The Assam Government recently signed an agreement with the National Dairy Development Board. Under the agreement, the signatories agreed to establish Rs 2000 crore joint venture.

About the Agreement

• The joint venture to be established can process ten lakh litres of milk. Around six new units will be established. The units are to be established in seven years. The processing unit will collect milk from more than 4,100 dairy cooperative societies. This is to benefit more than 1,75,000 farmers.
• In addition, two manufacturing units are to be established. They are cattle feed manufacturing unit and organic manure manufacturing unit.

Supportive measures by the Government

• The Government of Assam is to provide market subsidies to the milk producers. With this, they will be saved from market fluctuations. Also, the government is creating awareness among the cooperatives to engage in healthy competition.
• The Assam Government is also looking for ways to adopt new technologies in animal husbandry.
• More than 15,000 high milk-yielding Gir cows are to be brought to Assam.

Concerns

The milk production in Assam is dominated by the small-scale milk producers. These small holders have to be pulled into the supply cycle. Also, the milk producers face shortage of feed, late maturity in Indian cattle breeds, lack of education and training, lack of hygiene conditions, poor marketing and pricing.