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World Bank injects USD352 million into Indian dairy farming

Measuring milk for sale in India

Measuring milk for sale in India (photo credit: ILRI).

‘The World Bank signs an agreement with India to inject $352 million into the National Dairy Support Project, an initiative designed to revive the flagging fortunes of milk production in the country.

Other than being crucial to the nutritional security of the country’s population; dairy farming or dairying is also a major source of livelihood for 147 million rural households in India.

‘Spurred by the success of the White Revolution of the 1970s, milk and other dairy-products related production grew drastically over decades in the country. But of late, there has been a marked drop, with annual production decreasing to 3.8 per cent in the 2000s from 4.3 per cent in the 1990s. The Government’s latest initiative with the World Bank is meant to remedy this drop in production in anticipation of expected increase in demand.

‘India currently produces 120 million tons of milk per annum. By 2021-22, the demand is expected to be for 180 million tons, according to government estimates. This implies that for the next ten years from now, production would have to grow at 5.5 per cent year on year. To achieve this India would have to primarily find ways of boosting the productivity of its milk animals from a daily average of 3.4 kgs to 6.3 kgs, which is the global standard. . . .

‘The project will primarily focus on increasing milk production by improving the genetic quality of dairy herd and optimal use of feed and fodder. It will support long-term investments in animal breeding, extensive training of dairy farmers and doorstep delivery of artificial insemination. It will also aim at creating ration balancing advisory services, which will promote balanced animal feed and nutrition to not only increase milk yield and reduce productions costs, but also contribute to reduced methane emissions. . . .

The project will also raise farmers’ awareness about the importance of good quality milk and build their capacity for hygienic milk production, collection and sale,” said Deepak Ahluwalia, the Project’s Task Team Leader and Senior Economist, World Bank.

Read the whole article in OneWorld South Asia: A second White Revolution for India?, 16 Apr 2012.

Information on ILRI’s work in India

2 thoughts on “World Bank injects USD352 million into Indian dairy farming

  1. India has suffered dairy price inflation because NDDB keeps sourcing the same rural areas to supply growing urban demand. The new National Dairy Plan should expand catchment areas for milk supply, instead of merely improving genetics in existing supply areas. Large parts of India have yet to benefit from Anand Pattern farmers’ cooperatives, using a low-input/ low-output system which does not ‘pit man against beast’ for food. In the long run, it is important to link remote farmers to urban consumers, to boost rural incomes (& family health & education). Once remote villages join the national milk grid (bypassing ‘dudhiya’ middlemen), productivity can grow by cooperative extension. Upshot? The 2nd White Revolution will be hobbled if it is blinded by science (genetics) & ignores social development of people in the hinterlands.

  2. quite a good gesture. cograts world bank for the offer . for the project to achieve the desired results serious implementors are required .wish my fellow dairy farmers in India the best of luck

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