Amul, the Gujarat-based dairy giant's announcement to enter the Bengaluru market had caused a political uproar in Karnataka, leading up to the state's assembly elections on May 10. Opposition parties, pro-Kannada organizations, and locals had taken to the streets and social media to protest against the move, claiming that it was a threat to Karnataka Milk Federation (KMF), its dairy brand Nandini, and milk farmers.
Congress and the JD(S) accused the BJP-led state government of trying to privatize the milk sector and "finish off" a home-grown product. The entry of the Gujarat-based milk cooperative brand in the southern state was viewed as a threat to the Karnataka Milk Federation's (KMF) milk brand ‘Nandini,' which had close ties with the Kannadiga identity. Congress' state chief DK Shivakumar had compared both the brands and claimed Nandini was a ‘better brand’ than Amul, while former Karnataka chief minister Siddaramaiah alleged that the BJP-led state government was ‘destroying the state’s pride.’
The state government had, however, assured that there was no proposal of merging Amul and KMF and alleged Congress Janata Dal (Secular) for turning the matter ‘into a political issue ahead of elections.’
The Gujarat Cooperative Milk Marketing Federation had recently announced plans to introduce Amul milk and curd in Bengaluru through quick commerce platforms. Opposition leaders in Karnataka criticized the move and said that it would impact the interest of the KMF-owned Nandini brand.
The hoteliers in the state extended support to the Nandini brand as there was an ₹11 difference between both brands, with Amul milk priced at ₹54 per litre and Nandini orange milk at ₹43 per litre. They also came forward in support of Karnataka farmers.
KMF's Bangalore Milk Union Limited (BAMUL) claimed that the milk production in the state amid the onset of summer. However, the Karnataka State Hotels' Association (KSHA) alleged that an ‘artificial scarcity’ of Nandini products had been created in ‘favour’ of Amul's entry in Karnataka, as reported by PTI.
Siddaramaiah had pointed out how Baroda Bank subsumed Vijaya Bank and claimed that ports and airports were handed over to Adani. BJP IT cell's Amit Malviya said that there was no merger between Amul and KMF and that Amul was not entering the state.
The controversy had now become a political hot potato ahead of the Karnataka Assembly Elections, with each party trying to gain an edge over the other. The BJP government had assured that Amul's entry into Karnataka would not harm the interests of the state's milk cooperatives and that it would create more opportunities for the farmers.
The issue brought the focus on the need for protecting and promoting local brands and products. It also highlighted the issue of farmers being caught in the crossfire of political battles. While competition is healthy and necessary for growth, it is essential to ensure that the interests of all stakeholders, especially the farmers, are protected.
The Amul-Nandini controversy had turned into a political slugfest in Karnataka, with each party trying to gain an edge over the other ahead of the state's assembly elections. While the issue was about the entry of a new brand into the market, it highlighted the need to protect and promote local brands and products and ensure that the interests of farmers were not compromised.
Read about the latest update on the controversy here- Amul vs Nandini Controversy: KMF Chairman Rules out ‘Merger’ On Tuesday