SHRI S.D.N.R. WADIYAR (MYSORE): Mr. Deputy-Speaker, Sir, I would like to submit that the recent changes in the import policy for dairy products especially skimmed milk powder has adversely affected the milk producers in the country and more particularly on the economy of the milk producers in Karnataka.
As you are aware, Sir, India is today the largest milk producer in the world and our Karnataka Milk Federation is today the third largest cooperative both in terms of procurement as well as sales. The White Revolution that was launched due to the efforts of National Dairy Development Board through Operation Flood had been nurtured by our farmers. Their combine efforts have resulted in a surplus production of milk. So far my State is concerned, there has been excess production of milk owing to the arrival of early monsoon. The farmers have been forced to convert surplus milk into skimmed milk powder. But the market price has fallen down to Rs.50 per kilogram whereas the cost of production works out to Rs.75 to Rs.80 per kilogram. The main reason for the fall in price of skimmed milk powder is the import of skimmed milk powder on Open General Licence (OGL). The countries like European Union and America pay dollar 1000 for every kilogram of skimmed milk. Unfortunately, the cost of skimmed milk is twice high which is causing great loss to the farmers.
Therefore, I request the Government to kindly ban the import of skimmed milk products on OGL and also levy import duty on milk products and dairy products.