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Centre May Import Dairy Products Amid Stagnant Milk Output

Milk production in India remained stagnant due to supply constraints caused by lumpy skin disease in cattle and increased domestic demand. The government may import dairy products like butter and ghee if necessary, but will carefully evaluate the stock position and global prices before making a decision.

Eashani Chettri
The government may import dairy products like butter and ghee if necessary
The government may import dairy products like butter and ghee if necessary

Milk production remained stagnant in the last fiscal year, owing to a constraint in the supply of the products. A top government official stated that the country might be considering importing milk products if needed.

After evaluating the stock position of milk in Southern states, where the flushing (peak production) season has just begun, the government will step in to import dairy products like butter and ghee, if necessary, he added.

According to official figures, the nation's milk production reached 221 million tons in 2021–22, an increase of 6.25 per cent from 208 million tons the year before.

The Animal Husbandry and Dairy Secretary, Rajesh Kumar Singh, addressed a press conference where he said that the milk production in the country remained stagnant. The fiscal year of 2022-2023 was hampered because of the lumpy skin disease in cattle and the domestic demand increased by a percentage of 8-10% as a result of a bounce back in the demand following days after the pandemic.

“There is enough supply of skimmed milk powder, thus there is no shortage of milk in the nation as a whole (SMP). But, the stockpiles of dairy products, particularly fats like butter and ghee, are lower than they were last year," he noted.

After evaluating the stock position of milk in Southern states, where the flushing (peak production) season has begun recently, the government will step in to import dairy products like butter and ghee, if necessary, he said.

The imports may not be beneficial at the time, stated Rajesh Kumar Singh, especially at a time when the international prices have been stable and have been that way for quite some time.

“There is no point in importing when the global prices are unchanging. We will be carefully observing this flush season in the remnant of the country and proceed to make our decisions,” He said.

The lean season in north India has been postponed because of the temperature decrease owing to the untimely rains; which will ensure a lesser shortage.

"The effect of lumpy skin disease on cattle can be seen in a slight stagnation in overall milk production. Milk production has historically increased by around 6% yearly. But this year (2022-23), it will either remain unchanged or expand by 1% to 2%," said Rajesh Kumar Singh.

According to Rajesh Kumar Singh,"We assume it would be stationary because the government only considers statistics from the cooperative sector when calculating milk production, as opposed to the entire private and unorganized sector.”

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