The milk powder production facility will be commissioned within a year.

The powder milk plant that is coming up in Malappuram district will have the capacity to process one lakh litres of milk per day and will help to use profitably the excess milk produced under various regional milk cooperatives, including the Malabar milk union, said J. Chinchu Rani, Minister for Dairy Development, here on Monday. She was speaking at a function organised by the Ernakulam Regional Cooperative Milk Producers’ Union in connection with the launch of new ice-cream flavours under the Milma brand.

The Minister said a meeting of chairmen of all the three regional milk producers’ cooperatives was being convened to discuss the issue of providing incentives to dairy farmers. She said all efforts would be made to find more marketing outlets for Milma milk products, which had found a favoured place among consumers in Kerala.

Sources in the milk cooperative said the plant coming up in Malappuram could be commissioned in about a year. The integrated plant involved a total investment of ₹99 crore.

The total milk procurement in the Malabar region under the milk marketing union is around 7.60 lakh per day. Sales stand at 5.5 lakh litres per day. There will be sufficient milk to be processed on a daily basis, the sources said.

They said Kerala used to depend on neighbouring States for processing milk powder from excess milk produced in the State. However, the commissioning of the new plant would be a great asset to the dairy sector.

Milk sale in Kerala has also been affected by the import of cheaper milk from neighbouring States, the sources said. Kerala has the highest milk price in the country and yet farmers are finding it difficult to remain in business. The milk cooperative offers ₹39.40 per litre. The higher price in Kerala prompts farmers in neighbouring States to export milk. The milk price in Kerala is higher by more than ₹7 per litre compared with that in Tamil Nadu, the sources said.

In the coming weeks, a significant decision awaits dairy farmers as they prepare to cast their votes on a critical package of milk marketing reforms.

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