Boosting India’s Dairy Sector with White Revolution 2.0

Source: The post boosting India’s dairy sector with White Revolution 2.0 has been created, based on the article “A new White Revolution: Where India stands, where it aims to be” published in “Indian Express” on 21st September is 2024

UPSC Syllabus Topic: GS Paper 3- Agriculture and allied sector

Context: The article discusses “White Revolution 2.0,” which aims to increase milk procurement by dairy cooperatives in India by 50% by 2028-29. The initiative focuses on expanding cooperatives, improving infrastructure, and empowering women, creating jobs in the dairy sector.

What is White Revolution 2.0?

White Revolution 2.0 is an initiative launched by the Indian government to boost milk procurement by dairy cooperatives by 50% over the next five years.

For detailed information on White Revolution 2.0 read this article here

What is the government’s plan for expansion?

1. The government, through the National Dairy Development Board (NDDB), plans to set up 56,000 new dairy cooperative societies and strengthen 46,000 existing ones over the next five years. 2. This expansion will primarily focus on states like Uttar Pradesh, Odisha, Rajasthan, and Andhra Pradesh.
2. A pilot project in Haryana, Madhya Pradesh, and Karnataka already showed promising results, with 79 new societies procuring 15,000 liters of milk daily from 2,500 farmers.
3. White Revolution 2.0 will be funded primarily through the National Programme for Dairy Development (NPDD) 2.0.
4. Financial assistance will be provided for setting up milk procurement systems, chilling facilities, and capacity-building initiatives. For example, Rs 40,000 will be provided to 1,000 Multipurpose Primary Agricultural Credit Cooperative Societies (MPACS) to improve dairy infrastructure.

What is the current state of milk production in India?

1. India is the largest milk producer globally, with production reaching 230.58 million tonnes in 2022-23, up from 17 million tonnes in 1951-52.
2. States like Punjab have higher yields, with exotic/crossbred animals producing 13.49 kg/day, compared to 6.30 kg/day in West Bengal.
3. The national per capita availability of milk is 459 grams/day, higher than the global average of 323 grams/day.
4. Uttar Pradesh (15.72%), Rajasthan (14.44%), and Madhya Pradesh (8.73%) are the top milk-producing states.
5. While 63% of milk is marketed, about two-thirds is sold in the unorganised sector.

What challenges does the dairy sector face?

1. Low Milk Procurement by Cooperatives: Dairy cooperatives procure only 10% of India’s total milk production, covering 22% of producer households. Most milk (around two-thirds) is handled by the unorganized sector.
2. Uneven Cooperative Coverage: Some states like Gujarat and Kerala have over 70% of villages covered, while others like West Bengal and Assam have less than 10% coverage.
3. Slowing Growth Rate: The annual growth rate of milk production declined from 6.47% in 2018-19 to 3.83% in 2022-23.
4. Low Animal Productivity: The average milk yield per animal is low, with exotic crossbred animals yielding 8.55 kg/day and indigenous animals yielding only 3.44 kg/day.
5. Infrastructure Gaps: Many areas lack proper milk procurement systems and chilling facilities, particularly in uncovered regions like Uttar Pradesh and Odisha.

How important is the dairy sector to India?

1. The dairy sector contributes 40% (Rs 11.16 lakh crore) of the total output from the agriculture, livestock, forestry, and fishing sector in 2022-23, surpassing cereals.
2. The sector provides livelihoods to over 8.5 crore people, the majority of whom are women, highlighting its role in women’s employment, empowerment, and the improvement of rural livelihoods.

Question for practice:

Examine the challenges faced by the dairy sector in India and how White Revolution 2.0 aims to address them.