Omfed reviews milk production, pricing

Bhubaneswar: Increase in production of milk and its pricing by Odisha State Co-Operative Milk Producers Federation (Omfed) was reviewed at a meeting between the chief secretary and Omfed officials yesterday. The meeting discussed various issues, including the prevalence of powdered milk alternatives and a market demand-based pricing of milk.

According to Omfed CMD, private dairies are refraining from buying milk from the farmers and resorting to selling powdered milk instead. Moreover, with a decline in prices of powdered milk in the international market, some farmers are also mixing the same with milk.

“We discussed ways to increase production of milk at Omfed. There are some places where growth has been normal. We have also been asked to study pricing keeping in mind the market demand. Currently, dairies are buying powdered milk and have stopped sourcing milk from farmers. As the price of powdered milk has come down in the international market, dairies are using them as it gives them higher margins,” said CMD of Omfed Bishnupada Sethi.

The meeting also discussed ways to manage the milk sourcing process better.