Rising Feed Price Leaves Dairy Farmers in Distress

Farmers claim that there is no system that provides consistent subsidies.

While the Kerala government is keen to reduce the daily deficit in order to attain self-sufficiency in milk production, rising calf feed costs have thrown dairy producers into a dilemma.

The abrupt price increase following COVID-19, as well as the current Russia-Ukraine war, has sparked concern in the sector, with farmers claiming they are facing an unprecedented crisis.

"Cattle feed prices have recently hiked by 30 to 40%, resulting in an increase in production costs.  We also have a lack of fodder grass and paddy straw, which is generating further hardship for farmers. While feed prices have skyrocketed, milk prices have remained unchanged for the last three years. Farmers cannot survive without immediate government intervention," said Thaj Mansoor, general secretary of the Malabar Dairy Farmers' Association.

He claimed that while there were schemes that provided farmers with subsidized feed, none of them were enough.

"There is no mechanism in the state that delivers regular subsidies, and most initiatives undertaken through local governments are insufficient to support the sector," he said.

Podiyan, a 62-year-old dairy farmer from Alappuzha, had to sell his eight cows over the last six months. At present, he is awaiting a buyer for his ninth and last cow to settle the outstanding balance of the feed supplier.

Farmers claim that the average production cost of a liter of milk is more than Rs.40, yet they are forced to sell it for Rs.35. "A sack of high-quality feed now costs around Rs.1500, an Rs.200 rise in the previous several months." Even Kerala Feeds Limited (KFL) hiked the rates six months ago, and at present, you need to pay ₹1,200 for wheat bran.

There is a lot of hard work involved in maintaining cattle shed and taking care of the cows. It used to be profitable livelihood, but right now we are left with nothing but heavy losses. The government should either increase the milk price or offer us a steady incentive,” said Thilakan, a dairy farmer from Kannur.