DAIRY DEVELOPMENT IN INDIA: A REPORT ON STUDY VISIT

Transcription

1 DAIRY DEVELOPMENT IN INDIA: A REPORT ON STUDY VISIT Prepared by: Md. Mashiur Rahman Director General, BARD, & Dr. Kamrul Ahsan Director (Training), BARD AFRICAN-ASIAN RURAL DEVELOPMENT ORGANIZATION NEW DELHI, INDIA November BANGLADESH ACADEMY FOR RURAL DEVELOPMENT COMILLA, BANGLADESH Bangladesh

2 Contents Sl. Page Executive Summary Introduction The Context Current Situation of Dairy Sector in Bangladesh Objective of the Study Visit Justification and Scope of the Study Visit Visit to Different Dairy Related Institutions 7 2 Observations and Results Salient Features of Different Dairy Development Institutes Visited 8 A. National Dairy Plan of India from to B. National Dairy Research Institute 10 C. National Dairy Development Board 16 D. Mother Dairy 23 E. Amul Dairy Development Performance in Bangladesh 34 A. Milk Vita 34 B. Pran Dairy 39 C. Aarong Milk 41 3 Discussions on Development Issues for Milk and Milk Products India Bangladesh 44 A. Short Term Policy (Up to 5 years) for Cattle Development 49 B. Medium Term Policy (6-10 years) for Cattle Development 50 C. Long Term Policy (10 years and beyond) for Buffalo Development 51 4 Conclusion 52 Bibliography 54 Annexure 55 2

3 Executive Summary India is the largest milk producing country. Congenial milk production environment by organizing and improving marginal and small farm holders, developing breed, ensuring sustainable competitive price for milk to the farmers, developing various market driven milk and milk products; keeping steady growth in milk production are the vital achievements of milk and milk product development so far in India during the last 50 years. On the other hand, country like Bangladesh is poor in milk production and over 80 percent of total requirement is met up from import milk. Bangladesh Academy for Rural Development (BARD), Comilla is well-known for evolving a number of rural development models. Livestock development got proper attention in selecting development projects in the past. But livestock development as a component for rural development did not contribute remarkably in those projects except the cooperative based creamery plant project in 60 s which continued upto late 90 s and that was closed mainly due to inadequate supply of milk in the plant. African Asian Rural Development Organization (AARDO) organized a 10 day visit programme to different milk and milk production organizations in India for two senior officials i.e., Mr. Md. Mashiur Rahman, Director General and Dr. Kamrul Ahsan Director (Training) of BARD with the financial support of AARDO and Government of India. The study team visited National Dairy Research Institute (NDRI), Karnal, Mother Dairy, Delhi, Amul and National Dairy Development Board (NDDB), Anand. The study team also visited a Primary Dairy Development Cooperative at Sandesar, Anand. All these events were supported by briefings and guided visits. NDDB was established in 1965 to support millions of poor milk producing farmers of the country to increase milk processing for domestic consumption as well as export the same in abroad under different brands like Amul, Mother Dairy etc. Increasing productivity through scientific breeding, nutrition development, strengthening village based milk procurement system, training and capacity building etc. were the major thrust of the Government of India to lead the country as the leading milk producer in the world. It is realized that the dairy sector of India could create a comprehensive and friendly milk production environment in different states of India. India could ensure constant and sustainable growth in milk production despite of comparatively limited investment from public and private sectors. The country has mega biodiversity and huge bovine population. The production cost of milk is comparatively low in India, which actually the driving motivating force of huge small and marginal farmers with their 2-4 cattle each in most cases. Provide competitive prices of milk to all small producers of milk for longer time. The well coordinated network of milk collection and marketing keep farmers produces market driven. The country has huge untapped milk resources both in cattle and buffalo to explore in future. Because until now only about 17 percent cattle could develop through cross breeding and even this 17 percent could produce more milk in bulk compared to milk produced by rest of the 83 percent indigenous breed of the country. All theses advantages are utilized through well plan with comprehensive policy and commitment of all concerned. There are also a number of weaknesses in dairy sector of India. Among these low productivity of indigenous breed, higher lean-flush ratio, regional imbalance in production and little control over quality milk production are prominent. In addition, inadequate cold chain facilities with respect to huge need, shortage of feed and fodder, continuous reduction of fodder area, low capacity in processing and late sexual maturity of dairy animals are notable in this regard as the future challenges of the country. On the other hand the opportunity for large-scale development of dairy is limited in Bangladesh due to high price of livestock feed and scarcity of grazing land. But there is potentiality for development of smallholders of dairy farming. Small-scale dairy farming has 3

4 increased significantly with the support of credit, feed, veterinary services and provision of selfinsurance systems over the last few years. But still required favorable conditions for small holder cannot be created in the sector for a number of practical reasons. Among that individual milk testing is not carried out at the procurement level in Bangladesh and farmers are paid a flat rate of milk price. Thus, there is no incentive for quality milk supply. Adulteration is common and as a result fat and or SNF (solid not fat) percentage in milk is low. Skim milk powder often has to be added to milk to make up the low SNF level for pasteurized liquid milk. The Livestock Development Policy 2007 of the government identified a number of constraints for milk production in the country of which (i) limited knowledge and technical skills of smallholder dairy farmers, (ii) scarcity of feeds and fodder, (iii) poor quality of feeds, (iv) frequent occurrence of diseases, (v) limited coverage of veterinary services including poor diagnostic facilities are important. In addition, livestock development through the application of science-led methods of breeds and breeding in Bangladesh is still at an initial stage. There is, however, enthusiasm for applying breeds and breeding interventions to enhance livestock performance. Lack of a national breeding policy, use of inappropriate breeds, weak infrastructure (human capacity, national service delivery, breeding farms) and limited technical knowledge are the major barriers for the development of improved breeds. Available high yielding seed materials are mostly exotic and imported. However, not all of these imported exotic species adapt well under Bangladesh climatic conditions. There is a number of promising well-adapted native livestock breeds in the country such as Red Chittagong cattle, Pabna cattle etc. which could be developed into high yielding breeds through cross breeding in a systematic manner. Importation of inappropriate genetic material coupled with indiscriminate crossbreeding and a clear neglect of indigenous breeds has created a situation, where a number of native breeds of livestock are under threat of extinction. There is no regulatory body or National Breeding Act to regulate breed imports, prices of breeding materials, merits and quality of breeds, breeding materials and breeding services. Within the existing cattle breeding services (including artificial insemination), farmers have little or no idea of the merit and quality of the semen being provided to them for insemination. The investment is very poor in this sector. 4

5 1.1 The Context 1. Introduction Livestock sector plays a significant role in Bangladesh economy. Cattle and buffaloes are used for draft power, rural road transport and threshing of crops. Moreover, livestock provides animal protein through milk, meat and eggs for human consumption and dung as fuel and manure. Livestock sub-sector contributes about 3 per cent of total GDP and it employs about 20 per cent of rural labor force. The development of livestock sub-sector has therefore, been considered as an important element for generating income and employment especially in rural areas. There exists a wide gap between total requirement of livestock products like milk, meat, eggs etc. and their current levels of production. Moreover, the gaps between requirement and production are expected to widen due to population growth and more importantly to rapid increase in per capita income. As income rises, the demand for livestock and poultry products increases rapidly. Bangladesh Academy for Rural Development (BARD), Comilla has a long experience in rural development. BARD has been engaged in training, research and action research on rural development since its establishment in BARD has involved in developing different models of rural development for uplifting the socio-economic conditions of the rural poor. The famous Comilla Model of Rural Development was the outcome of this Academy which provided a unique combination of administrative, institutional and physical infrastructures for rural development. Introduction of high yielding varieties through irrigated paddy production was the fourth component of the model, which enhanced the paddy production of Bangladesh from about 9 million metric tons per annum in 60 s to almost 35 million metric tons per annum in The Government of Bangladesh has recently accepted up two of BARD s successful models namely Comprehensive Village Development Programme (CVDP), and Small Farmer s Development Programme (SFDP) for replicating through out the country in phases. BARD took a few livestock development programmes but for a number of reasons it could not be continued for a longer time. For example, in early 60 s with the initiative of BARD a Creamery Plant was established and linked the same with the milk producer cooperators of different villages at Comilla. The products of the plant like Comilla Butter and Comilla Cheese became popular in the country for a long time and discontinued in the late nineties. Inadequate 5

6 supply of milk to the plant, poor management etc. were identified as the causes for closing the production of the plant. 1.2 Current Situation of Dairy Sector in Bangladesh The growth has been most rapid especially for poultry (chicken/ducks) and least for cattle/buffaloes during the period In fact, the number of cattle/buffaloes increased by 2.57 million (mostly during period) over the 23 years after independence of the country. This has led to a decline of cattle/buffaloes per household and per capita by 37.5 and 30.8 per cent respectively over the period. The number of chicken and ducks, on the other hand, increased remarkably (by million between and and by million between and ). The differential growth of livestock and poultry largely reflects the scarcity of grazing land and the scavenging nature of chickens/ducks as well as recent growth spurt of commercial poultry compared to cattle and buffaloes. During the current decade specially the period) poultry population registered a satisfactory growth (over 5 per cent) followed by goats/sheep (around 4 per cent). The growth of cattle/buffaloes, especially cattle, was the most disappointing, which registered a growth of only 0.5 per cent over this period. This has led to a per capita decline in the number of bovine animals, particularly cattle in the country. Due to robust growth of poultry, however, the livestock population registered an overall growth of 4.6 per cent, thereby leading to an increase in the number of livestock per capita over the period. 1.3 Objective of the Study Visit The objective of the study visit to India was to observe and document the salient features of the chain of milk production at the community and farm levels and their processing and marketing of the same at the end. The report is prepared based on the study visit also review of milk production scenario of Bangladesh. The specific objectives of the study visit were to: a) describe about the initiative and intuitional supports to the milk production in India; b) assess the role of community and the farmer s organizations in management of milk production and marketing the same; c) document the market linkage and value chain of milk and milk products at different levels; and d) review the milk production and milk products scenario of Bangladesh in the present situation. 6

7 1.4 Justification and Scope of the Study Visit Dairying is an important economic activity in Bangladesh that provides supplementary income, employment and nutrition to about 3.6 million households in Bangladesh. Dairying is labour intensive. A farm with two lactating cows generates 4,080 hours of labour opportunities every year. Even though per capita milk consumption is low in Bangladesh, domestic milk production is still insufficient to meet the existing demand. In the formal market about 87% milk is imported. The sector s growth rate (2.05%) remains far behind that of the neighboring countries against 4.1% in India and 4.9% in Pakistan. The reasons for such modest growth rate are lack of sound policy, insufficient data on the sector to formulate proper policy, lack of political commitment and less attention and insufficient budget allocation (only 0.3% of national budget), inadequate private investment of this sector and so on. Coordination among the actors in the value chain (farmers, traders, processors and service providers) is very week leading the chain very long with a higher degree of mistrust among different groups. This increases cost and reduces competitiveness. In Bangladesh, pasteruised packet milk sold at US$0.44 per liter against US$ per liter in India in Now the price in Bangladesh is US$ 0.8 per liter which is much higher than that of India. Primary producers in Bangladesh only get about 50% of the consumers price; whereas Indian producers get 74% of the consumer s price. The study visit provided some inputs suitable to incorporate in the development of milk production in Bangladesh. 1.5 Visit to Different Dairy Related Institutions The study visit included orientations on development and establishment milk and milk products of India while visiting different milk plants, research institutes and livestock farms. The study visit was taken place during August, A schedule of the visit is attached in Annexure-1. The programme started with visiting NDRI, Karnal and then Mother Dairy, Delhi; and NDDB, Amul and a Primary Milk Producing Cooperative Society in Anand, Gujarat. In addition, a visit was made to the Ministry of Rural Development, Government of India where Joint Secretary (External Support) provided an introduction to rural development efforts of India. The team visited Head Office of AARDO, New Delhi where Secretary General of AARDO, Engineer Wassfi Hassan El Sreihin welcomed the team and oriented the team about the programmes and facilities of AARDO. The team also visited NIRD, India where a short briefing on NIRD including activities of Agricultural Technological Park of NIRD was provided. Dr. Khushnood Ali, Director (Research), 7

8 AARDO, New Delhi provided all sorts of supports including preparing the programme, arranging air tickets, maintaining contacts with different organizations in Delhi, Haryana, Gujarat of Hyderabad for successful completion of the visit programme. The name of the institutions visited by the team were a) National Dairy Research Institute (NDRI), Karnal, Haryana b) National Dairy Development Board (NDDB), Anand, Gujarat c) Milk Processing Industries i.e., Mother Dairy in Delhi and Amul in Anand, Gujarat; and d) Primary Milk Producer s Cooperative Society at the village level those are linked to milk processing industry During the visit to different places, short briefings on supports and services for milk production in the chain from producers to the end products were made. Moreover, discussions with stakeholders along with supporting paper and documents were the important inputs of the visit. 2. Observations and Results 2.1 Salient Features of Different Dairy Development Institutes Visited The visit to different establishments related to milk and milk products were made during August 2013 in Delhi, Haryana and Gujarat of India. The coverage of the study visit includes National Dairy Research Institute (NDRI), Karnal, Mother Dairy, Delhi, National Dairy Development Board (NDDB) and Amul in Anand and a Primary Milk Producing Corporative Society in Anand. In addition visit included Head Office of AARDO and NIRD, Hyderabad. A. National Dairy Plan of India from to India is the largest milk producer in the world with a production of million tones in which was approximately 17 percent of the world s total dairy production and virtually used for own consumption. Based on the Planning Commission s estimates higher growth in GDP, it is expected that demand for milk is likely to be about 155 million tones by and about 200 million tones by To meet the growing demand it is necessary to maintain the annual growth of over 4 per cent in the next 15 years. Therefore, a multi-state initiative has launched to increase productivity in existing herds through a planned programme for breeding and feeding of cattles. The National Dairy Plan (NDP) has been envisaged with a fifteen-year target of which three to five years are required to produce a more productive animal along with development and expansion of systems to increase milk production. 8

9 The first phase of the National Dairy Plan is to finance over a period of six years with the following objectives: (i) To help in increasing the productivity of milch animals and thereby increase milk production to meet the rapidly growing demand for milk; and (ii) To help in providing rural milk producers with greater access to the organized milk- processing sector. a) Increase of Productivity through Scientific Breeding: Genetic progress over a larger population can be accelerated if breedable animals are bred through artificial insemination (AI) using the semen of a few top High Genetic Merit Bulls. The proportion of milch animal s bread through AI targeted to be raised form 20 per cent to 35 per cent. b) Nutrition: Milch animals produce milk with its genetic potential when these are fed with balanced rations. This approach to feeding positively impacts not only their health and productivity but also leads to a significant decrease in cost of production as feed accounts for about 70 per cent of the total cost of milk production. It helps increasing the farmer s income. NDBB has developed user-friendly computerized software for Ration Balancing. c) Strengthening Village-based Milk Procurement System: Some 70 millions rural households are engaged in milk production, the majority being small and marginal farmers and landless households in India. Dairy cooperatives ensure inclusiveness and livelihoods for small landholders, especially for women. It is desirable that the cooperative sector retains the present 50 per cent share of the marketable surplus handled by the organized sector. d) Training and Capacity Building: Skilled and trained human resources are essential and critical inputs for the successful implementation of the national plan. Facilitating training and development of field personnel are considered an important area for supporting the programme. Capacity building, training and education campaigns to promote technologies and improved practices at village level are also key initiatives of the programme. It is estimated that about 6,00,000 personnel at all levels require training and reorientation under NDP. e) Project Management and Learning: The initiatives under the NDP are dispersed over different geographies. It is therefore, critical to integrate ICT (Information and Communications Technology) based systems in the operations of various activities. 9

10 Implement ICT-based information systems for integration of various activities as well as monitoring and reporting at different levels to carry out necessary analysis and facilitate necessary changes in programme implementation; Carry out baseline, mid-term and project completion surveys and other special surveys/studies; and Facilitate learning and documentation of learning experiences. f) Expected Outputs: The plan would be able to establish Effective monitoring and coordination of programme activities; Timely preparation and implementation of annual plans; and Regular review and reporting of development progress and results. g) Project Area: NDP covers on fourteen major milk producing states, viz. Andhra Pradesh, Bihar, Gujarat, Haryana, Karnataka, Kerala, Madhya Pradesh, Maharashtra, Odisha, Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh and West Bengal. These states account for over 90 percent of the country s milk production have 87 percent of the breedable cattle and buffalo population and 98 per cent of the fodder resources. B. National Dairy Research Institute: The study team visited NDRI, Karnal, Haryana on August The study visit team constituted with Md. Mashiur Rahman, Director General of BARD (Additional Secretary to the Government of Bangladesh), Dr. Kamrul Ahsan, Director (Training) of BARD, Comilla and Dr. Khushnood Ali, Technical Officer, Capacity Building and Development Projects Division, AARDO. Dr. G. R. Patil, Joint Director (Academic) and Dean and Dr. Ravinder Malik, Principal Scientific Officer and Organizer of the Study Visit and other concerned welcomed the team to NDRI at 11 am on the 18 th August After a short discussion on activities of NDRI and also on the activities of BARD, Dr. Patil distributed some booklets of the institute and programme of the visit to the study visit members. The visit included documentations of observations on different units and departments of dairy development. The salient features of the visit are given as follows: NDRI was established at Bangalore in Later on NDRI was shifted to the present location at Karnal in It has two regional stations, one at Bangalore and the other at Kalyani for providing region-specific support suited to their agro-climatic conditions. The institute is also a Deemed University for implementing its educational programmes. 10

11 The goal of the institute is to provide Research and Development (R&D) support for generation and dissemination of knowledge towards improved national milch heard for milk production enhancement, greater productivity of dairy industry and management aspects of the dairy profession leading to the social, economic and environmental benefits to the nation as well as contributes towards manpower development. Picture-1: Dr. G. R. Patil, Joint Director (Academic) and Dean, NDRI, Karnal Presenting the Activities of the Institute on 19 August 2013 The institute is mandated with i) conducting research in the areas of dairy production, processing and marketing, ii) demand driven `Human Resource Development to meet the requirements of dairy industry and R&D institutions, and iii) disseminating innovative dairy production and processing technologies for socio-economic transformations. a. Organizational Structure: In relation with the administration pattern of the Deemed University, the institute is managed through various policies and decision making bodies viz. Board of Management, Research Advisory Committee, Academic Council, Executive Council and Extension Council. The Director is the Chief Executive Officer who is assisted by the Joint Director for managing research, academic and extension functions. The Institute has three major areas of R & D activities viz. i) Dairy Production, ii) Dairy Processing, and iii) Dairy extension/management. All the R &D activities are managed through thirteen Research Divisions and Sections, namely, Diary Cattle Breeding, Livestock Production and Management, Dairy Cattle Nutrition, Forage Research, Dairy Cattle Physiology, Animal Biochemistry, Animal Biotechnology, Dairy Technology, Diary Engineering, Dairy 11

12 Chemistry, Dairy Microbiology, Dairy Extension and Dairy Economics, Statistic and Management at the main station and its two regional stations. The Institute also has an Agricultural Technology Information Centre (ATIC), Krishi Vigyan Kendra and Diary Training Centre and Animal Breeding Research Centre. The institute has infrastructure consisting of central facilities such as Livestock Farm, Forage Research and Management Centre, Animal Health Complex, Model Dairy Plant, Technology Business Incubator, Experimental Diary Plant Consultancy Unit, Library and National Bio-information Centre, Computer Centre. The Institute presently has manpower strength of 153 scientists, 283 technicians, 155 administrative and 580 skilled supporting staff. b. Research and Development: Presently a total number of 72 in-house research projects are in operation. NDRI has close cooperation in getting external funding from most of the leading national funding agencies i.e. Department of Biotechnology (DBT), Department of Science and Technology (DST), National Dairy Development Board (NDDB), National Bureau of Agriculturally Important Micro-organisms (NBAIM), National Fund for Basic and Strategic Research on Agriculture (NFBSRA), Ministry of Food Processing Industries (MFPI), Department of Atomic Energy (DAE), Indian Council of Medical Research (ICMR) and Department of Animal Husbandry and Dairying (DAHD). i) Livestock and Fodder Farm: The institute possesses an elite herd of over 16,000 dairy animals, which mainly included cattle and buffaloes. The institute serves as a nucleus stock of superior germplasm for its propagation and dissemination to various agencies in different states of the country. It also caters to the requirement of milk and experimental animals for various research projects. Surplus milk is utilized for running experimental dairy products. Karan Fries crossbred cows (Tharparkar X Holstein Friesian) development by this institute is currently producing over 4,000 litres of milk per lactation. Further, Sahiwal cows and Murrah buffalo produce over 2,100 litress of milk per lactation. These lactation yields are much higher than the national average i.e. 1,050 liters. The highest peak yields of 44 and 46.5 kg have been recorded in Karan Swiss (Sahiwal X Brown Swiss) and Karan Fries respectively. Through consistent selection, the indigenous cattle breeds i.e. Sahiwal and Tharparkar have been improved and the highest peak yield of 23 and 19.5 kg milk per day have been obtained in these two breeds, respectively. In Murrah, the best buffalo breed of the world, the peak milk yield of 25.1 kg in a day has been achieved. A small flock of indigenous and crossbred goat is also maintained for conducting research and the peak milk yield of 5.4 kg per day has 12

13 been registered. A modern Milking Parlor System and Shelter Management System set up recently at the Livestock Farm serve as demonstration models for the progressive farmers and provide infrastructure for conducting research on various aspects of milk production system, reproductive performance, growth profile and nutritional requirements for quality milch breeds. The entire fodder need of the farm is met by cultivating fodder crops in over 300 hectares of land and under a Revolving Fund Scheme on Seed Production of Fodder Crops, good quality seeds of improved varieties of fodder crops are produced in 40 hectares area and supply to farmers for enhancing the fodder yield. Initiatives have also been taken to modernize the irrigation system by brick lining of irrigation channels for improving the conveyance efficiency of limited quantity of irrigation water available. Systematic and computerized data and records on all aspects of dairy production and management are being maintained and used by students, researchers and the farm managers. The dairy farm of the institute is one of the most modern and well managed farms in the country, which has been serving as model training cum demonstration unit for the benefits of dairy farmer s organizations. Training on scientific dairy farming and consultancy for setting up of commercial dairy farming enterprise is also provided to budding entrepreneurs, banking institutions, NGOs and government agencies. ii) Artificial Breeding Research Center: The Artificial Breeding Research Center (ABRC), has the infrastructure and capacity for managing 146 bulls (Sahiwal, Tharparkar, Karan-Fries breeds of cattle and Murrah breed of buffalo) and is the largest Bull Breeding Center in the country. This center is playing a proactive role in achieving genetic improvement of dairy cattle and buffalo and reproduction management of male animals/breeding bulls, production, processing evaluation and preservation of superior male germplasm, teaching of postgraduate students, training and consultancy on male animal reproduction and dissemination of superior germplasm of cattle and buffaloes. The ABRC maintains the co-ordination with various departments and sections of the institute. The centre has a seminar-cum-class room; Semen Quality Control Laboratory; Germplasm Information Laboratory; Long range Open Bull Exercising Zone; Mist Cooling System for reducing heat stress to breeding bulls. The center has also strengthened the facilities for scientific management of bulls, cryopreservation facility for storage of germplasm, semen processing laboratory, advance training facility on animal breeding and reproduction management and frozen semen technology and dissemination of superior germplasm of cattle and buffaloes. 13

14 iii) Model Diary Plant and Experimental Dairy Plant: The institute has a model dairy plant with necessary equipment and a processing capacity of 60,000 liters of milk per day. This is an ISO 22000:2005 certified plant. The plant has been established with collaboration of NDDB to provide training facilities to B.Tech students and scientists to carry out the scaling up of operations for products and processes developed in research laboratories. The institute has an ISO certified experimental dairy plant with the milk processing capacity of 10,000 liters per day. The plant is extensively used by the students, researchers and scientists for developing new and innovative dairy products. Revenue generated through this scheme is being utilized for development of infrastructure of experimental diary plant. During the year 2011, the experimental diary plant generated a revenue worth Rs. 30,31,198. c. Education: NDRI offers educational programme, which can categorize as follows: i) B.Tech. (Dairy Technology), Masters in thirteen disciplines and Doctoral courses in twelve disciplines during ; ii) E-courses for B. Tech (Dairy Technology) degree. The e- courses for B.Tech degree progarmmes were uploaded for online delivery to various dairy colleges and institutions; and iii) the academic session also attracted many international students (15 Nos.) annually for training and short term education in different areas of Dairying. d. Extension: Extension of products of the institute can be spelled out as follows: NDRI-Industry Meet was held on December 1, At this Meet, 34 technologies development at NDRI were presented before 42 participants from 32 Industrial houses and other stakeholders with a view to focusing for commercialization. The pricing was finalized for initiating commercialization of the technologies viz. functional processed cheese spread, buffalo-milk feta cheese, functional quarg cheese, dietetic misti dahi, buffalo-milk set plain dahi, buffalo-milk set plain yoghurt, cowmilk set plain yoghurt, cow-milk set plain dahi, extended shelf-life functional paneer, long-life milk cake, low-fat gulab jamun mix and Arjun herbal ghee. Entrepreneurship development campaign was launched for transferring some of the technologies that were developed in the field composite dairy foods, One Self Help Group (SHG) namely Nirmal Dhara Mahila Dugdh Samiti was formed in village Taprana and the women members of the SHG were trained for manufacturing of 14

15 quality dairy products. Training was also given on testing of milk and milk products. Women belonging to SHG named as Shagum Bakery were trained for the manufacture of bakery products such as biscuits, buns and cakes. The innovative approach entitled Dairy Education at Farmers Door initiated by NIRD which is being continued in year Under this programme, a team of NDRI scientists including subject matter specialists from production, processing and management groups organize Dairy Education at Farmers Door to various villages on 2 nd Saturday of every month. It organized 272 training programmes (both on campus and off campus) on different aspects of dairying and allied fields of agriculture such as crop production, horticulture, bee keeping and fisheries apart from home science for the benefit of 8969 farmers, farm women, rural youth and entrepreneurs across the country. During , 25,375 farmers from 16 states and one union territory visited ATIC, which also included 216 delegates from 9 different countries. Different technological interventions in the area of nutrition, breeding, physiology and health care were disseminated to 23,375 farmers. It can be mentioned here that 6,478 stakeholders suggested different technological interventions in the area of livestock production management and milk processing. Forty three women empowerment trainings courses and campaigns in the field of dairying and home-science were organized with the objective of creating awareness and enhancing skill in these areas. A new initiative was taken to establish laboratory for women for imparting training to different self-help groups. This lab was established with the objective to create awareness and impart skills in the field to dairy processing and fruit and vegetable preservation and also mobilize these groups to take up vocation in these areas. NDRI organized 57 infertility and veterinary aid campaigns, exposure visits at nearby villages viz., Nasirpur, Nasirpul Tial, Vazidpur, Kulwasheri, Budhakherea and Ganjogarhi. 15

16 Picture-2: Team Visiting the Semen Processing Laboratory of Artificial Breeding Research Center, NDRI, Karnal on 19 August 2013 C. National Dairy Development Board The study team arrived at National Dairy Board (NDDB) in the evening of 21 st August The team visited different sections of NDDB, well reputed Amul and a primary milk cooperative of milk producer during August The summary of the orientation is as follows: NDDB is an institution of national importance was set up by an Act of Parliament of India. The main office is in Gujarat with regional offices throughout the country. NDDB's subsidiaries include Mother Dairy, Delhi and Indian Immunological Ltd, Hydrabad. It was founded by Dr. Verghese Kurien. The National Dairy Development Board (NDDB) was established in 1965, fulfilling the desire of the then Prime Minister of India the late Lal Bahadur Shastri to extend the success of the Kaira Cooperative Milk Producers' Union (Amul) to other parts of India. That success combined the wisdom of farmers with professional management to capture liquid milk successfully. The major success of this mission was achieved through the World Bank financed Operation Flood, which lasted for 26 years (1970 to 1996) and was responsible for making India the world's largest producer of milk. This operation was started with the objective of increasing milk production and augmenting farmer s income and ensuring fair prices to consumers. 16

17 NDDB has now integrated 96,000 dairy co-operatives known as Anand Pattern that linking the village society to the state federation in a three-tier structure. NDDB launched its Perspective Plan 2010 with four thrust areas: Quality Assurance, Productivity Enhancement, Institution Building and National Information Network. Picture-3: Dr. Amrita Patel, Chairman and other Senior Officials of NDDB Exchanged Views on Dairy Development in India and Bangladesh on 23 August 2013 a. Farmer Empowerment: NDDB empowered millions of small and marginal farmers through village dairy cooperatives. Amul pattern societies across the country made farmers socially and economically developed. a. b. Women Empowerment: About 48% of the total population of India is women. National Dairy Development Board replicates "White Revolution" movement among small farmers, women and makes them involved in socio-economic activities[[ c. Strengthening Cooperative Business: NDDB supports dairy cooperatives to meet the challenges in a market- driven economy through better governance and efficient management. Training programmes for milk procurement personnel were also conducted. It helps them upgrading and updating their skills to enable them contributing more effectively towards the structure and processes adopting best practices in the areas of clean milk healthcare and management practices. 17

18 During , the cooperative milk unions together procured 28.7 million kg of milk per day compared to 26.2 million kg per day in the previous year, registering an annual growth of around 9.5 per cent. Liquid milk marketing by the cooperatives reached 22.9 million liters per day compared to 22.0 million liters per day in the previous year with a growth rate of 4.1 per cent. A number of milk unions are increasingly creating Women Dairy Cooperative Societies (WDCS). By March 2012, unions across the 20 dairying states have reported 18,954 WDCS with a total membership of 4.26 million across the country. Of the total women members in dairy cooperatives, 2,35,000 have attained leadership roles on management committees of Village Dairy Cooperative Society and 230 of these have attained representation on he Boards of Directors of milk unions and federations. d. Enhancing Productivity: Building infrastructure for genetic improvement of animals and providing balanced nutrition, healthcare and improved management services makes it possible to achieve higher levels of productivity in animals and enhance the income of farmers. Breeding Programmes are undertaken to enhance the productivity and induction of improved genetics. i) Production of High Quality Merit Bulls: Seven field progeny testing programmes initiated by NDDB in partnership with different milk unions were carried out throughout the country for testing their dams. During the year , 51 high genetic merit bulls procured and reared under these programmes and were distributed to various semen stations. ii) Indigenous Breed Development: The implementation of the Rathi breed development programme in 100 villages of Bikaner and Shir Ganganagar districts of Rajasthan and the Kankrej breed development programme in partnership with Banaskantha Milk Union in 88 villages in Banaskantha district of Gujarat continued during the year Under the Rathi breed development programme, 33 Al centres covering 100 villages carried out 4,116 inseminations during the same year. Efforts by NDDB to preserve indigenous breeds of cattle and buffalo by in vitro methods in the form of frozen embryos and frozen semen continued in cattle breeds namely Sahiwal, Red Sindhi, Gir, Rathi, Kankrej, Khillar, Hariana and Tharparkar and buffalo breeds namely Murrah, Jaffarabadi, Pandharpuri and Toda. 18

19 e. Information Network for Animal Productivity and Health (INAPH): INAPH is being used by seven progeny testing programmes, two pedigree selection programmes and a ration balancing programme spread across eight states, 33 districts and 5,069 villages of the country. Around 1,786 users are using the application for different services through 332 handheld devices and 139 note books. A total of lakh animals belonging to 3.43 lakh farmers have been registered till date. f. Frozen Semen Production and Al Services: The three NDDB- managed semen stations- Sabarmati Ashram Gaushala (SAG), Bidaj Animal Breeding Centre (ABC), Salon and Rohtak Semen Station together produced million frozen semen doses produced in the country. In addition to this, eight other semen stations in the cooperative sector produced million semen doses. During the year, IndiaGen carried out 1.15 million inseminations at the farmer s doorstep, through their 1,359 mobile Al units. The cooperative unions performed 13.2 million AIs through 17,530 AI centers covering 50,375 villages. g. Animal Nutrition: NDDB initiated a large pilot programme in the villages of Banaskantha district to study the impact of implementing the Ration Balancing Programme (RBP) on a larger scale which covered 12,777 animals in 160 villages. Technical officers and trainers of the Banaskantha Union were trained at NDDB. The trainer, inturn, trained 160 Local Resource Persons (LRPs) selected from these villages to carry out ration balancing for individual animals at the milk producers doorstep, using note books loaded with the RBP software. The LRPs were trained in their local language on the basic aspects of animal feeding, software handling, formulation of least-cost balanced ration, using locally available feed resources and area-specific mineral for five days in classroom sessions and on-the-job training at the farmers doorstep for a period of five days. The training included ear-tagging, measurement of body weight and working out a least- cost balanced ration by weighing different feeds and fodder actually ration, by weighing different feeds and fodder actually being fed by the farmers to their animals. All the animals covered were ear-tagged for identification and the data recorded in the central server. h. Developing Human Resources: A focus on planning for skilled and trained human resources is critical for successful implementation of the National Dairy Plan. NDDB continues to provide special emphasis on growing human resource needs with a major focus on capacity building through training and development as a preparatory task for effective and timely implementation of the National Dairy Plan. 19

20 Training on the use of the ration balancing software was conducted for two batches to ensure effective implementation of training programmes, training capabilities of trainers within NDDB were assessed. Training programmes on Lead Trainer modules with the objective of owning training skills were conducted. An initiative to create awareness amongst the employees of NDDB on the objectives of NDP and its sub-components was taken place in the form of an interactive workshop. In addition, training to the milk producers, village resource persons, boards of directors of milk unions, staff and officers working in cooperative dairies are continuing across the country to equip them with the latest knowledge and skills and a positive attitude for achieving the organization s desired objectives. Visit to a Primary Cooperative Society: Visit to Sandesar Milk Producers Co-operative Society Ltd., Sandesar (ISO accredited), Anand, Gujarat on the 23 rd August 2013 General Information of Sandesar Milk Cooperative Society as on 31/03/2013 Area of Entire Sandesar Village Operation Population 6,950 Local Gram Panchayat, Ladies Club, No. of households 1,205 Institutions Youth Club, Trihuvandas Agriculture land 1,635 acres Foundation Health Centre, Pasture land 17 acres Kindergarten, Primary School, Irrigated land (%) 100 Girls and Boys High School Irrigation facility Canal, well with Main crops Wheat, Paddy, Tobacco, electric motor, Banana Tubewells Animal Population Animal Breed and Numbers Average Fat % Buffalo Surti and Murrah: Cow Indigenous: 10 Cross bred: General Information about the Dairy Co-operative Society (DCS) Date of Chairman Shri Chimanbhai Jivabhai Patel Establishment Date of registration Secretary Shri Harishbhai Ravjibhai Patel Audit Class A Tel. No , Ave. milk procurement lit/day: Total 2,904 Buffalo: 1,049 and Cow: 1,855 Capacity of bulk milk cooler: 2,000 (+) 3,000 = 5,000 lit Society procured around 90% milk of village surplus during

21 Information about Members of the Society Total members: 935 Men: 868 Women : 67 Landless farmers: 258 Possessing upto 2 hectare: 522 above 2 hectare: 155 Contribution towards Community Development Works by DCS (Figures are in cumulative) Sl. No. Particulars Amount (Rs.) 01 Construction of Educational Institutions 98, Charotar Education Trust 2, Sweets and Prizes to children 70, Contribution to water works 14, Gram Panchayat 19, Darbar Gopaldas TB Hospital 5, Flood Relief 4, Sardar Patel Medical Trust 5, Panchvait, Garden Development 50, Tribhuvandas Foundation 1,04, Contribution for cattle health, insurance etc. 1,30, Productivity Enhancement 52, Construction of Cattle Mangers 3, Indian Army Kargil Fund 5,001 Total 5,67,279 Business of the Society at a Glance Year Members Paid up Reserve Milk Purchase Net Profit Share Fund (no.) (Rs.) (Rs.) (in lits.) (in. Rs.) (in. Rs.) , ,25,753 66,558 10, ,680 7,32,273 4,10,721 40,56,324 72, ,430 7,90,882 10,08,535 1,52,66,359 1,38, ,430 8,28,778 10,59,167 1,62,85,550 1,81, ,710 8,74,124 11,05,739 1,84,24,332 1,88, ,710 9,21,253 10,11,322 2,00,06,047 74, ,710 9,47,869 10,16,009 2,38,94,264 2,92, ,710 10,21,665 10,60,622 2,66,38,935 1,72,723 21

22 Year Price Difference & Bonus Paid to Members (In Rs.) Average Bonus + Price Difference Paid Members/lit. (In Rs.) to Ave. Return per Liter to Milk Producers including Price Difference (In Rs.) BM+CM , ,49, , ,58, , ,71, , ,74, , ,01, , ,90, Buffalo Cow , ,58,901 7, ,532 Animal Husbandry Activities Year AI Performed (no.) Animals Examined for PD Animals Found Pregnant Results in % (Animals Pregnant/Animal s Examined for Pregnancy) Sale of Cattle Feed (In 70 kg. bags) First Aid B C B C B C B C , , , , , Artificiel Insémination (AI) Charges: Rs. 10 per animal Emergency visits of veterinary doctor the year : 1,450 Emergency visit charge@ Rs. 60 per visit, subsidy from DCS Rs. 20/- Activities of Tribhuvandas Foundation during Patients treated: 1,235 Pregnant ladies treated: 141 Source: Sandesar Milk Cooperative Society,

23 Picture-4: Study Team Visiting Sandesar Milk Producers Co-operative Society Ltd. (Primary Society), Sandesar, Anand, Gujarat on 23 August 2013 D. Mother Dairy a. Introduction: The team visited Mother Dairy, Delhi on 20 August 2013 at 10 am. The programme was consisted of short briefings and guided visits to different sections of Mother India. Mr. Umesh K. Chopra, Senior General Manager and Mr. Jagdish Rao, Chief Operation Officer of Mother Dairy coordinated the visit to Mother Dairy. Mother Dairy was set up in 1974 which is wholly owned subsidiary of the National Dairy Development Board (NDDB) of India. It is one of the best companies which is operating for commercial purposes. It offers the products like Mother Dairy Double Toned Milk which is marketed in Delhi. Liquid Milk, Ice Creams, Flavored Milk, Dahi, Lassi, Mishti Dahi, Ghee, White Butter, Table Butter, Cheese, UHT Milk, Dhara Range of Edible Oils, Fresh Fruits and Vegetables all over the country. In addition, two yogurts/dahis are marketed by Mother Dairy in Delhi. It also involves in marketing of frozen vegetables and fruit juices at a national level through its sales and distribution networks. Mother Dairy Milk (bulk vended) is fortified with vitamin A with 2000 IU per liter as social accountability. This programme started with the Mother Dairy, Delhi, in February Thereafter the dairy continues this programme on their own without having any financial assistance from the government since it is felt that Bulk Vended Milk (BVM) is generally consumed by the middle lower middle and poor class population. It is found that the dietary practices adopted by these classes are deficient in Vitamin A. Mother Dairy sources major part of its requirement of liquid milk from dairy cooperatives. 23

24 Mother Dairy purchases fruits and vegetables from farmers and growers associations. It also maintains contacts with oilseeds grower cooperatives that manufacture and pack the Dhara range of edible oils by undertaking to nationally market all Dhara products. Mother Dairy markets approximately 4.8 million liters of milk daily in the markets of Delhi, Mumbai, Saurashtra and Hyderabad. They have a market share of 66% in the branded sector in Delhi where it sells 2.3 million liters of milk daily and undertakes its marketing operations through around 14,000 retail outlets and 845 exclusive outlets. As on April 2013, the Mother Dairy commands 71% and Amul commands 29% of market in Delhi. The company s derives significant competitive advantage from its unique distribution network of bulk vending booths, retail outlets and mobile units. Mother Dairy ice creams launched in 1995 have shown continuous growth over the years and today boasts of approximately 62% market share in Delhi. Mother Dairy manufactures and markets a wide range of dairy products that include butter, dahi, ghee, cheese, Ultra High Temperature (UHT) milk, lassi and flavored milk. Most of these products are available across the country. The company markets an array of fresh and frozen fruit and vegetable products under the brand name SAFAL through a chain of 400+ fruit and vegetable shops and more than 20,000 retail outlets. Fresh produce is handled at the company s modern distribution facility in Delhi with an annual capacity of 200,000 MT. An Individually Quick Frozen (IQF) facility with capacity of around 75 MT per day is also operational in Delhi. A fruit processing plant with a handling capacity of 120 MT per day, a 100% Export Oriented Unit (EOU) was set up in 1996 at Mumbai aiming at supplying of quality products in the international market. To meet the increasing demand another processing plant has been set up at Bangalore with fruit handling capacity of around 250 MT per day. b. Development of Mother Dairy: The Mother Diary lights up millions of farmers to live with prosperity and self reliance. Everyday it procures and markets over three million liters of milk. Mother Diary is one of the largest liquid Milk Company in Asia. It started its operations in 1974 under the Operation Flood Programme of the National Diary Development Board. Mother Dairy collects required liquid milk from diary co-operatives and producer institutions. Mother Dairy sells more than 29 lakh litres of milk per day, out of which about 11 lakh litres of milk is sold as bulk vended milk and another 18 lakh litres of milk is sold in poly pack in five different variants in Delhi. Apart form Delhi, Mother Dairy markets its Poly pack milk in Gujrat, Andhra Pardesh, Maharashtra, Western UP and Haryana. 24