Amul is paying procurement price of Rs 5 per litre milk more than any other private company
Milk Producers Cooperative Society of Anantapur Milk Dairy, which downed its shutters owing to indebtedness to farmers and corporate customers payment dues to the dairy six months ago, is likely to be revived by the Gujarat-based Amul Milk firm in another month. The dairy, which once ruled the roost collecting one lakh litres of milk is now in financial doldrums with its milk collection dwindling to 2,000 to 3,000 litres of milk per day.
The dairy downed its shutters unable to pay staff salaries and with crores of rupees debts staring at it including the dues it owed to farmers and corporate dues to dairy also being responsible for the steep decline of the dairy. The dairy was selling 1 lakh litres of milk per day in 2008 declined to 25,000 litres by 2017 and to 500 litres by 2020.
Under the government revival plan, involving Amul, milk procurement will start through Rythu Bharosa Kendras (RBK). Each RBK will procure milk from 4 villages around the RBK. The district is producing 12 lakh litres annually. Procurement will shoot up by Amul as it is paying Rs 5 per litre more than any other private company. Presently Amul is merely collecting milk by containers and taking them to Gujarat state.
If it decides to make use of the existing milk dairy infrastructure, it is also free to use the machinery and sell them locally. The district farmers are eagerly awaiting the Amul take over and restarting its milk procurement which benefit the farmers as its payment is said to be the highest.