Andhra Pradesh CM YS Jaganmohan Reddy is all set to launch a new scheme online through the YSR Cheyutha and Arogya Asara. Cattle units will be distributed to women in the state through the above schemes. Cash will also be dispensed to those beneficiaries who sold milk in the districts of Prakasam, Chittoor and YSR districts, comprising 400 villages. In the wake of Andhra having inked a deal with the Gujarat based diary, the AP CM fulfilled his Navarathnalu promise, as mentioned in the YSRCP’s election manifesto.
From December 5th till February 2021, around 1,00,000 cattle units, and between August 2021 to February 2022, another 3,68,000 cattle units will be distributed to women. The AP Govt in a bid to revive the cooperative dairy sector mulls providing Rs 11,000 crore per year under YSR Cheyutha & Asara schemes to help encourage women to take up backyard diary. Efforts are also on to set up Bulk Milk Cooling Units and Milk Collection Centres in Rythu Bharosa Kendras. AMUL has been collecting milk from women who own cattle and plans to distribute cattle to those who don’t, as part of govt’s initiative to help provide additional income to SC, ST, BC and minority women.
Isn’t it killing competition and local dairy players?
The state government roped in AMUL – the Indian dairy cooperative society, based at Anand, Gujarat to Andhra Pradesh. An MoU has also been signed in this regard. As per the agreement, AMUL has assured to pay the highest remunerative prices for dairy farmers by setting up over 6000 milk collection centres. However, people have understood the strategy of YSRCP leaders behind the move. It seems that the YSRCP chief mainly wants to target the TDP, and it is to disrupt Heritage Dairy business.
Also, milk collection has turned a challenge for dairies with private players emerging in the business, trying to buy milk directly from the farmers. Even, Vijaya Dairy a significant brand name during the 1980s and ’90s failed due to the successive governments’ encouraging private players in the dairy industry. In these circumstances, the state government backing AMUL will definitely kill the competition and local dairy players.
Why APDDCF hasn’t been roped to partner with AP Govt’s scheme?
The major setback for Andhra Pradesh Dairy Development Cooperative Federation Limited (APDDCF) has been the state bifurcation which happed six years ago, as the asset division between Andhra and Telangana is yet to happen as per schedule nine of Andhra Pradesh State Reorganisation Act. As per reports, around 700 crores worth assets of APDDCF are lying unutilised in Telangana as a result loss incurred and dues of farmers couldn’t be cleared. However, the ruling YSRCP Government still remains mum on AP bifurcation promises.
Milk collection via Rythu Bharosa Kendras
Efforts are on to set up Rythu Bharosa Kendras in every village by YSRCP leaders, with such Kendra’s already set up in major mandals and panchayats. AP CM YS Jagan already announced his plans to provide good prices for farmer’s produce through these Rythu Bharosa Kendras besides the distribution of fertilizers, seeds and insecticides. In addition, even milk collection is being introduced. The state government is investing Rs 500 crore towards developing basic amenities. Now, milk collected at these centres will be supplied to AMUL and in return, the dairy farmers will be paid high remunerative prices. The AP government mulls paying an additional Rs 2 for a litre of milk provided by dairy farmers, similar to the system which is being implemented in Telangana. If this continues, then undoubtedly private and co-operative milk producers will face tough times.
