Himachal Pradesh Government Pledges Support to Milk Producers with Monthly Benefits of Rs 34.18 Crore

In a welcome move aimed at bolstering the rural economy, the Himachal Pradesh government has announced that it is providing a monthly benefit of Rs 34.18 crore to milk producers in the state. This significant initiative, according to Chief Minister Sukhvinder Singh Sukhu, is part of the government's broader strategy to strengthen the dairy sector and make it a reliable source of income for rural households.

Historically, the dairy sector in Himachal Pradesh has faced numerous challenges, including low milk procurement prices and limited infrastructure for milk collection and processing. However, under the current administration, there has been a concerted effort to address these issues. The state milk federation is now procuring approximately 2.7 lakh litres of milk per day, marking a substantial increase from the average procurement of 1.57 lakh litres per day during 2024-25.

This increase in milk procurement is not only a testament to the growing dairy sector in the state but also a reflection of the government's commitment to improving the financial security of milk producers. By ensuring doorstep milk collection, particularly in remote areas, the government is providing direct financial support to marginal milk producers, thereby enhancing their socio-economic condition.

Moreover, the government has been consistent in its efforts to enhance milk procurement prices, with provisions made in the 2026-27 Budget to procure cow milk at Rs 61 per litre and buffalo milk at Rs 71 per litre. This move is expected to further incentivize dairy farming and encourage more farmers to participate in village dairy societies. The number of such societies has already seen a significant rise, from 27,498 to 39,790 over the last three years, with a corresponding increase in the number of functional dairy cooperative societies from 583 to 758.

To further bolster the dairy sector, the state government has also initiated the process of setting up modern infrastructure. Currently, 11 milk processing plants are operational, with a combined capacity of 1.8 lakh litres per day. Additionally, a state-of-the-art milk processing plant is being established at Dhagwar in Kangra district, with an initial capacity of 1.5 lakh litres per day that can be expanded to 3 lakh litres per day. This new facility is expected to significantly enhance the state's milk processing capabilities and provide better market access to milk producers.

In another significant development, the state government has signed an agreement with the National Dairy Development Board (NDDB) to establish a new milk union in Kangra district. This initiative will cover Kangra, Una, Hamirpur, and Chamba districts, leading to improved milk collection, processing, and marketing systems. The training of over 2,000 farmers in clean milk production and quality maintenance, with the support of institutions like RTDC Jalandhar, MIT Mehsana, and NDRI Karnal, is another step towards building farmer capacity and ensuring that the dairy sector in Himachal Pradesh remains competitive and sustainable.

The installation of 222 automatic milk collection units (AMCUs) and 32 data processing milk collection units (DPMCs) is also a noteworthy initiative aimed at ensuring transparency and fair pricing in the dairy sector. These technological interventions will not only streamline milk collection processes but also provide farmers with accurate and timely payments, further boosting their confidence in the dairy sector.