Cross-border sale: Dairy Board calls co-op federations' meet to sort issue

The National Dairy Development Board (NDDB) will be holding a meeting of the chairman and managing directors of co-operative dairy federations of the country this month to sort out the sensitive issue of cross-border marketing of liquid milk.

The meeting has been called by NDDB Chairman Meenesh C Shah, in response to serious objections raised by K S Mani, Chairman of Kerala Co-operative Milk Marketing Federation (KCMMF) over the issue at a meeting of the National Cooperative Dairy Federation of India (NCDFI) held in Varanasi recently, KCMMF said in a statement here on Thursday.

Earlier, KCMMF, known by the brand Milma, had voiced serious concern over Karnataka Milk Federation (KMF) foraying into parts of Kerala to sell its Nandini brand of liquid milk.

Making a strong pitch at the NCDFI meet, Mani said, "This is a complex and multifaceted issue, as co-operative dairies have different priorities and interests". He further pointed out that by working together co-operative dairies could find solutions that benefit all stakeholders and ensure the delivery of high-quality milk to consumersm," according to the statement.

Mani emphasised that the co-operative dairies should approach this issue collaboratively and diplomatically, which would uphold the values of the co-operative movement, it added.

Responding to Mani's strong position on the matter, the NDDB chairman said that a meeting of the chairman and MDs of all co-operative dairy federations would be called this month itself to take up the issue and explore possible solutions to ensure that the interests of all member-cooperatives are considered, the statement said.

While raising concerns over cross-border marketing, Milma had earlier pointed out that the input cost in Kerala was much higher compared to most other states.

"Also, in Karnataka, the government provides subsidy to KMF, which is the prime reason for the cost difference between Nandini and Milma milk. Instead of passing on this benefit to farmers, KMF is utilising this advantage to sell its Nandini brand of milk at a lower price," it added.