Shankar Chaudhary announces 11.10% price difference worth Rs. 671.71 crore to milk producers in Banas Dairy AGM

Palanpur: Banas Dairy of North Gujarat will set up a 30 lakh litre capacity dairy at Sanadar which shall be suitable for expansion upto 50 lakh litre in future. The dairy will also set up a 10 lakh litre capacity dairy in Delhi – National Capital Region. It will set up new plants for value addition in potato and Pomegranate. The dairy has also plans to set up 1500 mt capacity new cattle feed plant, expansion of Katarva based plant from 1000 mt to 1800 mt, a new 20 tonne mava plant at Sanadar, 3,000 bottle flavord milk bottle production per hour plant. The dairy will expant its present UHT plant and cheese plant.

These announcements were made today in Banas Dairy’s annual general meeting chaired by dairy’s chairman Shankar Chaudhary in presence of large number of milk producers, dairy office bearers and leaders from BJP and Congress.

Chaudhary in his speech stressed on need of adoption of technology to cop up with growing huge operations of dairy. He said the entire network of milk procurement will be covered with availability of machines to check milk adulteration. The dairy will set up R&D centre. It will strengthen its semen centre and set up a new gobar gas plant. It will expand its Lucknow based ice cream plant. A new plant of fortified flour will also be set up. In order to ensure 100% procurement of cold milk, the dairy will ensure online digital BMC. The dairy will set up retail mall would offer 100 needed things needed at rural level. Cattle health related complains will be registered online. A necessary arrangement will be done in this regard.

Chaudhary on this occasion announced 11.10% price difference worth Rs. 667.71 crore. He said dairy’s turnover was up at Rs. 9,808 crore in FY 2018-19 with procurement of 57.89 lakh litre milk.

Chaudhary said the last year was challenging due to to decreasing milk powder price and lack of enough rain. However the dairy continued to pay same price to milk producers and also increased its annual turnover. The dairy could commission 3 new dairy plants, 4 packaging plants and 15 chilling stations outside Gujarat last year. The dairy also commissioned Badarpura oil mill plant and THR plant. Banas medical college is also on roll and construction of its new building is in progress. The dairy paid Rs. 109.48 crore subsidy under various schemes to milk producers.

Speaking in this meeting, Lok Sabha member of Banaskantha, Parbatbhai Patel recalled the days when milk procurement was smaller than today but milk holiday would be declared frequently. Patel said today the dairy is procuring farm more volume of milk but there has not been a single milk holiday.

The dairy produces 5.99 lakh tonne cattle feed under the brand name of ‘Banas Daan’. However due to huge demand beyond expectation, the dairy had to procure 60,000 tonne cattle feed from other federations. As the other federation increased the price of cattle feed, the input cost was up by 31.53% and therefore cattle feed price attracted Rs. 75 price hike per bag. Even after this price hike, the dairy suffers Rs. 115 loss per bag. The total loss on this front so far has been Rs. 14.56 crore, said PJ Chaudhary, director of Banas Dairy.

Daily milk production at dairy has reached the mark of 57.89 lakh litre. The payment to milk producers has increased from Rs. 381 crore four years ago to Rs. 602 crore now.

Thanks to RO technology, the dairy needs to sent only 6 tankers instead of 10 earlier to Kanpur, Faridabad, Lucknow which has made Rs. 9.73 crore savings.Thanks to the implementation of solar power, Palanpur, Faridabad, Lucknow and Kanpur plants have made Rs. 2.84 crore revenue. Savings on water used in boiler at Palanpur based 45 TPD plant has made savings of Rs. 3.26 crore. Waste to wealth initiative has resulted into Rs. 29 lakh bio gas in twenty months. The gas is used for cooking and boiler. Due to higher productivity of cheese plant the dairy has saved Rs. 60 crore in a year while saving on Amulya powder’s pouch packing has been worth Rs. 1.38 crore, said dairy director ML Chaudhary.