Over Rs 17 crore surplus for Milk Federation yet farmers get peanuts
At Dhangarwada, Malpan, Babu Kundo Zore is angry. “For aspecial chai worth Rs 15 in Panjim, we dairy farmers make less than Rs 1 butthe Milk Federation pockets over Rs 10,” says the Dhangar milkman from Sattari.
Zore and many like him feel cheated by the Goa StateCooperative Milk Producers Union popularly known as Goa Dairy. But the rot doesnot end there.
Chief Minister, Manohar Parrikar inaugurating a dairy unitat Kopardem had publicly asked Goa Dairy’s directors, as to why action shouldnot be taken against them for irregularities to the tune of Rs 17 coresannually.
The heart of the matter, as even the savvy CM pointed out,is the Rs. 11.72 surplus per litre of milk that Goa Dairy has not been talkingabout, yet the dairy whines that it is running into losses and farmers do notget their due.
Goa needs about 3.5 lakh liters of milk per day. But theState produces only fifty thousand litres, 12.5% of the per day milkrequirement. The balance milk, a whopping 3 lakh litres is imported fromneighbouring Maharashtra and Karnatakaat very high rates.
Goa’s own milk produce comes from the Dhangar and Gawalicommunity who reside in the forests and semi-forested areas of Goa. Thesecommunities have been ensuring consistent milk produce for Goa Dairy, despitebeing underpaid.
“For a litre of cow milk, the dairy farmer is paid Rs 22.48by Goa Dairy while it sells the same at Rs 36 pocketing a profit of Rs 13.52per litre,” says Zore. Zore and many such dairy farmers who unlike him do notwant to speak at the risk of being hounded by vindictive dairy officials andlosing their livelihood are milking themselves dry to keep the trade alive.
Documents acquired from Goa Dairy by a few dairy farmersincluding Zore reveal that the processing charge (including salaries and otherconsumables) and the transport per litre of milk costs Goa Dairy Rs 3. Thiswhen subtracted from Goa Dairy’s earning of Rs. 13.52 leaves a net profit of Rs10.52 per litre. For the State that produces, about 50,000 liters of milk perday, this profit adds up to Rs 5.26 lakh per day and a whopping Rs 1.59 croresper month. This totals up to Rs. 18.94 crores of profit every year. If GoaDairy’s last audited balance sheet 2010-11 showed a loss of Rs 2.64 crores perannum, where then did the rest of the money go annually?
On an average a cow gives 12 litres of milk per day. TheGoan’s calculation shows that for a litre of milk for which the farmer spendsRs 24.77, Goa Dairy pays him only Rs 22.48. However the actual expenditure iseven more for the farmer who ends up in reality paying Rs 33 extra from his ownpocket per cow. “In case of a buffalo, our losses are even higher at Rs 63 perbuffalo per day,” says another farmer near Pissurlem. Goa’s guardian Dairy ismilking the farmers dry.
In a bizarre case of killing its own industry and feedingthe milk producers from neighboring states, Goa Dairy is buying cow milk at Rs30 per liter against Rs 24.77 from Goa’s Dairy farmers and buffalo milk for Rs27 per liter as against Rs. 27.13 from Goan farmers. “It might look like we getmore from buffalo milk but the fact is, it is very expensive to maintain abuffalo in Goa and people prefer cow milk more,” says Ramesh from Usgao.
The dairy farmers are livid that Goa Dairy provided highprotein fodder is at market cost, so where is the support. The farmers are upin arms against Goa’s lead dairy pocketing profits at their expense but notcompensating them accordingly.
