Cabinet Approves Revised National Program for Dairy Development

Cabinet Approves Revised National Program for Dairy Development (NPDD)

The Cabinet has approved the revised National Program for Dairy Development (NPDD), which aims to modernize and expand dairy infrastructure, ensuring sustained growth, productivity, and increased income for farmers.

Revised National Program for Dairy Development (NPDD):

• Overview: Launched as a Central Sector Scheme in 2014 and restructured in 2021.
• Outlay: The revised NPDD has been allocated an additional ₹1,000 crore, bringing the total budget to ₹2,790 crore for the 15th Finance Commission cycle (2021-22 to 2025-26).
• Implementing Agency: The Department of Animal Husbandry & Dairying (DAHD), Ministry of Fisheries, Animal Husbandry & Dairying.

Objectives:

• Establish 10,000 new Dairy Cooperative Societies (DCSs).
• Strengthen milk procurement and processing, especially in the North Eastern Region (NER).
• Form 2 Milk Producer Companies (MPCs) with dedicated grant support, in addition to ongoing NPDD projects.
• Create 3.2 lakh additional direct and indirect employment opportunities, with a focus on women, who represent 70% of the dairy workforce.

Scheme Components:

• Component A: Focuses on improving essential dairy infrastructure, especially in remote and underserved areas, by supporting the formation of DCSs and MPCs. This includes establishing milk chilling plants, milk testing laboratories, and certification systems.
• Component B: Dairying through Cooperatives (DTC) — A Japan International Cooperation Agency (JICA)-assisted program aimed at the sustainable development of dairy cooperatives. It focuses on improving production, processing, and marketing infrastructure in nine states.

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