Tamil Nadu’s Chief Minister, MK Stalin, has urged Union Home Minister Amit Shah to intervene and halt milk procurement activities in Tamil Nadu by the Gujarat-based dairy giant, Amul. In a letter to Shah, Stalin expressed concerns over the impact of Amul’s milk collection activities in Tamil Nadu, which could affect Aavin, the Tamil Nadu Co-operative Milk Producers Federation.
Stalin revealed that Amul had been utilizing its multi-state cooperative license to establish chilling centers and a processing plant in Krishnagiri district, Tamil Nadu. Amul’s intention to procure milk through Farmer Producer Organizations (FPOs) and Self Help Groups (SHGs) in several districts of Tamil Nadu raised concerns about encroachment on Aavin’s dairy-producing areas.
The Chief Minister emphasized that it has been a longstanding practice to allow cooperatives to flourish without infringing on each other’s milk-shed areas. He stated that such cross-procurement actions by Amul violate the spirit of ‘Operation White Flood’ and could exacerbate the current milk shortage in the country, impacting consumers.
Stalin further highlighted that Amul’s actions would foster unhealthy competition among cooperatives involved in milk procurement and marketing. He stressed the importance of regional cooperatives, which have been pivotal in the development of the dairy sector, in supporting producers and protecting consumers from arbitrary price increases.
To address the situation, Stalin requested immediate intervention from Amit Shah to direct Amul to cease milk procurement from Aavin’s dairy-producing areas in Tamil Nadu. He emphasized that Amul had thus far only sold its products through outlets in Tamil Nadu, while the state had maintained an effective three-tier dairy cooperative system since 1981, benefiting rural milk producers and consumers.
Aavin, the apex cooperative marketing federation in Tamil Nadu, plays a crucial role in overseeing Milk Producer’s Co-operative Societies, procuring milk from members, and ensuring fair and stable prices. Additionally, Aavin provides essential resources such as cattle feed, fodder, and animal health care services to enhance milk production. The federation ensures the supply of high-quality milk and dairy products to consumers at affordable prices, contributing to rural livelihoods and meeting nutritional needs.
This development involving Amul is not the first of its kind. Before the Karnataka elections, controversy arose when Amul announced plans to enter the Bengaluru market, facing opposition from political parties who believed it would harm local dairy farmers and the state-owned Nandini brand, operated by the Karnataka Milk Federation (KMF).
In light of these concerns, Chief Minister MK Stalin’s call for intervention aims to protect the interests of Tamil Nadu’s dairy industry and uphold the cooperative spirit that has been integral to its development, while ensuring stable milk prices and quality products for consumers.