Volume - Indian Dairy Association

253.5 For achieving the targeted production of 180 million MT of milk by 2020the orientation has to be essentially directed towards productivityenhancement of cows and buffaloes. Quantum jump in productivity is possiblethrough innovative approach in breeding, feeding and management aspects.The Punjab government’s steps in encouraging setting up of hi‐techcommercial dairy farms, private investments being made in Andhra Pradesh,vertical integration of dairy animals on commercial lines in Karnataka are someof the positive indicators that the approach is slowly shifting towardsproductivity enhancement.3.6 In the present day market driven economy, providing value addition toraw material always pays higher dividends. However, this key component hasbeen addressed inadequately in the milk sector. A whole set of issues onpolicy, regulatory mechanism, infrastructural development, capacity building,institutional setup, etc., have to be addressed. Currently, only 16‐17 per centof the fluid milk is being processed in the country of which buffalo and cowmilk account for 55 per cent and 45 per cent respectively. Of the total cow milkbeing processed 26 per cent is from indigenous cow milk and the rest fromcrossbred cow milk. It is essential to enhance the quantum of milk beingprocessed to make it safe for consumption and increase its keeping quality.The process of value addition begins from the moment milk is drawn fromcow/buffalo; and at every step from production to consumption there is amplescope for value addition.3.7 Almost 70 per cent of milk is consumed as liquid milk and conversion ofmilk into various value added products is to a very limited extent, especially inthe organized dairy sector. Anand Cooperative Milk Union (AMUL), Gujarat,has been the pioneer in diversification process and manufactures a range ofvalue added milk and milk products on commercial basis. Some of the otherCooperative Milk Unions like KMF in Karnataka; MILKFED in Punjab; SARAS inRajasthan; and VERKA in Haryana have also been performing considerably wellin providing value addition to milk and milk products.3.8 Some of the areas which need to be focused for value addition in dairysector are:a) The extent of collection and processing has to be enhanced. A target ofenhancing milk processing from current level of 16‐17 per cent to atleast 25 per cent in the next five years has to be set.