The ongoing lockdown to curb the spread of COVID-19 is likely to hit lakhs of farmers who are supplying milk to 14 milk unions in the State. The milk unions have been asked by the Karnataka Cooperative Milk Producers’ Federation Limited (KMF) to reduce the procurement price by a couple of rupees, besides limiting the procurement.
KMF chairman Balachandra Jarkiholi said that after the lockdown was imposed, the demand for milk had come down drastically in the State and KMF was not a position to convert 8 to 10 lakh litres of excess milk into powder.
“After the lockdown, private players in the border districts of the State such as Belagavi, Kolar have completely stopped procurement of milk from Karnataka farmers. Those farmers are now supplying milk to our milk unions. The quantity of milk being procured by the unions is increasing by the day. On the other hand, demand for milk has come down after the lockdown. We have reached a saturation level in processing the milk as we can only convert 15 lakh litres of milk into powder at our units. We have asked the unions to give priority to farmers who are members of recognised societies and not to procure milk from those supplying milk because private players have stopped procurement.”
The KMF has already written to the heads of the unions to limit the procurement of the milk by not procuring milk at least three shifts in a week. Farmers usually supply milk in two shifts per day — morning and evening.
On the move to lower the milk procurement price, Mr. Jarkiholi said: “At present, the procurement prices being offered by the milk unions to farmers range from ₹29 to ₹31 a litre. It is up to the unions to decide on how much downward revision they would like to make. As per our information, unions may reduce procurement price by ₹1 rupee to ₹2 per litre. Revision in procurement price provided to the farmers will be a temporary measure till the lockdown gets lifted.”
On reports of KMF contemplating to revise Nandini Milk rate (selling prices of milk), the chairman said that there is no such proposal before the KMF.
In his reaction to some of the vendors selling milk at higher price during the lockdown, Mr. Jarkiholi said he has asked KMF’s marketing officials to assess the situation on ground and initiate action against vendors fleecing customers.
“All measures have been taken to supply milk on time. In Bengaluru, the demand had drastically fallen after lockdown was imposed. Now, we are seeing a gradual increase. On Sunday, we supplied 1.5 lakh litres more milk in Bengaluru. Meanwhile, two instances of vendors asking more money from customers have come to my notice. Our officials have been told to ensure no such incidents happen,” said Mr. Jarkiholi.
Production stopped
At present, KMF procures 69 to 70 lakh litres of milk a day from farmers. It sells 40 lakh litres of milk, curd and others on a daily basis.
Due to poor demand following lockdown, KMF has stopped production of 100-plus milk-based products that include 22 varieties of Nandini ice cream.
