Khilari' breed in Dharwad and Bijapur districts is also known for
draught purposes. Another important breed 'Cenoi' is found in parts of
Bidar and Gulbarga districts known for milk and braught purposes.
Buffaloes form an important component in milk production and also
agriculture operations, .Buffdoes in Dharwad and Bijapur districts are
superior milk producers. The state has four breeds of sheep namely
Bellamy, Dharwad, Hassan & Bannur.
 Dairy Development Programme is one of the important programmes
and it has kept pace with the cattle development programme. The
government dairies and the rural dairy centers in the state offer the milk
produced in the rural areas assured marketing facilities for the milk
produced throughout the year balanced cattle feed, helping the ryots to
grow the required green fodder in their fields etc. In a nutshell these centers
are doing all the spadework at the field level to build up the dairy industry
for the welfare of the farmers engaged in dairy development activities.

5.1 MOTHER DAIRY :BANGALORE :

Mother dairy, Bangalore, a unit of KMF, is set up by NDDB on
07.12.1984. The dairy has a unique nature of homogenising the milk and
selling to its consumers through 92 Automatic Bulk Vending Booths and 92
FRP tanks. The dairy also caters milk in sachets and milk products
through its 209 retail outlets.
The average sale of milk per day is 2.08 lack ltrs. during the year
2005-06. The entire requirements of milk is procured from Kolar Milk
Union. The dairy produces Butter, Ghee ,Curds ,Icecream and skim milk
powder. The activities of all on the departments and Moiher Dairy are
being out through an on-line computer system.
Karnataka Cooperative Milk product Federation ltd (KMF)is the
Apex Body in karnataka representing Dairy Farmer's cooperatives. It is the
third largest dairy co-operative amongst the dairy cooperatives in the
country. In South India, it stands first in terms of procurement as well as
sales. One of the core functions of the Federation is marketing of milk
products. The brand "Nandini" is the household name for pure and fresh
milk of milk products.
 KMF has 13 milk unions thought the state which procure milk fiom
Primary Dairy Cooperative Societies (PDCS)and distribute milk to the
consumers in various Taluk 1 cities / ruwl markets in karnataka.

The fmt ever World Bank h d e d dairy development programme in

the country started in karnataka of dairy cooperative started functioning in
karnatka fiom 1974-75. The Amul pattern with the financial assistance of
World Bank Cooperation Flood I1 & 111. The dairy corporative were
established under the ANAND pattern in a three tier structure with the
village level dairy cooperative farming the base level, the district level milk
unions at the Karnataka Milk Federation as the Apex Body to coordinate
the growth of the sector at the state level.
Co ordination of the activities among the unions and developing
market for milk and milk products is the responsibility of KMF. Marketing
milk is a respective jurisdiction is organized by the respective milk unions.
Surphs / deficit of liquid milk among the member milk unions is
mentioned by the Federation. While the marketing of all the milk products
is organized by KMF , both with in and outside the State, all the milk and
milk products are sold under a common brand name 'NANDINI'.
The Growth Produces : The events over the years and activities
undertaken by KMF is from sumrnerised briefly here under.
 Table 5.1
SI. Particular lb& 197677 2005-06
No.
1. Dairy Corporative Nos 416 10132
2. Membership -6'- 37000 1809519
3. Milk Procurement Kgdday 50000 2965667
4. Milk Sales Ltrslday 95050 1806494land
1.2 ltr PD
5. Cattle Feed Consumed KgsDcs 220 1769
6. Daily payment fanners Rs.Lakhs 250 258
7. Turnover Rs.Crores - 1753.00

World Bank study highlights that villages with dairy cooperative

societies are much better off than those without, household, with milch
animals are economically better than their counterparts, women had better
control in terms of milk money than the other household income, milk had
acted as a catalyst and transforming the socio- economic impzct of the rural
economy and household belong to lower income brackets shows positive
impact in climbing the economic ladder grow in terms of landholding and
caste.

Milk was supplied to underprivileged through Women and Child

Welfare Department , the cost while millstone project was started during
the year 1973. Under the assistance fiom the Govt, of Karntmataka. Out of
80,000 beneficiaries mainly children, more than 70 percent belonged to
SCIST, the product of grand milk protein enriched millstone. Which was
started in year 1973 , was discontinued and Sterilized Flavoured milk was
introduced in its place during the year 1992.
 Nandini Badam powder, introduced during Jan 2000 , is being
exported to Singapore in 200 gm packs, Badarn powder in iOgm pouches
was also introduce during September 2002.

5.2. Red Dane Proiect :

The Red Dane Project 'Hesaraghatta' was started in the year 1964 as
Indo-Danish Project with the collaboration of the Government of Denmark
with the following objectives :

a. Demonstration of modern methods of dairy farming with high

yielding exotic animals.
b. Upgrading of local cows through semen of pedigree bulls and
distribution of purebred exotic bull produced on the farm throughout
the country.
c, Training of farmers, village level workers veterinarians etc., in the
improved methods of dajling fodder production, preservation and
utilization.
d. Extension of work in selected taluks.

The dairy at the main center (Hesaraghtta) consists of pure Red

Dance herd maintained under ideal conditions for demonatration to the
fanners and also for production of pedigree bulls for distribution within and
outside the State through artificial insemination. Milk production, age at
calving birth, weight and period of lactation are kept under constant watch
to compare the performance of this breed viz., other exotic breeds imported
in this country. This project also provides training facilities for the student
in modern methods of breeding, management and disease control.
9.3. Dairv Cornration :
The bmataka Dairy Development Corporation Ltd., Bangalore was
started in 1974 with an aid of Rs.24 crores fkom the World Bank and the
total capital was Rs.51 Crores to start with. The share are of the
government of India and the government of Karnataka. The project seeks to
develop an integrated programme for increasing milk production in the
rural areas through a seven-year plan of action focusing on quality cross
breeding. Animal health and development facilities of milk collection
processing and marketing

The principal objective is the formation and operation of 1,800

villages Dairy Co-operative Societies @CS) on the model of 'Amul'
project at Anand in Gujarat. This will be beneficial to about 4.5 lakh
farming labour force in the rural areas. Karnataka Dairy Development
Corporation (KDDC) operates through a three-tier structure i.e.

a. Village Dairy Co-operative at village level

b. Co-operative Milk Producers Societies Union (CMPSU) at the
Union level. And,
c. Karnataka Dairy Development Corporation (KDDC) at the apex
after fir11 development.

The total milk production fiom the project would be about 10,00,000
litres per day. Four Unions of Bangalore, Mysore, Tumkur and Hassan
comprising 500 District Co-operative Societies (DCS)each in Bangalore
and Mysore and 400 DCS each in Hassan and Tumkur will manage
provision of technical inputs. Milk collection, processing and marketing a11
controlled by the farmers, assuming the f m e r of year round out let for
their milk at fair prices. The four unions with their own large milk plants
and feed mills would, provide direct employment to more than 1000
technical staff. In addition to this support, the mill transport services would
involve about 200 vehicles. The KDDC and the unions provide essential
technical inputs, animal health services and fodder development in
countries to the producers and their DCS. The KDDC play a key role in
establishment of these societies and unions.

5.4. The Proiect of Dairv Development In Karnataka :

Karnataka falls in to the category of a medium size s@.tein India. In
terms of area it occupies 1,91,791 square Kilometers and holds the
population of 4 million bf which 71 percent are rural land, 29 percent urban
dwellers. The population is predominantly enganged in agricultural
activities and the cultivated area 15 percent of land area is under forest,
56.5 geographical area 15 percent of land area is under forest, 56.5 percent
holdings aare either marginal or small holdings. These marginal or small
holding fanners and also big land holders having agriculture and allied
activaties like dairying poultry, sericulture rearing etc.,
In 1973 the Government of Karnataka prepared a dairy development
project and submitted to the work bank funding. The mission recommended
a dairy development programme inviting the government of India, the
Government of Karnataka and the world Bank.

The objectives of the Dairying Development Project were to develop

an integrated programme for increasing milk production by organizing milk
collection, processing and marketing and by providing a set of technical
inputs for animal health and breeding. The project proposed to undertake
the following activities.
1. To organize 1800 village level dairy co-operative societies
consisting of milk producers, the union of such co-operative societies the
Karnataka Dairy Development Corporation.

2. To establish an artificial insemination programme for cross breeding

of indigenous non-descript native cattle with exotic breeds and for
production of fodder and feeds.

3. To explain the two existing dairying plants construct two new dairy
plants. Four cattle food plants and establishing a system for milk collection,

4. To establish two regional diagnostic laboratories to support the

animal health research of veterinary biological.

5. To provide consultancy services to assist the Karnataka Dairy

Development Corporation in demonstration farms, applied research on
pastures and milk marketing studies.

6. To provide medium term credit for the purchase of crossbreed cattle.

The project covered eight districts i.e., Mandya, Bangalore, Kolar,
Mysore, Tumkur, Hassan, Kodagu and Chickmagalur and was organized in
four milk sheds in Southern Karnataka involving a population of 15
million. The project area comprised about 4,50,000 households in 14,723
villages 18,46,700 operational holdings and an approximate geographical
area of 63,442 sq.kms. The area had 39 percent of the state's Bovine
population i.e. about 5,30,000 cattle about 71.9 percent of the landholdings
were considered as marginal or small farmers i.e. owning less than 2
hectares of land with an average holding of 0.86 hectares, with the large
percentage of marginal or small farmers and landless labourers who are
''too poor to farm". It is natural for them to seek alternative sources of
income like animal husbandry. Land ownership is a significant asset and
may be a crucial
Factor in improving the living conditions of the rural poor particularly if
they own or intend to own cross-breed or upgraded buffaloes.

The aim of the project was to increase milk production by providing

technical inputs at village level, institutions and develop facilities for milk
collection, processing and marketing. As The World Bank, aided project
came to a close extending dairy development project to the entire states
under operation flood including expanding the activities already established
under the World Bank project was taken up. The implementing
organization was also converted from Karnataka Dairy Development
Corporation to Karnataka Co-operative Milk Product Producers Federation
to complete system. (DCS in grassroot level, milk unions at district level or
middle level and a dairy development corporation at the State level) as
proposed under Anand Pattern and the K.M.F. was vested with the
responsibility of implementation of I1 project under the World Bank aided
project the following activities were accomplished.

1. Establishment of 1800 DCS Unions milk producers co-operative

unions and the Karnataka Dairy Development Corporation.
2. Artificial insemination programme and cross brkeding the native
village cattle with high producing exotic breeds.
3. Provision of medium term credit for purchase of crossbreeds.
4. Provision of consultant service to assist KDDC in demonstration
farms.
5,5. The Anand Pattern of Dairv D e ~ t l o ~ m e n t
The basic design of the Anand pattern is quite simple milk producers
of a village are organized into a village milk co-operative managed by their
elected representatives. These elected representative can only be producers
the villages societies are federated into a district union run by the elected
representatives of the village societies. The unions in turn are federated into
a state dairy federation which is managed by the elected representatives of
the district unions who are themselves elected by the village co-operatives.

The district unions provide all the inputs required by the farmers to
increase their production. These include artificial insemination feed,
veterinary cover etc. The union employed are, to repeat employees of the
fmers the role of the government is to supervise, guide, encourage and
where necessary to correct the co-operatives when they go wrong.

The basic philosophy of the Anand pattern is to combine India's

greatest asset, the powers of its people with professional management in a
vertically integrated co-operative structure that establishes a direct linkage
between those who produce the milk and those who consume it, either as
milk or milk products, eliminating all the middlemen. This structure
transfer to the producer the largest share of the consumers rupee, creating
the incentive to improve production. It supports production by exposing
farmers to modernity, By placing the farmer in command, as the owner of
his co-operative it involves him in the process of development. The
democratic from of the co-operative provides an underpinning for
democracy in the countsy through a foundation of democratic institutions
right down to the village level.
 . Emenence of Anand Model : .
~ 6The
The milk producer in the kaira district of Gujarat had revolted
@st the exploitation by middlemen just before Independence, they
brgmbed milk producer co-operative societies in the village level the
marketing of milk produce by them and also for improving the productivity
of the cow applying technical inputs programme viz., artificial
insemination, health cover, extension service etc. One dairy plant has also
been established to manufacture milk products from surplus milk. And the
milk processing facilities were expanded time to time as the organization
and strength of co-operative went up.

The organizational set up has proved most successful in increasing

milk production as well as improving the socio-economic status of the milk
producers. This system known as the "ANAND MODEL" has been
adopted by the government of India as the proper on for dairy development
work throughout the country.
9.7. Oneration Flood ;
"Operation Flood the largest dairy development programme ever
undertaken in the world, was initiated closely on the heels of the 'Green
Revolution' in this country against the backdrop of a huge surplus of milk
products in the highly developed milk producing countries in the West".

Operation Flood is the expression, describing the generalized

application, on a national scale of the experience gained fkom the
establishment and successful operation of the co-operative dairying venture
known as 'Amul' at Anand in the Kaira district of Gujarat.

The General Principles underlying the programme are basically

simple; their specific application to the dairy sector involving the
progressive establishment on a nation wide basis of vertically intergrated
milk producers co-operative of the Arnul veriety.

Broadly, the objectives of the programme are as follows:

1. To, facilitate a progressively increasing level of milk consumption
and dairy products in the country at large, and the urban areas in
particular, at a pAce that ensure a fair return to the primary producer
that is not simultaneously at the expense of the final consumer.
2. To, initiate and implement measures aimed at raising the output of
the dairy sector by both encouraging organized dairying and
improving productivity, So, that higher national consumption can be
achieved on the basis of domestic production of the dairy and related
sectors and not imports.
3. TO, effectively integrate the short and medium term apec*i of the
programme with the long run goal of modernizing the dsiv sector in
 all its aspects, establishing basic inhistructure and laying a
permanent basis for future productivity gaine.

The National Comission on Agriculture in their inter in report on

milk production recommended that benefits of increasing demand for milk
a large cities towns and industrial areas should go to small and marginal
f m e m and landless labourers. Every effort should be made to promote as
much as milk production possible through this section of rural population.
The Commission suggested an integrated rural development approach
based on a system of producers' co-operatives as developed in kaira district
of Gujarat. As a result the 'National Dairy Development Board' was set up
in 1965 with Dr.V.Kurien as the chairman. It was an autonomous technical
consultant to the government of India in matters relating to animal
husbandry and dairying;

Four years later when European Milk Producers decided to off-load

their excess stocks of milk products by gifting them to other countries
including India. Kurien decided to accept this gift and channelise it to boost
indigenous production which would initially fblfil the needs of four
metropolitan cities, Bombay, Calcutta, Madras and Delhi and subsequently
-
the entire country. Thuss began "Operation Flood I"

5.7.1. O~erationFlood I :-
Operation Flood - I programme was taken up by the Government of
India in 1970 deciding to accipt from the world Food Programme ( W P )
126000 tonnes of skim milk power and 42,000 tonnes of butter oil fiom
1970 to 1975 as gift. The gift commddities were donated by the European
Economic Community (EEC)
Obiectives :
The objectives of operation flood scheme were:
1. To capture a commanding share of milk marketers in the four
metropolikn cities of Bombay. Madras, Delhi and Calcutta.
2. To develop 18 hinterland milk sheds (in 10 states) by organizing
dairy co-operatives on the Anand Pattern and encourage farmers to
supply as much milk as they could.
3. To organize andaefficienttransportation system to collect milk from
the villages and send it to the dairies for processing and supply it to
cities.
4. To set up feeder balancing dairies and storage system to convert
excess milk to milk power and butter oil. Store it during the fiesh
season and reconstitute them into milk during the lean season.
5, To increase the yield of milk milch animals
6. To train personnel to plan and operate the services efficiently.

Thus, Operation Flood Scheme aimed at establishing a simple bese

for accelerated development of the national dairy industry.

Generated funds were also wed for increasing organized milk

production and procurement in the rural areas mainly concerned with
supply of milk to the above said four metropolitan cities extended over ten
neighbouring states i.e.Punjab, Haryana, Rajasthan, U.P,Bihar, West
Bengal, Tamil Nadu, Andhra Pradesh, Maharashtra, Gujarat and union
Territory of Delhi.

Already 14.6 million rural milk producers and their families

benefited from operation flood scheme. 18 rural milk sheds in ten states
were subsequently created, to cover nine more milk sheds were the
nfrastructure for the procurement to milk produced in rural areas. The
h a n d Pattern types ofm-operatives were created in the milksheds in the
ibove mentioned ten operated feeder balancing dairies cattle feed
:ompounding plants the animal health care facilities the artificial
insemination and the extension of services are linked to a modern mil
transportation system.

After the implementation of Operation flood - I in the four cities, the

procurement of milk increased to 21 Lakh litres per day (1982-83) from
that of 7 lakh liters of milk per day before Operation Flood-I(1970) the
modern dairies had captured 68 percent of the milk market in Bombay, 50
percent in Madras, 53 'percent in Delhi and 32 percent in Calcutta. The
Operation Flood-I thus, not only assured regular and dependable supply of
milk but also helped in holding its price line in the four metropolitan cities.

But as regards to more substantiative long term objectives of

increasing national milk production and supply Operation Flood-I has not
made much headway. The India targets daily milk production of 810 lakh
litres originally programmed for 1970-80. The total milk production of the
country stood at 30 million(1979-80). The per capita consuniption of milk
there used from 110 grams per day in 1969 to 122 grams in 1979-80.

Despite large scale planning for the project, the Government could
not keep pace with schedule of Operation Flood-I owing to the delay in
arrival of the equipment needed to execution of programmes by the state
and central government concerned non-receipt of SMP and B.O.on 24.

Time and underutilization of expanded capacity of the dairies in four

cities also contributed to M e r delay. By June 1975, the originally
 envisaged crucial data of the project only 38.5 percent of SMP and B.0. has
received. Though the installation capacities of those four city daiies have
been increased to 29 lakh liters of milk per day during Operation Flood-I
the dairies could only collect and process 2 1 lakh liters of mill: per day.

Milk Procurement under the O~erationFlood-I

Growth of village milk producers co-operative and procurement
under the Operation flood - I 1970- 1981
Table 5.2 -
Milk Procurement under the Operation Flood I -
Operation Flood - I
,-_-------1----"--"------------------.----------------------------"

Year No, of Co-op Member Annual milk

Societies Producers Procurement
("000) (million tonnes)
. _ - _ - - - - - - - - - - - C - - - - - . - - - - . - - - - - - - - - " - - - - - - - - - - - - - - - - - - - - - - - - " " - - - - - -

Source :"National Dairy Development Board" Bangalore.

*
..7
Operation Flood-I1 brought under the purview entire state of
Karnataka by expanding the dairy development activities to the remaining
I1 districts of Karnataka. The objectives of the project of Rs. 82.63 crores
was to extend the daily development activities on the Anand Pattern to the
entire state. It was planned to increase the number of DCS from 180 to
5,000 numbers and union from 4 members to 11 numbers. It is also
envisaged to reach the level of processing the milk around i .82 lakh liters
creation of additional processing facilities of strengthening the existing
facilities to the extent of 10 lakhs LPD will be done by establishing new
dairies at Raichur and Bijapur with 60,000 and 50,000 capacity,
respectively and expanding existing Bangalore, Mysore, Belgaum,
Dharwad, Gulbarga, Shimoga and South Kanara dairies. Mother Dairy
Bangalore would be expanded to 4 lakh LPD by third year and it would be
W e r expanded to 6 lakh LPD by the end of 5" year. Besides an
additional 4.35 lakh LPD chilling capacity would gso be created.

Government of India approved the Operation Flood -11 programme

in October 1979 with a total of Rs.485.50 crores over a period of 7 years
(But it was launched in April 1981 as the Operation Flood-I Programme
was extended upto March 1981) This was to be funded by a soft loan of
150 million U.S.dollars from the world Bank money generated from the
dairy commodities gifted by the E.E.C. and by the informal resources of the
Indian Dairy Corporation. The project also envisaged to meet 60% share of
milk market in the urban centers by marketing 18.78 lakh LPD of milk by
the end of project years A cattle feed plant with a capacity of 100 tonnes /
day would be established at Dhanuad.
Implementation Status.
 -
Table 5.3
Project Impacts of Operntion Flood - I1

The above table illustrated that the number of milk producing

families participating in Operation Flood - I1 Programme will increase
from 1.5 millions liters a day in 1984-85. It is hoped that the per capita
availability of milk would increase k m 107 grams in 1977-78 to 144grns
in 1984-85.

Milk Procurement Under the Oneration Flood-I1

Table - 5.4
Milk Procurement under Operation Flood - I1
Year No.of Co-op Member Annual Milk
Societies Producers Procurement
(million tomes)
1981-82 18,422 2,124 1,0147
1982-83 23,496 2,620 1,6133
1983-84 28,6 14 3,116 1,9016
1984-85 34,523 3,632 2,1097
Source :National Dairy Development Board, Bangalore

Obiectives of Oneratidn Flood - I1 :

1. To enable some 10 million rural producer families to build a viable
selfsustaining dairy industry by 1985.
2. To enable the milk producers to a national milch herd of some 14
million crossbred cows and upgraded buffaloes during the 1980.
3, To erect a national milk grid which will link the rural milk sheds to the
major demand centers with urban population totaling some 150
' millions.
4. To erect the infrastructure required to support a viable national dairy
industry including.
a. A national frozen semen system
b. Vaccine production and delivery
C. Indigenous development of dairy processing
 d. Enlarge facilities for indigenous design
e. Provision of manpower development programme
f. Erection of management in for nation
5. To enable milk and milk products to from an appropriate part of stable
nationally adequate diet.

-
5.6.3. Oneration Flood 111:
Operation Flood - 111 has been designed to bring the remaining
major milk markets and milks sheds of the country within 1989-90.

The National dairy programme - I1 was being launched throughout

the country as operation flood - 111. It is also proposed to take up the
leftover activities under Operation Flood - I1 as part of Operation Flood-111,
Thus, a project proposal incorporating the unimplernented part of Operation
Flood - 11 and m e r requirement of dairy development in Karnataka has
been prepared as individual project proposals for each union and
centralized activity. The proposal has been submitted to NDDB and or
appraisal originally in the first week of December 1987 and subsequently
revised to confm NDDB format and resubmitted on 23-02- 1988.
As per proposal, it was proposed to have 700 DCS in 13 Unions
covering 12.11 lakh numbers of farmer members. The estimate milk
procurement was 16.81 lakh Kgs per day average with a peak of 25.25
Lakh kgs/clay. The processing capacity will be 26.40 LLPD (lakh liter per
day) at the end of the project with 65 T.P.D (tones per day). The projected
milk sales will be 14.52 lakh kgslday. Additional 400 TPD cattle feed
capacity will be added. Adequate facilities for input will also be built up in
the form of training centers frozen semen bank etc.,
 -
Obiectivea of Omration Flood 111 :
1. Operation Flood - I11 phase was based on the successll
implementation of Operation Flood - I and Operation Flood - I Operation
Flood - 11, Phase -I covered four metropolitan cities, Delhi, Bombay,
Calcutta and Madras.

2. Phase - I1 of the programme was designed to build on the foundation

laid by operation flood phase- I the operation flood-I11 seeks primarily to
consolidate the extensive foundation laid so far in 136 milk sheds of the
country.

3. Operation Flood Phase411 aimed at increasing rural milk

procurement to a peak of 18.3 million liters much greater emphasis will
therefore be placed on the expanding marketing infrastructure in all major
markets.

Table - 5.5
Milk Procurement under Operation Flood - I11
Year No.of Co-op Member Annual Milk
Societies Producers Procurement
(million tomes)
-
1985-86 42,692 184 26,762
1986-87 49,077 5,097 28,652
1987-88 54,525. 5,666 28,102
1988-89 58,883 6,250 29,090
1989-90 60,825 7,003 35,821
Source :National Dairy Development Board, Bangalore
9.8. Milk Production and Procurement in Karnataka State
In India, Karnataka is one of the leading states as far as milk
production is concerned.
Table - 5.6
Milk Production in Karnataka State
(In lakh Kgs)

:National Dairy Development Board, 2004-05 Bangalore

SOUC~
 MILK PRODUCTION IN KARNATAKA

It could be seen that the milk production is steadily increasing and

increase being very repid since 1981-82. This increase is not ~ n l yattributed
to buffer breeding ghee and management practiced but increased facilities
for milk procurement by Dairy Development Department.
 -
Table 5.7
Milk Procurement by organized Sectors in Karnataka

Year Average Milk Procuremert 1 day (lakh KPD) 1

I I 1
Source :National Dairy Development Board, 2005-06 Bangalon
MILK PROCUREMENT IN KARNATAKA IN ORGANISED
SECTOR
 In the above table it will be interesting to note that milk procurement
per day in the state incriased as shown in the above table. In 1977-78 milk
procurement per day 0.94 lakh LPD.Milk production is steadily increasing
and increase being very low production in the 2.04 lakh KPD 1981-82. The
milk procurement is expected to surge forward with coming years increased
being very rapid since 1989-90. The Annual average milk procurement has
nearly decade doubled during last two years 9.15 and 9.04 in 1990-91. And
1991-92 the average milk procurement in Karnataka region was the years
increase being very rapid since milk procurement.

5.9. Performance Hiahliahts of Karnataka Dairv Develo~ment:

State entirely covered by dairy development.

Elected board in position in 9 unions and Federation
Processing units controlled by respective milk producer's unions.
90% of functioning milk producers co-operative societies earning
profit.
In the last loyears for milk procured Rs.1,980 crores has been paid
to dairy farmers.
At present an average of Rs.1.09 lakhs is paid per day to milk
producers.
High capacity utilization of cattle feed plants
Bulk supplies of SMP WMP to Anny.
Low price spread between procurement and sale prices,
Successful implementation of silvipasture and decentralized nursery
scheme.
Widespred dispersal of cross bred cattle.
Coverage of 2,51,392 noes of women members (17%) and about
2,140,804 noesof landless labourers (17%) under the project.
13. Milk supply to Calcutta Mother Dairy through Railway tankers from
Mother Dairy Bangalore.
14. Successful implementation of State Government aided Dairy
Development Programmes through SCIST Development and
Backward class Development Corporations.