Why in the news?
The government’s latest Household Consumption Expenditure Survey (HCES) for 2022-23 shows milk emerging as India’s top food spend item, both in rural and urban areas
Key facts as per survey-
- The monthly value of milk and dairy products consumed by an average person in rural India, at Rs 314, was ahead of vegetables (Rs 203), cereals (Rs 185), egg, fish & meat (Rs 185), fruits (Rs 140), edible oil (Rs 136), spices (Rs 113) and pulses (Rs 76).
- The HCES data reveals the same for urban India: Milk (Rs 466), fruits (Rs 246), vegetables (Rs 245), cereals (Rs 235), egg, fish & meat (Rs 231), edible oil (Rs 153), spices (Rs 138) and pulses (Rs 90).
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The challenges as per the latest Household Consumption Expenditure Survey (HCES)-
- Rising Milk Prices: Over the last five years, the all-India modal price of milk has surged from Rs 42 to Rs 60 per liter, with a notable increase from Rs 52 to Rs 60 in the past year alone. This upward trend in milk prices poses a challenge for consumers in terms of affordability.
- Inflationary Pressure: The increase in milk prices is attributed to inflationary pressures, impacting consumer demand. Higher prices may lead to reduced consumption or shifts to alternative products, affecting the dairy industry’s revenue and profitability.
- Increased Input Costs: The cost of fodder, feed, and raw materials/ingredients has risen significantly. Dairies are compelled to raise procurement prices paid to farmers to offset these increased input costs. Consequently, consumers bear the brunt of these cost hikes through higher retail prices for milk and dairy products.
- Pass-through to Consumers: To mitigate the impact of rising input costs, dairies pass on the increased procurement prices to consumers, leading to further price hikes in milk products. This pass-through mechanism exacerbates the financial burden on consumers already grappling with inflated prices.
- Impact on Farmers: While increased procurement prices may benefit farmers initially, they may face challenges in sustaining dairy farming operations if input costs continue to escalate. Balancing the interests of farmers, consumers, and the dairy industry becomes crucial amidst these challenges..
How can that be achieved?
- Use of Sex-Sorted Semen (SS) technology: The use of sex-sorted semen increases the probability of female calves being born to over 90%, compared to the 50:50 ratio with conventional semen. This technology ensures a higher proportion of future milk-producing cows, enhancing the productivity of dairy herds.
- Increased Adoption: Dairy cooperatives like Amul are actively promoting the use of sex-sorted semen among farmers. In 2022-23, Amul performed 2.86 lakh artificial inseminations (AIs) using sex-sorted semen out of a total of 13.91 lakh AIs, constituting 20.5% of the total. The cooperative aims to raise this ratio to 30% by 2024-25.
- Enhanced Conception Rate: Roughly one-third of artificial inseminations using sex-sorted semen lead to conception. This high conception rate, coupled with the assurance of female calves, contributes to a more efficient breeding strategy, resulting in a larger population of milk-producing cows.
- Long-term Impact: By increasing the number of female calves born through sex-sorted semen technology, dairy farmers can anticipate a higher yield of milk-producing cows in subsequent generations. This proactive approach ensures the sustainability and growth of the dairy industry by maximizing milk production efficiency.
- Cooperative Initiatives: Dairy cooperatives play a pivotal role in facilitating the adoption of advanced breeding technologies among farmers. Through initiatives like Amul’s targeted use of sex-sorted semen, cooperatives contribute to improving the genetic potential of dairy herds and enhancing overall milk yield per animal.
Taking to farmer/ significance of Breeding Centre-
- Establishment of Bovine Breeding Centre: Amul inaugurated a Bovine Breeding Centre in Mogar, Gujarat, in March 2020, to breed a nucleus herd of superior bulls and cows for artificial insemination (AI) and embryo transfer (ET) technologies.
- Objective of the Centre: The primary objective of the centre is to produce high-quality semen and in vitro-fertilised embryos, stored at ultra-low temperatures, for use in AI or transferring into farmers’ animals.
- Breeds and Milk Yield: The centre has produced various breeds, including exotic (such as Holstein-Friesian and Jersey), HF-Gir and HF-Sahiwal crossbred, and indigenous Gir, Sahiwal, and Murrah buffalo breeds, with varying milk yield capacities ranging from 3,000 to 12,000 liters per year.
- Utilization of Male and Female Genetics: Through AI and sex-sorted semen, the centre exploits male genetics, while IVF-ET technology focuses on harnessing the female genetics of donor cows.
- Adoption by Farmers: Amul has extended IVF-ET technology to farmers, with successful pregnancies and calvings recorded. Member unions of the Gujarat Co-operative Milk Marketing Federation have also embraced these advancements, with farmers like Bhavnaben Chaudhary experiencing the benefits of higher-quality breeds through IVF-ET, leading to better milk yields and economic returns.
- Preference for Specific Breeds: Farmers like Bhavnaben Chaudhary choose breeds like Kankrej for their higher fat and solids-not-fat content, despite lower yields, to ensure better prices and lower feeding and maintenance costs.
Animal nutrition/ lowering the cost of producing milk at the farm-gate
- Feeding Cost Reduction: Intervention is necessary to reduce the feeding costs of animals by cultivating high-yielding, protein-rich green fodder grasses. This reduces reliance on expensive compound cattle feed and oil-meal concentrates.The focus of White Revolution 2.0 would clearly have to be on lowering the cost of producing milk at the farm-gate
- Introduction of Total Mixed Ration (TMR) Plant: Amul is establishing a 30-tonnes-per-day TMR plant at Sarsa in Anand. TMR will comprise dry and green fodder, concentrates, vitamins, and mineral mixtures, providing animals with a ready-to-eat mashed form of nutrition.
- Benefits of TMR: TMR will save farmers the cost of purchasing and storing fodder separately, as well as the effort of administering it alongside cattle feed. It offers a convenient and cost-effective solution for animal nutrition.
- Sourcing Fodder: The plan involves sourcing fodder from farmer producer organizations (FPOs), whose members will cultivate maize, jowar, hybrid napier, or oat grass and prepare silage for use in the TMR plant.
- Focus on High-Yielding Grasses: Farmers will focus on cultivating high-yielding grass varieties rich in protein content, which are essential for maintaining the health and productivity of dairy animals.
Conclusion-
To ensure a sustainable White Revolution 2.0, measures such as the adoption of advanced breeding technologies, the establishment of breeding centres, and focus on animal nutrition are crucial for enhancing milk production efficiency and economic viability.
Mains question for practice-
Q- Discuss the role of advanced breeding technologies, establishment of breeding centers, and strategies for reducing feeding costs in ensuring sustainable milk production to achieve White Revolution 2.0.(250 words)
