In last fortnight Indian dairy industry lost two of its very senior veterans . Mr S.K Dua ( NDRI 1963 batch) who served GSK for a long time at Nabha and Dr NR Bhasin who not only served Indian Dairy Association as President for last few terms but also acted as a true Dairy bureaucrat while serving RCDF. On behalf of team dairy pulse and dairy fraternity we pray for their soul to rest in peace.
The traction of demonetisation touched all spheres of life and as the days are passing by the unpreparedness of the system to handle the situation is getting unleashed. Indian dairy sector is probably at the highest level of financial inclusion when it comes to formal banking. Most of the cooperative organized sector are making payments directly to the farmer's bank account. In current circumstances due to temporary restrictions on high value transaction of cash and transfers Kolhapur Union and a few others felt the problems of farmers not getting payments from their bank accounts or payment just not reaching their account at all. Though all of us are hoping that happy days are just two weeks away but still prolonging this status quo may get fatal for poor farmers and their families. I believe that the top dairy players must be in touch with appropriate authorities to find solution. Over here I feel the need of a central bank for taking care of agriculture banking and funding on the lines of Reserve bank of India. As Agriculture is a tax free activity so a separate institution to take care of their banking and investment needs may be more pervasive and create a focussed inclusive finance solution to Indian farmers for their agricultural and livelihood related requirements. Current mainstream solutions have limitations of getting de-focussed and manipulative at times .If required the role of NABARD may be expanded to serve as a true Indian farmer's bank .
There is a good news for dairy entrepreneurs as Mudra loan facility is now extended to dairy sector also. This way the small entrepreneur could venture into dairy set up for primary production, cold chain or milk processing . It is a good move and will have long term consequence. There need to be a clearly defined space for dairy activities in Make in India and Start up India for bigger projects. As on date only food processing has been mentioned but authorities at times do not consider dairy processing under food processing. Indeed in one of the interesting case a few years back we had to prove to sales tax authorities that milk is food to get certain exemption from the authorities. Unfortunately we could not prove it for a long time because of lack of support from Institutions and other departments.
FSSAI once again is in news for taking labeling on packed foods in India to next level . As per Sh Pawan Agarwal , CEO FSSAI "Our labelling provisions are currently under revision. We are looking at Codex norms. We are going beyond that to see our labelling norms are robust,"
Now we are heading for the end of the year. We shall be sharing an annual soummary of dairy news with our next edition of dairy pulse which you would be receiving in 2017 now. Till then season's greeting and accept our sincere gratitude for your support and advise to make Dairy Pulse part of your fortnightly habit.
Happy e reading.
with best regards
Chief Thinking Officer
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