Is Kerala Achieving Milk Self-Sufficiency with Rs 254.79 Cr Support for Farmers?

Thiruvananthapuram, Sep 18 (NationPress) Kerala is intensifying its efforts to achieve self-sufficiency in milk production through substantial investments and incentives for farmers. The Kerala Co-operative Milk Marketing Federation (KCMMF), commonly known as 'MILMA', is set to revise its procurement prices.

During an Assembly session, Animal Husbandry and Dairy Development Minister J. Chinchu Rani outlined the state's financial commitments and production trends, emphasizing the significance of milk within the agricultural sector.

For the fiscal year 2024–25, the state allocated Rs 16.24 crore towards the development of milk sheds.

In the past three financial years, a total of Rs 393 crore was mobilized, with contributions of Rs 121 crore (2021–22), Rs 140 crore (2022–23), and Rs 132 crore (2023–24) through local self-governance, involving nearly 95 percent of panchayats.

Farmers benefited significantly, receiving Rs 157.99 crore from MILMA and its unions as additional milk pricing, along with Rs 96.8 crore allocated to welfare initiatives, plus subsidies on cattle feed to reduce their production expenses.

In total, Rs 254.79 crore was directed to farmers in 2024–25, contributing to the steady increase in milk production starting from April 2025.

Kerala's current procurement rate for milk is Rs 43.17 per litre, the highest in South India, compared to Tamil Nadu's Rs 34.72 and Karnataka's Rs 35.20.

While this elevated pricing benefits local farmers, the state contends with significant market competition from cheaper milk imports from neighboring regions, which jeopardizes MILMA's market presence.

To address this challenge, the government has mandated the implementation of calf procurement schemes in 50 designated blocks, recognized as major milk-producing areas, to enhance production and minimize reliance on external sources.

The Minister reminded Assembly members that, per a 2011 Kerala High Court decision, only MILMA holds the authority to adjust milk prices.

A recommendation for a farmer-friendly price increase has been put forth by a five-member committee, which MILMA is anticipated to act upon soon to safeguard Kerala's producers from outside competition.

In addition to price adjustments, initiatives like 'Ksheera Grama' in select panchayats, calf rearing parks, comprehensive healthcare packages for cows, and special projects for plantation and fishing families are being utilized to promote sustained production growth.

Officials indicated that these collective measures are yielding positive results, advancing Kerala's journey toward milk self-sufficiency.