Business Standard

Amul seeks PMO aid for milk export ban lift

Image

Press Trust of India New Delhi
Cooperative major Amul has sought the intervention of the Prime Minister's Office (PMO) seeking removal of ban on export of skimmed milk, which can be shipped in a big way to Europe.

The government had slapped a ban on export of skimmed milk products (SMP) in February to rein in inflation, which had crossed 6.50% level.

"Members of our board of directors had recently called on officials in the PMO, agriculture minister Sharad Pawar and commerce minister Kamal Nath, and made presentations to them," R S Sodhi, chief general manager, Gujarat Cooperative Milk Marketing Federation (popularly known as Amul), told PTI.

The Amul top brass briefed the PMO about the repercussions of the export ban on farmers.

After reduction of subsidies on dairy products by EU under the WTO dispensation, a big opportunity has come up in Europe for export of SMP. "But we cannot avail of this opportunity," Sodhi said.

He said producers get between Rs 10-12 per litre, which can be exported to Europe with realisations in excess of Rs 25-28 per litre.

V K Singh, managing director of Milkfed, Punjab, who has also been interacting with senior officials in the Agriculture Ministry, is hopeful of the ban being lifted on export of SMP.

"The government may lift this ban in September, by which time the supply is likely to significantly improve," he said.

India's milk production is increasing by 4.5% per annum, and the country can become a significant player of the dairy products in the global market.

At present, the country produces 100 million tonne. The production will more than double in the next 12 years, industry officials said.

 

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Jul 09 2007 | 9:26 PM IST

Explore News