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| Black mood |
New Delhi, Sept. 9: Amul is disappointed with the government’s refusal to lift a ban on the export of skimmed milk powder.
The company wanted to start milk powder exports in May, but the government has not accepted the proposal.
P.B. Bhatol, chairman of Gujarat Cooperative Milk Marketing Federation (GCMMF), which manages the brand Amul, is scheduled to meet agriculture minister Sharad Pawar and commerce minister Kamal Nath next week to discuss the issue.
B.M. Vyas, managing director of GCMMF, said, “Milk procurement has been very good this year. If we are not allowed to export, then the price of skimmed milk will fall, which in turn will hit the poor farmers.”
The price of milk is likely to fall by Rs 2 in the domestic market if the ban on exports continues. GCMMF believes India has enough surplus to export milk products. The country produces about 100 million tonnes of milk annually.
However, the government does not share GCMMF’s view, possibly because the price of milk has been rising despite record milk production. It banned the export of skimmed milk powder in February.
Amul itself produces two lakh tonnes of skimmed milk powder every year. Of this, it exports around 15,000 tonnes to countries such as Bangladesh, the Philippines, Malaysia and the West Asian countries.
Earlier, the Amul board had met the Prime Minister, commerce minister and agricultural minister when the ban was imposed. They assured the company that the ban would be lifted by September-end.
However, the assurance is yet to be fulfilled. The international price of skimmed milk is Rs 200 per kilogram. If the ban is not lifted then it could slump to Rs 90.
Amul believes that the government has decided against the exports because of lobbying by milk manufacturers who do not have a collection system or direct contact with farmers.
“So far, 10,000 farmer co-operative societies have passed resolutions against the government’s decision of banning the export. These resolutions have been sent to the Prime Minister’s Office, the agriculture ministry and the commerce ministry,” Vyas said.
