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White Revolution 2.0
Context:
National Milk Day is celebrated annually on November 26 in India to commemorate the birth anniversary of Verghese Kurien, the father of the country’s White Revolution in the 1960s and 1970s, which helped resolve milk shortages.
White Revolution
The White Revolution in India, also known as Operation Flood, was a significant initiative launched in 1970 aimed at transforming the dairy sector and making India self-sufficient in milk production.
Objectives:
- Increase Milk Production: The primary goal was to boost milk production to meet the growing demand and reduce dependency on imports.
- Rural Income Enhancement: The initiative aimed to increase the incomes of rural dairy farmers and improve their livelihoods.
- Consumer Fair Pricing: It sought to provide consumers with milk at fair prices while ensuring that producers received a substantial share of the profits.
Implementation Phases:
- Phase I (1970-1980): Funded by the sale of skimmed milk powder and butter oil from the European Economic Community, this phase established milk cooperatives in 18 milk sheds and linked them to major urban markets like Delhi and Mumbai.
- Phase II (1981-1985): This phase expanded the number of milk sheds and cooperatives, increasing the number of milk producers and enhancing the marketing of milk products.
- Phase III (1985-1996): The final phase focused on consolidating the gains from the previous phases, improving productivity, and strengthening the infrastructure for milk procurement and processing.
Achievements:
- Global Leader in Milk Production: The revolution made India the largest milk producer in the world, surpassing the United States by 1998.
- Rural Employment and Development: It became a major source of rural employment, significantly contributing to the rural economy and reducing poverty.
- Empowerment of Farmers: The cooperative model empowered farmers by giving them control over the production and marketing of their milk, eliminating middlemen and ensuring better prices.
Need for White Revolution 2.0
- Rising Milk Prices and Inflation: The modal price of milk has increased significantly, from approximately ₹42 to ₹60 per litre over recent years which affects both producers and consumers.
- Declining Demand: Higher prices may lead to a reduction in milk consumption, which can adversely impact the overall dairy market.
- Increased Production Costs: Rising costs associated with fodder, feed, and other raw materials have compelled dairies to increase procurement prices paid to farmers.
- Low Productivity and Quality Issues: Many indigenous breeds yield less milk compared to crossbreeds, and issues such as poor animal nutrition and inadequate veterinary care further exacerbate these problems.
- Technological Advancements: There is a significant opportunity to leverage new technologies, such as in vitro fertilisation (IVF) and advanced animal nutrition practices, to enhance milk production efficiency and quality.
- Market Potential and Export Opportunities: With a growing population in South Asia and neighbouring regions that are milk-deficient, there is substantial potential for India to export value-added dairy products.
- Need for Vertical Integration: White Revolution 2.0 aims to strengthen the integration of various stakeholders in the dairy supply chain, including cattle feed industries, dairy machinery firms, and producer cooperatives.
- This integration can enhance operational efficiencies and improve market access for small farmers.
- Addressing environmental concerns and ensuring sustainable practices in dairy farming are critical. This includes improving animal welfare, reducing the carbon footprint, and ensuring food safety and quality throughout the supply chain.