Tamil Nadu Chief Minister M.K. Stalin on Thursday wrote to Union Minister Amit Shah to direct Gujarat-based dairy giant Amul to refrain from procuring milk from the state's dairy cooperative Aavin's milk shed area. Stalin said the move “will create unhealthy competition between cooperatives.”
In the letter, Stalin said, “Recently, it has come to our notice that the Kaira District Cooperative Milk Producers' Union (Amul), has utilised their multi-state cooperative license, to install chilling centres and a processing plant in Krishnagiri District and has planned to procure milk through FPOs and SHGs in and around Krishnagiri, Dharmapuri, Vellore, Ranipet, Tirupathur, Kancheepuram and Tiruvallur districts in our State. It has been a norm in India to let cooperatives thrive without infringing on each other's milk-shed area. Such cross-procurement goes against the spirit of 'Operation White Flood' and will exacerbate problems for the consumers given the prevailing milk shortage scenario in the country.”
Stalin added, “This act of Amul infringes on Aavin's milk shed area which has been nurtured in true cooperative spirit over decades. This move by Amul will create unhealthy competition between cooperatives engaged in procuring and marketing milk and milk products.”
Stalin said Aavin plays a vital role in improving the livelihood of milk producers in State and meeting the nutritional requirement of consumers. “In Tamil Nadu, like in other States with strong dairy cooperatives, a three-tier dairy cooperative system is functioning effectively since 1981 for the benefit of the rural milk producers and consumers. Under the ambit of Aavin co-operative, 9,673 Milk Producers Co-operative Societies are functioning in rural areas. They procure 35 LLPD of milk from about 4.5 lakh pouring members,” he said.
Stalin said that till now, Amul was just selling their products through their outlets in the State and sought Union Minister's intervention to prevent Amul from milk procurement in Tamil Nadu. "Regional cooperatives have been the bedrock of dairy development in the states and they are better placed to engage and nurture producers and to cushion consumers from arbitrary price hikes. Therefore, I request your urgent intervention to direct Amul to desist from milk procurement from the milk shed area of Aavin in Tamil Nadu with immediate effect."