Dairy farming is a vital component of Karnataka’s agricultural economy, providing livelihoods to millions and contributing significantly to the state’s rural development. Recognizing its importance, the Karnataka government has implemented various subsidy schemes and support programs to promote and sustain dairy farming. These initiatives aim to enhance milk production, ensure fair remuneration for farmers, and encourage the adoption of modern dairy practices.
1. Ksheeradhare Scheme: Milk Producer Incentive
Launched in 2008, the Ksheeradhare Scheme is a flagship initiative by the Karnataka government to incentivize milk production. Under this scheme, dairy farmers receive a direct subsidy for every litre of milk supplied to the Karnataka Milk Federation (KMF).(The New Indian Express)
Key Features:
- Incentive Structure: Initially set at ₹2 per litre, the incentive was increased to ₹4 in 2013 and further to ₹5 in 2016. (The New Indian Express)
- Objectives:
- Make dairy farming profitable at the village level.
- Encourage youth and unemployed individuals to take up dairy farming.
- Provide economic and social security to milk producers.
- Increase milk production for food security.
Impact:
The scheme has significantly boosted milk production in the state. Studies indicate that the milk price incentive led to a 79.90% increase in milk production and a 115% rise in productivity compared to the period before the scheme’s implementation. (epubs.icar.org.in)
Challenges:
Despite its success, the scheme has faced challenges, particularly in timely disbursement of incentives. As of December 2024, dairy farmers were awaiting over ₹600 crore in pending incentives, with delays attributed to financial clearances. (India Today)
2. Dairy Entrepreneurship Development Scheme (DEDS)
The Dairy Entrepreneurship Development Scheme (DEDS) is a central government initiative implemented in Karnataka through banks like the Karnataka Gramin Bank. It aims to promote self-employment and infrastructure development in the dairy sector.(karnatakagraminbank.com)
Objectives:
- Generate self-employment opportunities.
- Establish modern dairy farms and infrastructure for clean milk production.
- Encourage heifer calf rearing for quality breeding stock.
- Upgrade traditional technology for commercial-scale milk handling.
- Provide value addition to milk through processing and product diversification.(karnatakagraminbank.com)
Financial Assistance:
- Loan Amount: As per NABARD unit cost.
- Margin:
- Up to ₹1.60 lakh: No margin.
- Above ₹1.60 lakh: 10% margin.
- Repayment Period: 5 to 9 years.
- Security:
- Up to ₹1.60 lakh: Hypothecation of animals.
- Above ₹1.60 lakh: Hypothecation of animals and mortgage.
- Subsidy:
- SC/ST farmers: 33.33%.
- General category farmers: 25%.
- Insurance: Mandatory for the animals. (karnatakagraminbank.com)
3. STEP Program: Empowering Women in Dairy
The Support to Training and Employment Program (STEP) is designed to empower women in the dairy sector. Implemented by the Karnataka Milk Federation (KMF) through government funds, the program focuses on organizing exclusive women dairy cooperatives and providing them with necessary training and support.(tumul.coop)
Objectives:
- Organize exclusive women dairy cooperatives.
- Provide need-based and extensive training for skill upgradation.
- Mobilize women in forming Self Help Groups (SHGs) for income-generating activities and easy access to credit. (tumul.coop)
4. Amrutha Yojana: Supporting Marginalized Women
Amrutha Yojana is a welfare scheme aimed at the socio-economic upliftment of devadasis, widows, and women from Scheduled Castes (SC) and Scheduled Tribes (ST). Under this scheme, beneficiaries receive one milch animal with varying subsidy percentages:(tumul.coop)
- Subsidy Rates:
- Widows and devadasis: 50%.
- SC women: 60%.
- ST women: 75%.(tumul.coop, The New Indian Express)
The unit cost for one animal was ₹20,000 during 2007-08 to 2009-10, which was later increased to ₹35,000. (tumul.coop)
5. Yashaswini Health Insurance Schem
This health insurance scheme provides medical coverage to members of Milk Producers Cooperative Societies (MPCS) and their dependents. For a nominal registration fee of ₹150 per person, beneficiaries can avail of subsidized healthcare services, including surgeries in major hospitals. (tumul.coop)
6. Ksheera Bhagya Yojana: Nutritional Support for Children
Ksheera Bhagya is a nutrition program where the Karnataka government provides 150 ml of milk thrice a week to school and Anganwadi children. The milk is distributed in the form of milk powder through milk unions. In Tumkur district alone, over 4 lakh children benefit from this scheme. (tumul.coop)
7. Dakshina Kannada Cooperative Milk Producers Union Limited (DKMUL) Initiatives
DKMUL has introduced several initiatives to support dairy farmers in the Dakshina Kannada and Udupi districts:(Deccan Herald)
- Cattle Feed Subsidy: From August 1, 2024, DKMUL provides a ₹25 subsidy per bag of cattle feed, benefiting farmers by reducing input costs. (Deccan Herald)
- Calf Rearing and Mini-Dairy Schemes: These schemes offer subsidies on equipment like milking machines and grass-cutting machines, and provide free cattle feed for farmers purchasing calves. (Deccan Herald)
- Green Fodder Cultivation Support: DKMUL encourages farmers to cultivate green fodder by providing financial assistance of ₹10,000 per acre. They also supply silage at subsidized rates to address fodder shortages. (Deccan Herald)
8. Dairy Scheme for Homeless Women
The Department of Animal Husbandry offers a dairy scheme targeting homeless widows and women. Under this program:(Yuvakanaja)
- Subsidy: ₹1,20,000 for establishing a two-cow or two-buffalo dairy unit.(Yuvakanaja)
- Eligibility: Homeless widows and women.
- Application Process: Applicants must submit necessary documents, including Aadhar card, caste certificate, income certificate, and a non-bankruptcy certificate, to the nearest veterinary office. (Yuvakanaja)
9. Akshayakalpa: Promoting Organic Dairy Farming
Akshayakalpa is an initiative that supports farmers in setting up organic dairy farms. Each farm, with an investment of ₹25 lakhs, includes 25 cows, automatic milking systems, biogas plants, and chilling units. Farmers receive training in organic practices and are assured of milk buyback at rates between ₹28-32 per litre, depending on fat content. (Wikipedia)
Conclusion
Karnataka’s comprehensive approach to supporting dairy farming through various subsidy schemes and programs has significantly contributed to the sector’s growth. These initiatives not only enhance milk production but also empower women, support marginalized communities, and promote sustainable farming practices. Continued focus on timely disbursement of incentives and addressing challenges will further strengthen the dairy farming ecosystem in the state.