CONTENTS
- Golden Jubilee Celebration of GCMMF and Amul’s Success: Prime Minister’s Highlights
- e-Kisan Upaj Nidhi
Golden Jubilee Celebration of GCMMF and Amul’s Success: Prime Minister’s Highlights
Context:
The Prime Minister participated in the Golden Jubilee celebration of the Gujarat Cooperative Milk Marketing Federation (GCMMF) and emphasized the remarkable success of Anand Milk Union Limited (Amul), which is a product of GCMMF.
Relevance:
GS III: Agriculture
Evolution of Amul: Nurturing the White Revolution
Founding Years (1946-1950):
- Established in 1946 as the Kaira District Co-operative Milk Producers’ Union Limited in Anand, Gujarat.
- Founded by Tribhuvandas Patel with crucial support from Morarji Desai and Sardar Vallabhbhai Patel.
- In 1950, transitioned into Amul (Anand Milk Union Limited), a brand representing cooperative-produced dairy products.
Cooperative Empowerment Model:
- Pioneered the Anand Pattern, an economic organizational model emphasizing collective action for small producers.
- The model integrates producers for scale benefits while preserving individual decision-making autonomy.
International Recognition:
- Amul’s success story became a global reference in cooperative economics and rural development.
- Garnered attention for effectively empowering small producers through a cooperative framework.
- White Revolution Catalyst (1955 onwards):
- Integral role in India’s White Revolution, geared towards self-sufficiency in milk production.
- Initiated the White Revolution with the introduction of milk powder manufacturing in 1955.
Global Presence and Impact:
- Over 50 countries receive Amul products, highlighting its global export footprint.
- Network encompasses 18,000+ milk cooperative committees and 36,000+ farmers.
- Daily processing capacity of over 3.5 crore litres of milk and facilitating online payments exceeding Rs 200 crores to livestock breeders.
India’s White Revolution – Operation Flood: Transforming Dairy Dynamics
Foundations of Change (1965):
- National Dairy Development Board (NDDB), chaired by Verghese Kurien, established in 1965.
- Objective: Revolutionize India’s dairy sector through innovative strategies.
Launch of Operation Flood (1970):
- Operation Flood initiated in 1970, also known as the White Revolution.
- Inspired by the successful “Anand Pattern” to connect rural milk producers with urban consumers through cooperative models.
Key Achievements:
- India became the world’s largest milk producer.
- Significant enhancement in milk production and management efficiency.
Operational Phases:
Phase I (1970-1980):
- Financing through European Union’s milk powder and butter oil.
- Connected 18 milksheds with major cities.
- Laid the foundation for village cooperatives.
Phase II (1981-1985):
- Expanded to 136 milksheds and 290 urban markets.
- Established 43,000 village cooperatives, covering 4.25 million milk producers.
- Promoted self-reliance in milk powder production.
Phase III (1985-1996):
- Strengthened infrastructure for milk procurement and marketing.
- Emphasized veterinary healthcare, feed, and artificial insemination.
- Expanded to 30,000 new cooperatives, peaking at 173 milksheds.
Post-Operation Flood (1991 onwards):
- Liberalization reforms allowed private participation in the dairy sector.
- Introduction of Milk and Milk Products Order (MMPO) in 1992 for regulation and oversight.
- MMPO aimed at maintaining and increasing milk supply.
Industry Dynamics:
- Initial phase marked by unregulated dairies and concerns of adulteration.
- Growth in processing capacity driven by large private players.
- Sector witnessed significant expansion and modernization.
Current State of Indian Milk Production
Production Leadership (2021-22):
- India ranks first globally in milk production, contributing 24% of the world’s output.
- Over the last decade, milk production has surged by nearly 60%, with a corresponding 40% increase in per capita milk availability.
Top Milk-Producing States:
- Leading states in milk production: Rajasthan, Uttar Pradesh, Madhya Pradesh, Gujarat, and Andhra Pradesh.
- Rajasthan tops the list, emphasizing regional contributions.
Sector Growth and Global Comparison:
- Indian dairy sector experiences a robust 6% annual growth, surpassing the global average of 2%.
Dairy Exports (2022-23):
- India exported 67,572.99 Metric Tons (MT) of dairy products globally, valued at USD 284.65 million during 2022-23.
Challenges in the Indian Dairy Sector:
Low Milk Yield:
- Milk yield per animal in India falls below the global average.
- Attributed to factors like poor-quality feed, traditional cattle breeds, and inadequate veterinary care.
Logistical and Handling Challenges:
- Issues in milk collection, pasteurization, and transportation.
- Handling concerns in informal dairy setups impact milk safety.
Adulteration Concerns:
- Adulteration of milk remains a persistent challenge due to quality control difficulties.
Price Disparities:
- Milk producers receive lower purchase prices compared to market rates, affecting profit distribution in the value chain.
Livestock Health Issues:
- Frequent outbreaks of diseases like Foot and Mouth Disease, Black Quarter infection, and Influenza impact livestock health and productivity.
Crossbreeding Limitations:
- Limited success in crossbreeding indigenous species with exotic stocks to enhance genetic potential.
e-Kisan Upaj Nidhi
Context:
Recently, the union Minister for Consumer Affairs, Food & Public Distribution, Commerce and Industry and Textiles launched ‘e-Kisan Upaj Nidhi’ (Digital Gateway) in New Delhi.
Relevance:
GS II: Government Policies and Interventions
Dimensions of the Article:
- e-Kisan Upaj Nidhi Platform: Facilitating Farmers’ Post-Harvest Storage
- About Warehousing Development and Regulatory Authority (WDRA):
e-Kisan Upaj Nidhi Platform: Facilitating Farmers’ Post-Harvest Storage
- Digital Gateway: e-Kisan Upaj Nidhi is a digital platform operated by the Warehousing Development and Regulatory Authority (WDRA).
- Objective: It simplifies the process for farmers to store their produce at any registered WDRA warehouse for up to 6 months, offering an attractive 7% interest per annum.
Key Features:
- Digital Process:
- The platform leverages digital technology for a streamlined and simplified process.
- Aims to alleviate distress sales by providing farmers with viable post-harvest storage options.
- Interest Rate:
- Farmers opting for storage through this platform benefit from a competitive 7% interest per annum.
About Warehousing Development and Regulatory Authority (WDRA):
- WDRA was established under the Warehousing (Development and Regulation) Act, 2007.
- Consists of one Chairperson and two full-time Members.
Mission:
- Establishment of a negotiable warehouse receipt system in the country.
- Promotion of warehouse receipts as a primary tool of trade and facilitation of finance against it.
- Improvement of the quality of lending portfolios for banks.
- Enhancement of interest in lending against goods stored in warehouses.
Functions:
- Issuance of negotiable warehouse receipts to help farmers secure loans from banks.
- Mitigation of distress sales during peak marketing seasons.
- Prevention of post-harvest storage losses.
Commodity Coverage:
- WDRA covers 136 agricultural commodities for issuing negotiable warehouse receipts, including cereals, pulses, oilseeds, spices, rubber, tobacco, and coffee.
- Additionally, 24 horticultural commodities are covered for cold storage, along with 9 non-agricultural commodities.
