Dairy Industry in 2019-20

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Dairy Industry in 2019-20 The dairy industry hailed the proposals of the 2019-20 interim budget for the sector saying the measures would lead to an increase in farmers’ incomes. 

Finance Minister Piyush Goyal announced a 2% interest subvention for farmers engaged in animal husbandry and fisheries who take loans through the Kisan Credit Card (KCC) scheme. 

Further, in case of timely repayment of loans, the borrowers will get an additional 3% interest subvention. 

“The increased outlay for Rashtriya Gokul Mission to Rs 750 crore will give a further push to milk productivity and production in the country,” said RS Sodhi, managing director, Gujarat Cooperative Milk Marketing Federation Ltd. (Amul). 

“We expect milk production, which is currently at 176 million tonnes, to grow 6.5% in 2019-20,” he said. 

Lactalis India CEO Rahul Kumar welcomed the proposal for setting up of a Rashtriya Kamdhenu Aayog for sustainable and enhanced productivity of cows. “India has 150 million indigenous cows with extremely low productivity. The setting up of a Rashtriya Kamdhenu Aayog will boost milk productivity of indigenous cows,” he said. A large number of farmers, especially women working in dairy and fisheries, would be able to benefit from the proposed 2% interest subvention for loans taken through the Kisan Credit Card scheme which was earlier applicable only to crop loans, said Harsh Kumar Bhanwala, chairman, National Bank for Agriculture and Rural Development. 

Some executives, however, said that the sector was also expecting income tax exemption for dairy farmers similar to that for the agriculture sector, but that did not happen.

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By BOA Bureau