Oil India to enter dairy sector; inks pact with Irma for study

Detailed project report will be prepared after the study in two districts of Assam where the company has significant presence

As part of a corporate social responsibility (CSR) initiative, energy major Oil India Ltd (OIL) has decided to step into dairy sector and has signed an agreement with Institute of Rural Management, Anand (Irma) to carry out a feasibility study.

According to company sources, a detailed project report (DPR) would be prepared after the study in two districts of Assam where Oil India has significant presence.

"It is going to be a significant CSR initiative of the company. This project is aimed at filling the gap in milk production in the North-East and giving employment opportunity to the youths of Assam," a source said. The state-run OIL has signed an memorandum of understanding (MoU) with Irma in Gujarat around 10 days ago for the study that will cover select villages in Dibrugarh and Tinsukia districts of the state.

The project is planned to be developed on the lines of the 'Amul' model.

"Through this MoU, OIL aims to formulate a DPR on the basis of baseline survey for implementing the company's 'Dairy Project'.

The DPR will enable us to devise a roadmap and a long-term broad vision plan for the same," an official said. The study funded by OIL will focus on the prospects of developing a cooperative dairy project in Assam.

When contacted, OIL General Manager N R Deka said: "The baseline survey for the project shall be done with the objective of increasing milk production and dairy products by providing opportunity to unemployed youths."

The feasibility study will focus on quantitative, qualitative and participatory methods of enquiry where secondary data will be collected from various sources, helping the company to identify dairying as an alternative source of livelihood, he added.