Friday, June 16, 2017

Status Quo is no more a fad (39th DP 1st to 15th June, 2017)

Dear friends,

I would like to begin this newsletter with a quote from Martin Luther King ; “If you are not going to divorce the status quo, you will give birth to mediocrity.” 
Thank god we are  coming out of the ambit of long haul of status quo over cattle welfare, transportation and GST. Last fortnight brought a lot of excitement over these issues. Without being judgmental on whether it is correct or not the best part is that at least these issues have been brought above the threshold by the current government and all stakeholders are now sharing their views and observations over the policy.Luminaries from the star world including Amitabh Bachchan and likes will be promoting cow shelters in India and other programs from Ministry of animal husbandry and fisheries : what better could have been thought about promoting this noble cause.

A few point of worries at least on GST which the industry is looking at might be unclarity on GST to be imposed on machineries from different HS codes like heat exchangers, refrigeration, cold stores, boilers, etc which are to be used for setting up a dairy plant. It is quiet unusual to see that equipments like bulk milk coolers or chillers or cold stores would be under 18 % to 28 % GST thereby making cold chain initiative for milk quality a challenge. I hope that in due course of time the government would take cognizance of the same.

The possible outcome could be more adulteration of milk with neutralizer as a trade off to the high cost technology for preserving it under cold conditions.

I would not like to write more in this issue as it is a time for wait and watch.Lastly t a worth mentioning news is about decision from an  EU courts which prohibits use of terms like dairy, milk, etc on all imitation dairy products which uses plant or non dairy sources for its manufacturing. We have been raising this point of imitation cheese and cream products in India since long and a large number of players are selling it by using some terms which really confuses consumers. The regulator might be interested in noting that down and taking necessary actions.

So happy e reading in this era of excitement and big change.

Your truly

Kuldeep Sharma
Chief Thinking Officer
Suruchi Consultants (ISO 9001:2008 Company)
C-49 Sector-65
Noida 201307

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